The Murang’a County Creameries (MCC) factory has resumed milk processing after the facility halted its operations back in early 2022.
This comes after the county government handed the factory management to the county cooperative creameries union.
The union is made up of 34 cooperative societies and with more than 10,000 members currently supplies 40, 000 litres to the factory daily.
Cooperatives Cabinet secretary Simon Chelugui who graced the handing-over ceremony lauded the move saying the national government among other partners are now in a position to assist the MCC.
Chelugui said the government has plans to help dairy cooperatives by availing incentives targeting increased milk production.
The factory was established by the former county government led by Mwangi wa Iria but its operations were rocked by debts owed to farmers, and transporters among other service providers.
When Governor Irungu Kang’ata’s administration took over the county governance in August 2022, farmers and suppliers owed the factory more than Ksh 100 million.
Chelugui underscored the move to revive the plant saying the country’s milk production is quite low compared to the high demand for dairy products in the country and international markets.
The CS further said they are finalizing a policy paper which aims to set a specific date when farmers will be paid for the milk they have supplied to their respective processors.
Farmers getting milking regularly, he said will increase liquidity and help farmers from accruing debts which in long run affect cost of production.
Chelugui appealed to farmers to join cooperatives to help in marketing their milk collectively.
He underscored the need for dairy cooperatives to venture in value addition saying by doing this, farmers’ return will go up as well as creation of employment, technology adoption and growth of service establishments.
He urged the county government of Murang’a to partner with other state agencies with idle land and make an agreement to utilize the lands for growing fodder.
On his part, Governor Kang’ata asked the suppliers and farmers owed by the factory to give the facility one year to stabilize its operations.
The facility, Kang’ata said is currently doing a value addition of 10, 000 litres of milk daily in a few months, they are targeting to do a value addition to more than 40, 000 litres supplied to the facility daily.
Meanwhile, Kang’ata said the subsidy which was being given to dairy farmers in terms of cash, will now be issued through e-voucher.
The e-voucher, he explained, will enable the beneficiaries to access agrovet items, animal feeds, and foodstuff and also help farmers pay for school fees or medical care.