Githunguri Dairy Farmers Co-operative Society Limited has increased its turnover by Sh1 billion despite prolonged drought, rising production costs and livestock diseases affecting the dairy sector.
The co-operative, which manufactures Fresha milk products, recorded a turnover of about Sh11.4 billion in the latest financial year, up from Sh10.4 billion previously, following an increase in milk deliveries from farmers.
It received 97 million litres of milk during the period, compared with 91 million litres in the previous financial year, reflecting improved performance despite the challenges facing dairy farmers.
Chairperson John Ndichu attributed the growth to farmers’ commitment to sustaining production and the society’s continued investment in training producers and exploring new markets.
“This growth has demonstrated the importance of supporting farmers with the knowledge and commercial opportunities required to sustain production,” he said during the 2026 Annual General Meeting held at Kanjai Primary School in Githunguri, Kiambu county.
However, Ndichu warned that high animal feed prices, recurring livestock diseases and prolonged dry conditions continued to threaten milk production and farmers’ earnings, calling for interventions by national and county governments to safeguard the sector.
He identified the high cost of animal feeds as one of the biggest obstacles to profitable dairy farming, noting that taxation on raw materials sourced from neighbouring countries had further increased production expenses.
Tanzania and Uganda are among the countries supplying raw materials used in animal feed manufacturing, but additional taxes on these inputs have contributed to the rising cost of feeds.
The increased expenses have placed dairy farmers under financial pressure, making it difficult for them to maintain adequate feeding programmes, improve cattle productivity and increase milk output.
Farmers affiliated with Githunguri Dairy Farmers Co-operative Society during an AGM at Kanjai Primary School on October 9, 2026/ ALICE WAITHERANdichu urged policymakers to review the taxation framework affecting the dairy industry and consider subsidies, value-added tax exemptions and other relief measures on selected production inputs.
“Reducing the cost of production would help farmers improve productivity and strengthen the competitiveness of locally processed dairy products,” he said.
The society also raised concern over foot and mouth disease and lumpy skin disease, which have affected dairy farmers within its operational areas.
Ndichu said the outbreaks have disrupted milk production and increased the need for vaccination and other preventive measures to protect livestock.
He commended the Kiambu county government for collaborating with the society in livestock vaccination programmes and disease control initiatives, urging both levels of government to sustain their efforts to contain outbreaks.
The prolonged dry spell has also affected milk production, contributing to reduced supplies in the market and pushing up retail prices.
Although Ndichu welcomed the return of rainfall, he stressed that farmers would require continued support to restore production, maintain healthy herds and meet growing demand for milk and dairy products.
To strengthen its operations, the society plans to source additional milk from other co-operatives and milk aggregators outside its traditional collection areas.
The arrangement will allow other co-operatives to supply milk for processing and value addition without necessarily requiring their farmers to become members of Githunguri Dairy Farmers Co-operative Society.
Ndichu explained that the move would help the society increase the volume of milk handled at its factory and improve the utilisation of its existing processing infrastructure.
The factory is currently operating at about 60 per cent of its installed capacity, with management targeting between 80 and 90 per cent utilisation as it expands milk sourcing and strengthens its market position.
“Our society is responding to competition in the dairy industry, where major processors increasingly source milk from wider geographical areas to sustain their operations,” he said.
The increased volumes are expected to improve factory efficiency, support business expansion and create additional opportunities for value addition.
Board members of Githunguri Dairy Farmers Co-operative Society during an AGM at Kanjai Primary School in Kiambu County on October 9, 2026/ ALICE WAITHERA
Ndichu noted that higher milk volumes and improved processing could also create room for better milk prices and dividend payments, depending on the society’s financial performance.
He credited farmers for sustaining the co-operative’s growth, adding that investments in market expansion, farmer training and processing would remain central to its operations.
Meanwhile, Kiambu Co-operatives chief officer Peter Ndegwa urged dairy farmers to embrace modern production methods to improve milk yields and increase their earnings.
He said profitable dairy farming required more than keeping cattle, stressing the importance of proper nutrition, disease prevention and improved breeding practices in building productive herds.
Ndegwa identified access to quality animal feeds and vaccines as key priorities, particularly as farmers grapple with high production costs and recurring livestock diseases.
He also encouraged farmers to adopt sexed semen technology to improve breeding outcomes and strengthen the quality of their dairy herds.
The technology increases the probability of producing calves of a desired sex, enabling farmers to plan breeding more strategically and expand their dairy herds.
Ndegwa further disclosed that the county was implementing a milk cooler to improve storage and reduce losses before milk reaches the market.
He stressed the need to ensure the facility receives the attention required for completion and effective operation, noting that proper milk storage would help preserve quality and minimise spoilage.
“The county administration is committed to supporting dairy farmers enhance their production and returns. My call is to farmers to take advantage of available interventions,” he said.
