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Farmers sell milk at sh30/litre, retailers sell sh110/litre
poundfoolish
#21 Posted : Tuesday, September 03, 2013 4:10:29 PM
Rank: Elder


Joined: 12/2/2009
Posts: 2,458
Location: Nairobi
We are bound to see a number of 'processing' plants spring up.. How much is a pasteuriser from shaina? and packaging... ?

Lakini niulize? Hata machinani selling unprocessed milk is illegal?
EBALE
#22 Posted : Tuesday, September 03, 2013 4:58:05 PM
Rank: Member


Joined: 8/15/2008
Posts: 16
Location: Nairobi
poundfoolish wrote:
We are bound to see a number of 'processing' plants spring up.. How much is a pasteuriser from shaina? and packaging... ?

Lakini niulize? Hata machinani selling unprocessed milk is illegal?


The license fee for setting up processing plants may rise.

Interesting observation @QD.

We are in a fix though, we cannot boycott milk since it is used with many other products like bread. Plus our children need milk too.
What to do?
Obi 1 Kanobi
#23 Posted : Tuesday, September 03, 2013 6:03:37 PM
Rank: Elder


Joined: 7/23/2008
Posts: 3,017
The new generation of milk farmers are by the day shying away from sellig raw milk, I know a couple of farmers who have opted to value add. Instead of selling a litre at Sh 30, they are making yoghurts, ice cream, the retun per litre balloons to Sh 300.

Thats just the way capitalism is, nobody will pay you Sh 60 per litre coz you deserve it, if you want more go for it.
"The purpose of bureaucracy is to compensate for incompetence and lack of discipline." James Collins
washiku
#24 Posted : Tuesday, September 03, 2013 6:12:59 PM
Rank: Chief


Joined: 5/9/2007
Posts: 13,095
kimiri
#25 Posted : Tuesday, September 03, 2013 6:18:23 PM
Rank: Member


Joined: 3/12/2008
Posts: 215
The Kenyan dairy industry has really performed well over the last 10 years with annual milk production doubling to >4 billion liters. It is important to note that >70% of the marketed milk is not processed due to a number of reasons including absence of formal (cold) marketing channels in some regions, better prices offered by informal milk traders to farmers, raw milk tend to be cheap for consumers, some consumers have developed a taste for raw milk etc.). To mitigate the risks associated with marketing of raw milk, the Kenya dairy Board (KDB) has in the past been involved in training and licensing of milk traders. For a trader to be licensed, he/she should have premises (a milk bar) for his business.

Although processed milk account for <30% of the marketed milk, the structure of the industry is such that it is dominated by a few but large players. In recent years, the number of big processors has actually fallen following the acquisition of Spin-Knight, Daima, Molo milk, Delamere dairies etc. by Brookside. And this is where I think the problem is emanating from. With reduced competition in the formal sector, it is likely that the few remaining big processing firms are attempting to make monopoly profits by offering very low prices to farmers and selling the processed milk at exorbitant prices to consumers.

Worse still, the big processors seem to be exerting some influence on KDB to outlaw sale of raw milk. Last week, after a report on some raw milk traders who were adding illegal substances in their milk, KDB decided to ban sale of raw milk. To me this is a very wrong approach as it fails to appreciate the fact that raw milk trading brings in competition in the industry which ensures that consumers get milk at low prices and farmers receive better prices. A better approach should have been to police informal milk trading, including de-registering and prosecuting those traders engaging in illegal practices.

Indeed talk by some raw milk traders’ is that the reported incidence could have been stage managed to trigger the ban on raw milk trading by KDB. If the ban is enforced, milk consumers will pay through their noses and consumption will suffer big time. Also, many farmers are likely to find themselves with no markets for their milk. So my advice to the industry regulator is to find a way of regulating the informal sector rather than killing it. My thoughts.
Kratos
#26 Posted : Tuesday, September 03, 2013 6:24:44 PM
Rank: Veteran


Joined: 9/19/2011
Posts: 1,694
Obi 1 Kanobi wrote:
The new generation of milk farmers are by the day shying away from sellig raw milk, I know a couple of farmers who have opted to value add. Instead of selling a litre at Sh 30, they are making yoghurts, ice cream, the retun per litre balloons to Sh 300.

Thats just the way capitalism is, nobody will pay you Sh 60 per litre coz you deserve it, if you want more go for it.


Quote:


Proponents of capitalism use historical precedent to claim that it is the greatest wealth-producing system known to man, and that its benefits are mainly to the ordinary person.[12] Critics of capitalism variously associate it with economic instability[13] and an inability to provide for the well-being of all people


Am not sure i follow what people are complaining about.

