Focus shifts to the camel as next cash cow

What you need to know:

  • Government in talks with Bill and Melinda Gates Foundation to set up processing plants in Eastern parts of the country.
  • Gates foundation to set up plants in Garissa and Isiolo in a sector worth $10 billion a year globally.

Discussions between the Kenyan Government and the Bill and Melinda Gates Foundation, the largest transparently operated private foundation in the world, founded by Microsoft’s Bill Gates and his wife Melinda, could see a large camel milk processing plant set up at Isiolo.

On its part, the government plans to construct a mini processing plant for camel milk in Garissa in what are the first serious attempts to tap into the multi-billion subsector.

“The government is discussing with Bill and Melinda Gates Foundation with the objective of building a processing facility in Isiolo,” said director of livestock production, Mr Julius Kiptarus while addressing stakeholders on budget in the Ministry of Livestock.

Vital Camel Milk Ltd located in Laikipia is the only camel milk processing plant in the country, a sub-sector estimated to have produced 340 million litres in 2007 worth Sh8 billion.

The plant has installed processing capacity of 3,600 litres per day although poor infrastructure and undeveloped market limits its potential.

This amount can be compared to income generated from coffee.

Marketing for the produce is largely un-coordinated involving mostly Somali women who transport it to Nairobi’s Eastleigh Estate from Isiolo.

Able to meet 30 per cent

While the average price of camel milk in Isiolo is between Sh25 and Sh30 per litre, in Nairobi it costs more than Sh80.

Hawkers are, however, only able to meet between 25 per cent and 30 per cent of the demand according to a study commissioned in September 2008 by the Netherlands Development Organisation (SNV) and conducted by consultants from Resource Mobilisation Centre.

The volumes represent just 4,000 litres per day. Experts estimate that supply can be increased to 20,000 litres per day without further investment so long as there is better collection and storage facilities.

Reported medical value

Camel milk has increasingly become popular for its reported medicinal value. Regular consumption is said to help in optimal management of diabetes besides helping in controlling high blood pressure. The milk has anti-baterial and anti-viral qualities that assist the body to put diseases at bay.

Recovery of patients with infectious diseases like tuberculosis who consume camel milk is faster. It has high levels of lanolin, which slows down aging by providing the skin with a smooth touch.

There has, however, been little done to tap into the sub-sector, which could help alleviate poverty in North Eastern and upper Eastern parts of the country.

Kenya has the 5th largest camel herd in the world, with Somalia, Sudan, Ethiopia and Mauritania taking the lead.

The three types of camels, classified according to the communities that rear them, are Somalia, Gabbra\Rendille and Turkana breeds. They are distinguished by their sizes and amount of milk they produce. Somalia breed is larger and produces more milk.

The 2009 Population and Housing Census, the first ever that included counting of livestock, placed the number of camels in the country at three million.

Experts say that, with frequent droughts that lead to loss of cattle, sheep and goats, camels that can withstand long dry spells while producing milk offer the best alternative source of livelihood to the residents of the arid and semi-arid areas.

Although initially found mostly in North Eastern and parts of upper Eastern, camel rearing has been spreading to other parts like Laikipia, Kajiando, Pokot and Narok.

Marketed in raw form

According to the study by SNV, 12 per cent of camel milk was marketed mostly in raw form, 10 per cent to rural consumers and 2 per cent to urban consumers.

Out of the rest, constituting 88 per cent, 38 per cent was used by producing households while the other 50 per cent or 170 million litres was ‘wasted’ or could not be accounted for.

“This roughly means an opportunity for increasing the incomes of camel keeping communities by Sh4 billion every year is lost,” said the SNV report.

Vital Camel Milk Ltd sells its produce locally while some is exported to South Africa, America and Chile.

The challenge now lies in maintaining high quality standards and increasing the volumes of production to meet the demand and consistency in the market.

A draft bill on dairy sector, which will bring the camel milk under regulation similar to cattle milk, is in the pipeline.

Value-chain approach to deal with issues of low productivity, market access, poor organisation of the producers and traders and poor development of supporting infrastructure is required for the sector to contribute more to the national economy.

According to the United Nation’s Food and Agriculture Organisation (FAO), the international market for camel milk is estimated at Sh800 billion ($10 billion) per year with consumers concentrated mostly in the Middle East, Europe and America.

The international market is, however, highly sensitive to quality and international food safety in general and those governing organic food market, hence the local producers have to improve on their standards to penetrate the highly lucrative outlets.

Several companies, mostly in Middle East, are already making a variety of products that include soaps and yorghut from camel milk.