Kenyan milk collection center Ol Kalou Dairy ventures into processing with US$1.1m plant

KENYA – Ol Kalou Dairy, a leading milk collection dairy in Nyandarua County, Central of Kenya has commissioned a 5,000 litres-per-hour milk pasteurisation processing line.

The Kshs. 120 million (US$1.1m) milk processing plant will enable the company to process and package milk in readiness for the market instead of relying on other processors, thus increasing the profit margin for the farmers.

Incorporated in 2001, the company currently has 14,400 registered milk suppliers with 50% of them actively supplying milk to the dairy.

Currently, Ol Kalou Dairy receives between 35,000 litres and 70, 000 litres of milk daily with an average of 50,000. The dairy is paying Kshs. 38 per litre, matching what other big milk processors pay to farmers.

To further spearhead its growth, the County government of Nyandarua has given the processor Ksh 2 million (US$18,250) for the second phase of the expansion that will involve installing a processing line for long-life milk.

FrieslandCampina WAMCO renew pact on value-chain development in Nigeria

Meanwhile in Nigeria, the Federal Ministry of Agriculture and Rural Development (FMARD) and FrieslandCampina WAMCO, have renewed their Memorandum of Understanding (MoU) on dairy value chain development.

Under the new pact, both parties will provide a networking environment for 30,000 cattle herders and transform dairy farming practices by introducing improved techniques and also providing farmers with extension services to enhance raw milk quality and farm productivity.

Further to that, the parties will introduce commercial credit to farmers and build confidence between benefiting farmers and financial institutions for viable agri-business.

 “The initial MoU established a structure and model for dairy development in Nigeria. It brought to focus the urgent need to put in place the right infrastructure and expertise that will support local milk sourcing in Nigeria.

ADVERT

“Building on the progress made, the renewal of the MoU enables both parties to replicate the successes achieved in the past 10 years in Oyo, Ogun, Niger, Osun and Kwara states, as well as other parts of Nigeria, whilst supporting various dairy co-operatives in the country,” said the Managing Director of FrieslandCampina WAMCO, Ben Langat.

The Minister of Agriculture and Rural Development, Sabo Nanono, indicated that the partnership will set up crossbreeding centres to produce quality heifers and strengthen the capacity of pastoralists and smallholder dairy farmers to produce and supply raw milk to increase the market share of locally produced milk as well as create employable labour and expansion of investment opportunities for farmer prosperity.

The Federal Government signed its first MoU on Dairy Value Chain Development in Nigeria (Demand Driven Approach) with FrieslandCampina WAMCO in 2011 and the deal was renewed in 2016.

Liked this article? Subscribe to Food Business Africa News, our regular email newsletters with the latest news insights from Africa and the World’s food and agro industry. SUBSCRIBE HERE

Other Posts Worth Reading

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.