Githunguri Dairy Farmers Cooperative Society, makers of Fresha milk products, will now be exporting about 250,000 litres of milk per month to international markets, including Oman, Yemen, and Saudi Arabia.
Speaking during the society’s annual general meeting held in Githunguri Stadium, George Kinuthia, the Chairman of the Society, said that they have dispatched off 113,750 litres of UHT milk, which will increase when their market improves.
“There is a shortage of milk not only in Kenya but globally, and as one of the largest milk processors in the country, we are glad to tap into the international market and, in the process, improve the economic status of our farmers,” said Kinuthia.
The chairman added that they plan to increase the amount of milk they export as they are in the process of identifying more potential markets.
“Knowing how competitive Kenyan milk is in international markets, it is time the government and stakeholders first step up and boost dairy exports, as these will help foster transformation for better production and better nutrition,” he added.
The society also reported an increase in total revenue in the last financial year from Sh 9.2 billion to Sh 9.9 billion and a surplus before tax decrease from Sh 435 million to Sh 228 million.
The annual report also stated that as of June 30th, 2023, the net asset position of the society was at Sh 3.14 billion compared to Sh 2.95 billion the previous year.
“The society’s share capital has increased during the year from Sh 589.1 million to Sh 607.9 million, and the member’s annual dividend was slightly reduced from Sh 158.2 million down from Sh175.4 million, where a farmer is paid at a rate of Sh 1.80 per share from last year’s Sh 2.00 per share. This was as a result of the cost of business, which went up due to the current rise in the cost of living,” the chairman remarked.
Kinuthia, who blamed the reduced rates of payment of farmers on the high cost of production due to the tremendous rise of fuel products in recent years, said society now spends twice the amount of money on production.
“Even with the challenge of high production costs, we have been able to increase the amount of money we spend buying a litter of milk from our farmers from Sh 45 to Sh 49 since we understand they are also faced with the challenge of high animal feed costs,” said Kinuthia.
The society also recorded a slight growth in membership this year, to 27,607 members from 27,113 last year. These have had a positive effect on the amount of milk collected, rising from 265,000 litres of milk every day up from 236,000 litres of milk last year.
By Grace Naishoo
