Government Moves to Cut Feed Costs as Milk Shortage Hits

The Government has approved duty-free imports of yellow maize and is considering additional measures to ease Kenya’s milk shortage, which has been linked to inadequate pasture, high feed costs and competition from informal milk brokers.

Agriculture and Livestock Development Cabinet Secretary Mutahi Kagwe said erratic rainfall has reduced the availability of green pasture in key dairy-producing areas, leaving farmers increasingly dependent on costly commercial feeds.

Speaking during the official opening of the Agricultural Society of Kenya (ASK) Coast Region Show at Mkomani Grounds in Nyali, Kagwe said poor nutrition was directly affecting milk yields.

He explained that farmers whose cows normally depend on green pasture have been particularly affected by the prolonged dry conditions. The resulting decline in production has contributed to lower deliveries to formal milk processors.

Kagwe also blamed the shortage on brokers who are offering farmers better prices than some dairy cooperatives. He said milk that would ordinarily be delivered to processing plants is increasingly being sold through informal channels, leaving supermarkets with inadequate supplies while some rural markets continue to receive milk.

The Cabinet Secretary urged dairy cooperatives to negotiate better prices with processors and ensure that improved returns are passed on to farmers. He said stronger incentives for producers could help restore milk volumes entering the formal processing chain.

The Government has authorised duty-free importation of yellow maize as part of its immediate response. The measure is intended to increase the availability of livestock feed while reducing the cost of feeding dairy cattle.

Kagwe said the intervention would address both the shortage and high cost of animal feed, allowing farmers to maintain better nutrition and improve milk production.

The Government is also considering importing powdered milk to supplement domestic supplies. However, Kagwe said authorities were assessing the proposal cautiously because milk production could recover quickly once the rains arrive.

He warned that excessive imports could create a glut if local farmers resume full production, potentially depressing farm-gate prices and hurting dairy producers.

Kagwe said the Government was therefore weighing supply conditions against weather forecasts before making a decision on powdered milk imports. He appealed to consumers to remain patient as authorities work to stabilise the market.

The Cabinet Secretary also noted that Kenya was not alone in experiencing dairy supply disruptions, with neighbouring Tanzania and Uganda facing similar challenges linked to weather conditions.

He expressed optimism that the anticipated El Niño rains would restore pasture within weeks of their onset, allowing farmers to reduce their dependence on commercial feeds and rebuild milk production.

Kenya currently produces about 5.5 billion litres of milk annually, according to the Cabinet Secretary, maintaining its position as one of Africa’s leading dairy producers.

The latest shortage has nevertheless exposed persistent weaknesses in the dairy value chain, particularly the sector’s dependence on seasonal pasture, expensive feed and limited mechanisms for balancing milk supplies between periods of surplus and scarcity.