Assessment of the structure and performance of the milk market in western Kenya
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Date
2014
Authors
Njehia, Bernard K.
Wanjala, S. P. O.
Ngichabe, Christopher
Journal Title
Journal ISSN
Volume Title
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Abstract
This study sought to assess the structure and performance of the milk market in Western Kenya.
Quantitative data was collected from 385 milk consumers in four counties, while qualitative data was
obtained from officials of selected cooperatives, Ministry of livestock and Kenya Dairy Board.
Frequencies, percentages, means, correlation and chi square tests were used to analyze data. The
findings of this study revealed that farmers and traveling traders supplied 58% of total milk traded,
with 70% of the milk passing through the informal channel. Problems associated with milk suppliers
included adulteration with water (65.5%), addition of chemicals (18%) and physical dirt (13.5%).
There was a significant correlation between channel and contamination of milk (p<0.05). The region’s
milk deficit was 177million litres/year, with demand estimated to be 392 million litres against a
production of 215 million litres. The main milk markets included households, hotels, institutions who
bought raw milk at USD 0.70 per litre while cooperatives bought at between USD 0.37 and USD 0.65.
Consumers surveyed preferred quality (56%), price (27%), quantity (9%), packaging (5%) and
reliability (3%) as attributes influencing choice of milk supplier. Based on these findings, milk
marketing strategy in the region should prioritize quality and pricing. Though households, hotels and
institutions offered good prices, they were unsustainable, scattered and unable to absorb increased
volumes in an upgrading strategy designed to increase milk production. It is recommended that
cooperatives, though comparatively buy milk at lower price, are the better option.
Description
The study was funded by East African Agricultural
Productivity Project. This paper is submitted for publication
with permission from Kenyatta University.
Keywords
Western Kenya, Milk market, Structure and performance, Consumers, Cooperatives
Citation
International Journal of Current Research Vol. 6, Issue, 03, pp.5652-5656, March, 2014