Boost for farmers as Ruto orders KCC to increase milk prices to Ksh.50 per litre

Boost for farmers as Ruto orders KCC to increase milk prices to Ksh.50 per litre

President William Ruto commissions the modernised New KCC Nyahururu factory, in the company of his deputy Rigathi Gachagua, on January 10, 2024. PHOTO | PCS

President William Ruto has said the government is committed to reforming the dairy sector to boost farmers’ earnings.

The President explained that the government is spending Ksh.5 billion to modernise the New Kenya Co-operative Creameries (KCC) to enhance its efficiency to meet the needs of farmers.

He observed that the goal of bolstering KCC's processing capacity is to ensure it handles the entire volume of milk produced by farmers.

The President also directed KCC to begin paying milk farmers Ksh.50 a litre beginning March 1 and ensure the price never fluctuates.

“From July 1, farmers will be paid every 15 days. This is how we will eliminate milk hawking which arises when farmers are not paid for two to three months,” he said.

He made the remarks on Wednesday during the commissioning of the upgraded New KCC in Nyahururu, Laikipia County.

The President said India has committed to supporting agricultural transformation to the tune of Ksh.37 billion, out of which Ksh.5 billion will be used in the modernisation of KCC.

The President also observed that the government will help farmers get quality animal breeds that do not consume a lot of feed to maximise profits.

He noted that the government will also enhance farmers’ access to seasonal credit through the Agricultural Finance Corporation (AFC).

“The government has allocated AFC Ksh.10 billion for this purpose,” he said.

At the same time, President Ruto assured farmers that they will get this season’s fertiliser on time at a subsidised price of Ksh.2,500.

“Investing in agriculture is the best way to create wealth and expand opportunities for the people and reduce the cost of living and food,” he said.

Deputy President Rigathi Gachagua, on his part, said reforms in the agricultural sector have been successful, citing improved earnings by tea, coffee and milk farmers.

“The last bonus has been the highest in the history of tea farming in this Republic,” he said.

He condemned unscrupulous business people who have been making attempts to smuggle powdered milk into the country.

"The security agencies have been directed to ensure that this doesn't happen. If you want to be in the milk business, buy farmers’ milk," said the DP.

The meeting was also attended by Cooperatives and Micro and Small Enterprises Simon Chelugui, Defence Principal Secretary Patrick Mariru, Laikipia Governor Joseph Irungu, Senator John Kinyua (Laikipia) and local MP Stephen Wachira (Laikipia West), among other officials.

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