Is the Traditional Role of Milk Cooperatives Still Relevant? Evidence from Western Kenya

Abstract

This study investigated the extent of performance of modern functions among milk cooperatives in Western Kenya. Data was collected from all the ten active cooperatives, Kenya Dairy Board and the livestock department through interviews using checklists. The study found that milk cooperatives in the region have not taken off on a business path due to inefficiencies in management, technological and entrepreneurial skills. Assessment of extent of performance of modern roles showed that they were still far from embracing vertical linkages. Owing to a large number of inactive members (91%), idle capacity (91%), inadequate technical facilities and non professional managers, it is recommended that re structuring into new cooperative models should be done to enable them remain relevant in competitive value chains.