Dairy Hub in Kenya

​​​​​​​​​​​Tetra Laval Food for Development and Tetra Pak in extended partnership ​for a new Dairy Hub in Kenya

A new Dairy Hub project supporting 30,000 farmers will be launched in Kenya. Tetra Laval Food for Development and Tetra Pak are partnering with several public-sector organisations in Kenya in this four-year, USD 12.6 million investment project. The project will help farmers increase the quantity and quality of the milk they produce to meet the growing demand for dairy products in the Kenyan market.

In what is a true public-private development partnership (PPDP), Tetra Pak has joined forces with the Swedish International Development Cooperation Agency (Sida)​, the customer New Kenya Co-operative Creameries (NKCC) and Heifer International, a US-based non-profit organisation. The partnership development was driven by Tetra Laval Food for Development supporting Tetra Pak East Africa and NKCC. It is the third PPDP with Sida.

According to the Kenya Dairy Board, smallholder farmers with an average of one to three cows account for nearly 80 per cent of total milk production in the country. However, many smallholder farmers struggle with low yields per cow, profitability and the need to improve quality. Due to insufficient infrastructure and cooling centres, many smallholder farmers rely heavily on informal channels to supply their milk. Unexpected weather patterns and drought has also caused farmers’ earnings to drop recently.

“We’re very excited to kick off the Kenya Dairy Hub project in collaboration with a committed group of partners,” says Rafael Fábrega, Director of Tetra Laval Food for Development. The Dairy Hub model links smallholder farmers to a dedicated dairy processor, which provides access to the market and safe distribution of UHT milk everywhere. We work closely with DeLaval and Tetra Pak to support our customers. Our role is to provide technology and hands-on training through practical knowledge transfer to smallholder farmers.”

The primary goal is to improve the livelihoods of 30,000 smallholder dairy farmers and their families, through increased dairy productivity, increased incomes and increased participation of women in the dairy value chain.

The programme will work through producer organisations, which operate as dairy cooperatives engaged in milk production, collection, bulking, chilling and selling. It’s expected to double dairy production for NKCC, as well as growing incomes and creating important employment opportunities in the areas of agriculture and dairy.​

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