Private Sector, Dairy Cooperatives, and ASAL Model Drive Billions into Kenya’s Fodder Economy

Private Sector, Dairy Cooperatives, and ASAL Model Drive Billions into Kenya’s Fodder Economy
Photo by KEFFCIA

Kenya’s fodder sector has reached a major milestone with the launch of Kenya’s First Fodder Contracting & Investment Action (KEFFCIA 1), where commitments worth Ksh 2.6 billion were announced.

The event highlighted how private sector players, dairy cooperatives, and the innovative Arid and Semi-Arid Lands (ASAL) Fodder Economy model are driving unprecedented investment in a sector once considered informal and underdeveloped.

Key highlights from the forum included KSh 1.8 billion in private sector contracts and pipeline deals, KSh 200 million committed by nine pioneering dairy cooperatives, KSh 500 million projected through the ASAL Fodder Economy model, and KSh 103 million worth of land released for fodder commercialization.

Organizers emphasized that these figures represent only conservative, in-house commitments, with the scale expected to grow as the Kenya Fodder and Feed Alliance (KeFFA) expands across the country.

The fodder economy plays a central role in Kenya’s livestock sector, which contributes significantly to the country’s GDP and provides livelihoods for millions of households.

In pastoralist and dairy-producing regions, access to reliable animal feed is the backbone of food security and income generation.

For pastoralists in ASAL counties, fodder ensures animals survive prolonged droughts, reducing the risk of devastating losses during dry seasons.

For dairy cooperatives, locally produced fodder lowers feed costs, improves milk yields, and creates a sustainable cycle of production that benefits farmers and consumers alike.

Beyond direct benefits, the fodder economy also attracts investment in related industries, such as storage, transport, and processing, while strengthening resilience against climate change.

By commercializing fodder production, communities are creating jobs, reducing conflicts over grazing land, and promoting more sustainable land management practices.

According to KeFFA, the commitments announced at KEFFCIA 1 demonstrate that the fodder sector is no longer waiting for external support, it is actively investing in its own growth and financing its future.

With billions already flowing into the industry and more opportunities on the horizon, the fodder economy is emerging as a key pillar of Kenya’s agricultural transformation.