Kenya: Consumers Warn of Milk Price Squeeze As Formal Supply Falls

Consumers in Kenya are bracing for rising milk prices as formal-sector milk deliveries dropped in June, according to the Consumers Federation of Kenya (COFEK). The federation expressed concern over the 5 percent decline in milk intake by processors and other formal-sector players, which fell to 84.44 million litres in June 2026, down from 88.89 million litres in May.

This decline also marks a 6.4 percent reduction compared to June 2025, indicating growing strain on the country's dairy supply chain. COFEK Secretary-General Stephen Mutoro urged the government to provide a clear view of the dairy sector as prices start to increase and shortages become more frequent. Some Nairobi retailers have already begun rationing milk purchases, with prices for fresh milk rising from Sh70 to Sh80 per litre.

The federation also noted that smallholder farmers, who produce about 80 percent of Kenya's milk, are facing challenges with daily yields dropping from seven to nine litres to four to five litres due to delayed rains and increasing commercial feed costs. The Kenya Dairy Board has warned that some farmers may exit the dairy sector due to high feed costs.

COFEK argues that the current issues are not solely weather-related and points to the lack of incorporation of surplus milk powder from last year into strategic food reserves. The federation demands a recovery plan from the Agriculture Ministry, monthly milk-intake targets, and emergency support for dairy-producing counties. They also call for the removal of import duties and VAT on dairy-feed ingredients to alleviate the farmers' burden. COFEK stresses the need for government action to protect both farmers and consumers.