Brookside goes after the raw milk market

By Macharia Kamau

Dairy processor, Brookside has announced plans to increase its national market share of raw milk by over six per cent in the next twelve months.

The firm’s General Manager in Charge of milk procurement and extension services, John Gethi, said the plan involves investment in milk bulking facilities at the processor’s 30 cooling stations countrywide.

Currently, Brookside controls over 45 per cent of the national raw milk market, with a daily intake of some 600,000 litres. The company recently unveiled its dry milk complex, which is nearing completion, and which will be used to process powder milk for both operational and strategic needs.

“Last year, we purchased over 180,000 tonnes of milk from our 145,000 contracted farmers. Barring any unforeseen effects of the weather, we expect to increase this quantity by over six per cent,” Gethi said in a speech read on his behalf by Brookside’s Central Regional Manager, James Ng’ang’a at the commissioning of Miharati cooling station in Kipipiri, Nyandarua county at the weekend.

Contractual arrangement

“Part of our success in intake volumes is attributed to the fact that we were the first processor to enter into contractual arrangement with our milk farmers,” Gethi told the audience, that included area MP and Transport Minister, Amos Kimunya.

“We want to cast our lot with improved raw milk chilling facilities that would give us the leverage to absorb increased volumes from farmers, especially in the high potential areas,” Gethi said.

The new measures are designed to increase the firm’s capacity to take in as much milk from farmers as possible.

“As a company, we are adequately prepared for capacity challenges usually witnessed during the flush season, and we are encouraging farmers to increase production as the market for the raw milk is assured,” he added.

According to the official, Brookside would partner with farmers’ co-operative societies to set up some seven additional cooling centres each year.

Profitable enterprise

He said dairy farming had become a profitable enterprise in Kenya, as farmers continue to enjoy reforms rolled out in 2003 as part of the industry’s post-liberalisation agenda.

“Our farmers are assured of a reliable market and timely payments as they deliver their milk to us. This has led to increased disposable income by the farming community, and in a big way, the dairy industry has made a contribution to the development of the rural economy,” Gethi said.

He disclosed that dairy farmers in Nyandarua earned over Sh500 million for making miwlk deliveries to Brookside. He pointed out that farmers in Miharati, Kipipiri constituency alone had pocketed over Sh90 million over the same period.

However, Gethi decried the poor condition of roads in some milk producing areas, saying it led to transit delays.

“We have engaged the Kenya Rural Roads Authority to see to it that motorways in milk producing areas are prioritised for rehabilitation,” Gethi said.

 


 

By Titus Too 1 day ago
Business
NCPB sets in motion plans to compensate farmers for fake fertiliser
Business
Premium Firm linked to fake fertiliser calls for arrest of Linturi, NCPB boss
Enterprise
Premium Scented success: Passion for cologne birthed my venture
Business
Governors reject revenue Bill, demand Sh439.5 billion allocation