The move positions one of Kenya’s largest dairy cooperatives at the forefront of low-emission transport adoption within Africa’s dairy supply chain.

KENYA – Githunguri Dairy Cooperative Society has taken a significant step towards sustainable dairy logistics by introducing electric motorbikes into its milk collection and distribution operations.
The electric motorbikes are intended to support last-mile milk collection from smallholder farmers and facilitate faster, more reliable movement of milk between collection centres and chilling facilities.
Rising fuel prices and maintenance costs have placed increasing pressure on dairy logistics across East Africa. By transitioning to electric motorbikes, Githunguri Dairy aims to reduce recurring fuel costs and lower carbon emissions associated with milk collection.
Electric vehicles also have fewer moving parts than internal combustion engines, resulting in reduced servicing requirements and improved operational uptime.
For dairy cooperatives operating on tight margins, such savings can have a direct impact on farmer payouts.
Lower logistics costs strengthen the cooperative’s ability to maintain competitive farmgate milk prices while preserving product quality through quicker collection cycles.
Milk quality is particularly vulnerable during the final stages of transport from farm to collection centre. Delays, poor road conditions and inconsistent transport can lead to spoilage and financial losses for farmers.
The deployment of electric motorbikes is expected to improve collection frequency and reliability, particularly in remote areas where conventional vehicles struggle to operate efficiently.
By improving access to organised collection systems, the initiative supports greater smallholder inclusion in formal dairy markets, reinforcing income stability and reducing post-harvest losses.
The shift also aligns with Kenya’s broader climate and sustainability ambitions. Agriculture remains both a contributor to, and a victim of, climate change, with the dairy sector increasingly under pressure to reduce its environmental footprint.
KDC invests US$3.86M in Githunguri Dairy to expand MSME credit access
Recently, the Kenya Development Corporation (KDC) injected US$3.86 million (KES500 million) into Githunguri Dairy Cooperative Society (GDC) to strengthen financial inclusion and expand credit access for Kenya’s small business sector.
This substantial investment is a critical component of the government’s broader strategy to empower micro, small, and medium enterprises (MSMEs) by improving access to long-term financing, particularly for capital-intensive projects that have historically struggled to secure adequate funding from traditional financial institutions.
However, access to affordable, long-term credit has remained a persistent challenge, constraining the growth potential of thousands of small businesses across the nation.
Through this strategic partnership with Githunguri Dairy Cooperative Society, KDC aims to address this financing gap and create a sustainable model for supporting entrepreneurship and economic development.
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