Milk prices spike due to an increase in fuel prices

The recent increase in fuel prices has triggered a spike in milk prices, leaving Kenyans with a financial burden. 

Even as Kenyans continue to suffer the blunt of the Covid-19 pandemic that has crippled the economy, milk processors have already increased milk prices. 

The New Kenya Cooperative Creameries (KCC) Managing Director, Nixon Sigey, said last year processors were forced to cushion consumers from paying more for milk as the production cost increased. 

The cost paid by consumers remained the same over the last one year while the price paid to the farmers increased, Sigey explained. 

He stated, “Farmers prices increased from Ksh33 in March 2020 to Ksh45 currently. For a long time, consumer prices remained between Ksh45 and Ksh50 per packet depending on the brand.” 

A half a litre of long-life milk is currently retailing at Ksh60, up from Ksh55 while fresh milk is retails at Ksh55, up from Ksh50.

However, the new milk prices will see the cost revised upwards by between Ksh3 and Ksh 5 per litre.

This is the first time the price of milk is increasing in over a year.

The cost of other products is bound rise following the Ksh7 increase per litre in prices of petroleum and diesel as announced by the Energy and Petroleum Regulatory Authority (EPRA) on September 14. 

After an uproar from Kenyans over the increase, the Senate summoned Energy Cabinets Secretary, Charles Keter and his petroleum counterpart John Munyes to explain the influx in fuel prices.

However, the two CSs did not show up for their grilling.

Furthermore, Members of Parliament were requested by the Speaker of the National Assembly, Justin Muturi, to table concerns on fuel costs for discussion in the August House.