Circular Bioeconomy for the Kenyan Dairy Sector

In Kenya, dairy is a leading food sector, processing 634 million litres of milk in 2018 and contributing 14% of agricultural GDP and 4% of national GDP. Per capita per annum consumption of dairy products is over 110 litres and is projected to double by 2030 with increasing shares of processed products such as yoghurt and cheese. These trends will increase the volumes of sidestreams and waste, implying increased environmental risks but also opportunities for the valorisation of sidestreams such as whey into food or feed products. The Kenya Agricultural Sector Transformation and Growth Strategy (ASTGS) aims to increase the contribution of agro-processing to GDP by over 50% in the next five years. However, the strategy rests on a linear growth model and does not recognize the potential for CBE. Hence, implementing the ASTGS ‘as is’ without considering biocircular principles entails the risk that Kenya does not achieve its SDG commitments, particularly SDG 12: Responsible consumption and production patterns. For the rapidly growing dairy industry, the risk is that it will continue the depletion of energy, water and land resources, as well as generate GHG emissions and pollutant waste. The vibrancy of the dairy sector is anchored on the increasing domestic milk production and a growing demand for milk and dairy products. There are about 30 licensed milk processors, two of which process more than 60 percent of the total processed milk. About than 75 percent of the product is marketed through informal channels.