“People will believe a big lie sooner than a little one, and if you repeat it frequently enough, people will sooner or later believe it.” ― Walter C. Langer
mukiha
#27 Posted : Tuesday, September 03, 2013 6:33:41 PM
Rank: Elder


Joined: 6/27/2008
Posts: 4,114
Rumour has it that nobody has ever fallen sick in Kenya as a result of consuming contaminated milk....
Nothing is real unless it can be named; nothing has value unless it can be sold; money is worthless unless you spend it.
McReggae
#28 Posted : Tuesday, September 03, 2013 6:39:14 PM
Rank: Elder


Joined: 6/17/2008
Posts: 23,365
Location: Nairobi
@kimiri.......Daima is still owned by the Sameer Group....sio Brookside.
..."Wewe ni mtu mdogo sana....na mwenye amekuandika pia ni mtu mdogo sana!".
kyt
#29 Posted : Tuesday, September 03, 2013 7:42:06 PM
Rank: Elder


Joined: 11/7/2007
Posts: 2,182
take coffee much cheaper
LOVE WHAT YOU DO, DO WHAT YOU LOVE.
digitek1
#30 Posted : Tuesday, September 03, 2013 8:38:37 PM
Rank: Veteran


Joined: 2/3/2010
Posts: 1,797
Location: Kenya
kimiri wrote:
The Kenyan dairy industry has really performed well over the last 10 years with annual milk production doubling to >4 billion liters. It is important to note that >70% of the marketed milk is not processed due to a number of reasons including absence of formal (cold) marketing channels in some regions, better prices offered by informal milk traders to farmers, raw milk tend to be cheap for consumers, some consumers have developed a taste for raw milk etc.). To mitigate the risks associated with marketing of raw milk, the Kenya dairy Board (KDB) has in the past been involved in training and licensing of milk traders. For a trader to be licensed, he/she should have premises (a milk bar) for his business.

Although processed milk account for <30% of the marketed milk, the structure of the industry is such that it is dominated by a few but large players. In recent years, the number of big processors has actually fallen following the acquisition of Spin-Knight, Daima, Molo milk, Delamere dairies etc. by Brookside. And this is where I think the problem is emanating from. With reduced competition in the formal sector, it is likely that the few remaining big processing firms are attempting to make monopoly profits by offering very low prices to farmers and selling the processed milk at exorbitant prices to consumers.

Worse still, the big processors seem to be exerting some influence on KDB to outlaw sale of raw milk. Last week, after a report on some raw milk traders who were adding illegal substances in their milk, KDB decided to ban sale of raw milk. To me this is a very wrong approach as it fails to appreciate the fact that raw milk trading brings in competition in the industry which ensures that consumers get milk at low prices and farmers receive better prices. A better approach should have been to police informal milk trading, including de-registering and prosecuting those traders engaging in illegal practices.

Indeed talk by some raw milk traders’ is that the reported incidence could have been stage managed to trigger the ban on raw milk trading by KDB. If the ban is enforced, milk consumers will pay through their noses and consumption will suffer big time. Also, many farmers are likely to find themselves with no markets for their milk. So my advice to the industry regulator is to find a way of regulating the informal sector rather than killing it. My thoughts.

how do you expect the QCs to be paid...
I may be wrong..but then I could be right
maka
#31 Posted : Tuesday, September 03, 2013 8:49:23 PM
Rank: Elder


Joined: 4/22/2010
Posts: 11,522
Location: Nairobi
Obi 1 Kanobi wrote:
The new generation of milk farmers are by the day shying away from sellig raw milk, I know a couple of farmers who have opted to value add. Instead of selling a litre at Sh 30, they are making yoghurts, ice cream, the retun per litre balloons to Sh 300.

Thats just the way capitalism is, nobody will pay you Sh 60 per litre coz you deserve it, if you want more go for it.


So all of us add value???
possunt quia posse videntur
maka
#32 Posted : Tuesday, September 03, 2013 8:51:24 PM
Rank: Elder


Joined: 4/22/2010
Posts: 11,522
Location: Nairobi
kimiri wrote:
The Kenyan dairy industry has really performed well over the last 10 years with annual milk production doubling to >4 billion liters. It is important to note that >70% of the marketed milk is not processed due to a number of reasons including absence of formal (cold) marketing channels in some regions, better prices offered by informal milk traders to farmers, raw milk tend to be cheap for consumers, some consumers have developed a taste for raw milk etc.). To mitigate the risks associated with marketing of raw milk, the Kenya dairy Board (KDB) has in the past been involved in training and licensing of milk traders. For a trader to be licensed, he/she should have premises (a milk bar) for his business.

Although processed milk account for <30% of the marketed milk, the structure of the industry is such that it is dominated by a few but large players. In recent years, the number of big processors has actually fallen following the acquisition of Spin-Knight, Daima, Molo milk, Delamere dairies etc. by Brookside. And this is where I think the problem is emanating from. With reduced competition in the formal sector, it is likely that the few remaining big processing firms are attempting to make monopoly profits by offering very low prices to farmers and selling the processed milk at exorbitant prices to consumers.

