Share With Friends

Ruto Announces Ksh65 Milk Price and Quarterly Bonus for Dairy Farmers

President William Ruto has announced that dairy farmers will receive Ksh65 per litre of milk starting October 2026, alongside an additional Ksh2 per litre paid quarterly, as his administration moves to boost earnings in the dairy sector.

Ruto made the announcement on Tuesday, October 20, during the 63rd Mashujaa Day celebrations at Kipchoge Keino Stadium in Eldoret, Uasin Gishu County.

The President said the revised payment rate would build on previous increases intended to improve farmers’ incomes and encourage higher milk production.

“Beginning this month, dairy farmers will earn Kenya shillings 65 per litre, with a bonus of two shillings to be paid every quarter,” Ruto said.

Also Read

After Many Months Of Staying At Home, Okello From Gulu Narrates What He Did To Finally Get A Gov’t Scholarship At Makerere University

Drama! As Kasese Woman Narrates How She Caught Her Husband Red-Handed Cheating On Her With Her Mother

Kampala Woman Cries Out After Her Wealthy Husband Suddenly Abandons Her And Their Children, But What Happens Next Leaves Her Shocked

Okello From Gulu Painfully Narrates How He Has A Masters Degree From Makerere University But Till Today, He Is Unemployed

Drama! Kampala Woman Narrates How Her Boyfriend Dumped Her For Younger University Lady But Later Begged Her To Take Him Back, This Is What Happened

He noted that the price paid to farmers had increased from Ksh35 to Ksh60 per litre, while national milk production had grown by one billion litres.

Milk Production Increases Despite Shortages

The announcement comes amid persistent milk supply challenges that have affected households, retailers and businesses across Kenya.

According to the Kenya National Bureau of Statistics Economic Survey 2026, fresh milk production reached 5.5 million tonnes in 2025, marking a 3.5 per cent increase compared with the previous year.

Milk deliveries to industrial processors also crossed the one-billion-litre mark for the first time, rising by 11.5 per cent from 909 million litres recorded in 2024.

Despite the growth, farmers continue to face high animal-feed costs and concerns over delayed payments from processors. Some have opted to sell milk directly to consumers to secure better returns.

The new payment rate could provide additional income for farmers, although its impact on consumer prices will depend on supply, processing and distribution costs.

Ruto Outlines New KCC Changes

The President also highlighted planned reforms at New Kenya Co-operative Creameries (New KCC), which involve allowing its eight factories to manage operations independently and supply milk directly to regional markets.

The government expects the changes to reduce transportation expenses, improve efficiency and ease distribution challenges.

Additionally, Ruto has pledged to clear approximately Ksh400 million owed to dairy farmers by the end of October 2026. During a visit to Nandi County on October 18, he acknowledged that some farmers had waited two or three months for payment.

The government will now face the challenge of implementing the revised milk prices, settling outstanding debts and improving distribution while ensuring consumers can continue accessing affordable dairy products.