Govt rolls out Sh1.5b milk coolers to boost dairy sector

Agriculture and Livestock Development Cabinet Secretary Mutahi Kagwe

The government has launched the installation of 230 bulk milk coolers worth Sh1.45 billion across 40 counties.

The project marks a milestone in the dairy value chain, promising relief for farmers who have long struggled with losses caused by poor storage and limited market access.

Speaking during the official flag-off in Nyeri, Agriculture and Livestock Development Cabinet Secretary Mutahi Kagwe said the coolers will improve milk handling, increase storage capacity, and enhance the value of dairy produce for millions of farmers.

"So far, we have installed eight coolers in various dairy cooperatives under the Livestock Value Chain Support Project. These are just the beginning of a wider rollout that will ultimately boost national chilling capacity by 475,000 litres daily," Kagwe said.

Nyeri County has received eight coolers, with Kagwe noting the initiative is part of a broader government agenda to shift farmers from subsistence to commercial farming by enhancing value addition and market access.

He said better milk storage will improve quality, reduce wastage, and ensure farmers earn more.

"Dairy farmers across the country play a significant role in contributing to Kenya's milk basket. The supply of these milk coolers will not only improve milk quality and marketability but also raise household incomes, which remains our key focus," said Kagwe.

The rollout follows a similar distribution of 15 milk coolers to farmer-owned cooperatives in Meru County, launched by President William Ruto last month.

Kenya's dairy industry contributes about 4 percent to the national GDP and supports over 2 million people. In 2024, the country produced 5.3 billion litres of milk, with 80 percent coming from smallholder farmers. However, an estimated 175 million litres of milk, valued at Sh7.9 billion, is lost annually due to inadequate storage and handling.

Kagwe said the government is committed to supporting both private and public milk processors to ensure effective milk collection, processing, and marketing locally and internationally.

The Ministry aims to double milk production to 10 billion litres annually by 2027, create 500,000 jobs in the dairy sector, and export up to 1 billion litres of milk each year.

To support this plan, Kagwe said the government will lease arable public land for large-scale fodder and sunflower farming to reduce the cost of animal feed. He also announced plans to increase production of quality sexed semen, commercialize pasture farming, and conduct a national livestock vaccination drive to boost productivity.

"We must adopt practical and viable interventions to transform the dairy sector. By addressing issues such as low productivity, inadequate breeding stock, and climate change, we can scale up dairy output and ensure our products meet international standards," the CS added.