Ruto Announces Ksh65 Per Litre For Milk Farmers Starting This Month

President William Ruto has announced that dairy farmers will receive Ksh65 per litre of milk starting this month, in a move aimed at improving farmers’ earnings and strengthening Kenya’s dairy sector.Speaking during the 63rd Mashujaa Day celebrations at Kipchoge Keino Stadium in Eldoret on Tuesday, October 20, Ruto said the new payment rate would take effect in October. He also announced a quarterly bonus of Ksh2 per litre for farmers.

The President said the latest adjustment builds on previous increases in the price paid to milk producers. According to Ruto, farmers had previously received about Ksh35 per litre before the price was raised to Ksh60.

The announcement comes at a time when Kenya is experiencing a shortage of milk, with formal deliveries to processors declining amid difficult production conditions. Reduced supply has affected availability in some markets and contributed to rising prices for consumers.

Ruto has also pledged reforms at the New Kenya Co-operative Creameries (New KCC), including greater involvement of farmers in the management of its factories. The government has said the changes are intended to improve efficiency and ensure producers benefit more directly from the dairy value chain.

The President previously announced that the government would clear approximately Ksh400 million owed to dairy farmers supplying New KCC by the end of October. He further directed that farmers should receive their payments before the fifth day of every month to prevent the accumulation of arrears.

The higher farm-gate price is expected to provide dairy farmers with better returns and encourage increased milk production. However, the sector continues to face challenges, including high feed costs, drought and declining milk deliveries to formal processors.The government hopes that improved farmer payments, better management of dairy factories and investments in the sector will boost production and strengthen the livelihoods of thousands of dairy farmers across the country.

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