Worse still, the big processors seem to be exerting some influence on KDB to outlaw sale of raw milk. Last week, after a report on some raw milk traders who were adding illegal substances in their milk, KDB decided to ban sale of raw milk. To me this is a very wrong approach as it fails to appreciate the fact that raw milk trading brings in competition in the industry which ensures that consumers get milk at low prices and farmers receive better prices. A better approach should have been to police informal milk trading, including de-registering and prosecuting those traders engaging in illegal practices.

Indeed talk by some raw milk traders’ is that the reported incidence could have been stage managed to trigger the ban on raw milk trading by KDB. If the ban is enforced, milk consumers will pay through their noses and consumption will suffer big time. Also, many farmers are likely to find themselves with no markets for their milk. So my advice to the industry regulator is to find a way of regulating the informal sector rather than killing it. My thoughts.

well put...
possunt quia posse videntur
Rankaz13
#33 Posted : Tuesday, September 03, 2013 8:52:22 PM
Rank: Elder


Joined: 5/21/2013
Posts: 2,841
Location: Here
mukiha wrote:
Rumour has it that nobody has ever fallen sick in Kenya as a result of consuming contaminated milk....


Brucellosis nayo?
Life is like playing a violin solo in public and learning the instrument as one goes on.
kysse
#34 Posted : Tuesday, September 03, 2013 9:38:20 PM
Rank: Elder


Joined: 1/17/2013
Posts: 4,693
Location: Earth
It's time for milk lovers to explore other options because I see people drinking 'nylon tea' mbaya sana.

1.Mothers breastfeed those babies for 6 months muwachane na tuzo.When weaning starts give baby lots of porridge instead of plain milk.
2.Try soya milk if you aren't allergic
3.Lemon tea is also very sweet-forget the milk
4.Did goat/camel milk prices go up as well?-Try them out as they are both good esp the latter.(it has good thick and yellowish cream)Pray
5.For cereal lovers lol- I have once poured tea on cereal, so if things get thick and kids are threatening to bring the house down, use tea and baptize with a spoon of milk and sugar.
It works.
6.Find out which other animals produce milk.Anything with udders does.
Thank God for black coffee,the aroma smile
Drobos fly
#35 Posted : Tuesday, September 03, 2013 10:19:31 PM
Rank: Member


Joined: 4/24/2012
Posts: 331
Location: Vantage point
Tebes wrote:
Newspapers to cost sh. 60bob.


Easy as pie! Just grab yourself an auto-focus android phone that can snap up bar/QR codes from like a meter and your good! All you have to do is greet your newspaper vender... snap! on your way to work and you can read all you want!
Drobos fly
#36 Posted : Tuesday, September 03, 2013 10:28:35 PM
Rank: Member


Joined: 4/24/2012
Posts: 331
Location: Vantage point
I can bet 1000% the commodities that have just been slapped with tax, are the main economy movers where majority fall under.
Lolest!
#37 Posted : Tuesday, September 03, 2013 10:57:44 PM
Rank: Elder


Joined: 3/18/2011
Posts: 12,069
Location: Kianjokoma
Rankaz13 wrote:
mukiha wrote:
Rumour has it that nobody has ever fallen sick in Kenya as a result of consuming contaminated milk....


Brucellosis nayo?

brucellosis is rampant esp among low income households. They do not boil milk for long enough. First boil ikifika juu they have added majani and served. Unprocessed millk is good and tasty. I love it. You just need to boil it vizuri.
Laughing out loudly smile Applause d'oh! Sad Drool Liar Shame on you Pray
butterflyke
#38 Posted : Tuesday, September 03, 2013 11:42:12 PM
Rank: Elder


Joined: 5/1/2010
Posts: 3,024
Location: Hapa
Lolest! wrote:
@QD, very possible what u saying up there!


ditto. i went to my local duka nikakuta maziwa ya VAT imeisha so i had to buy hiyo ya kupimwa...i should be ok tomorrow smile
Float like a butterfly, sting like a bee. - Muhammad Ali🐝
kiterunner
#39 Posted : Wednesday, September 04, 2013 12:00:02 AM
Rank: Member


Joined: 7/9/2011
Posts: 730
Location: Nairobi
goggles goggles goggles, is it just me who sees the growing monopoly by one Brookside and the increasing influence on KDB?
our goals are best achieved indirectly
maka
#40 Posted : Wednesday, September 04, 2013 12:09:50 AM
Rank: Elder


Joined: 4/22/2010
Posts: 11,522
Location: Nairobi
kiterunner wrote:
goggles goggles goggles, is it just me who sees the growing monopoly by one Brookside and the increasing influence on KDB?

We are all seeing it in black and white...rem soon maziwa ya jubilee inarudi back to schools...http://www.standardmedia.co.ke/mobile/?articleID=2000084772&story_title=state-working-on-free-milk-programme-for-primary-school-pupils look at the figures...hope it benefits the farmer...
My signature sums it all up...
possunt quia posse videntur
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