Business

Ruto plans to let KCC factories run independently to ease milk shortage

Each of the eight New KCC plants would supply nearby markets directly, instead of routing milk through Nairobi.

Based on reporting by Kenyans.co.ke.

Cows grazing on a family farm at Kehancha, Migori County

Cows grazing on a family farm at Kehancha, Migori County. File photo, 2025. Photo: Queen Asali / Wikimedia Commons, CC BY-SA 4.0

President William Ruto says the eight New KCC factories will be allowed to run independently, each managing its own production and supplying milk directly to nearby markets.

Speaking at a church service in Kapsabet, Nandi County, on Sunday, Ruto said moving all milk through one place would end, and that the change would help ease the shortage and bring prices down. He said the model would mirror the Kenya Tea Development Agency.

Fresh milk has been scarce in Nairobi and other major towns, with some retailers rationing sales. Retail prices have risen by about 6%, with drought, poor pasture and high feed costs blamed.

Ruto also said the government would pay about Sh400 million owed to dairy farmers by the end of October. No start date for the KCC changes was given.

MilkKCCDairy farmersCost of living