Palmhouse Dairies: High Quality Milk and Drinking Yogurt Producer in Kenya

Margaret Munene, Managing Director of Palmhouse Dairies Ltd, presents the company and its main competitive advantages. Palmhouse Dairies is a family owned dairy processing plant based in Githunguri, Kenya, that produces about 5000 litres of milk a day split between white milk and other products.

“We are still addressing the high-end market but what has changed is we have really increased our value addition. Now, we are making a lot of drinking yogurt, partly for the high-end market, but most of it is for the normal market. We are selling to shops, kiosks, and a few supermarkets. Quality is always our greatest selling point. Many of our customers are referred to us from our older customers who we have been with for a long time and who know that Palmhouse Dairies milk is of very good quality. Our service is very good in that we are not a very big company so we are very versatile in addressing the needs of our clients. For example, if a hotel like Serena runs out of milk, it is possible for them to call us and we can actually do a second delivery, which for a big company would be impossible. Our figures have grown. Our customers in the high-end market have grown but we now have many customers also in the normal market because of yogurt. We do roughly 1,000 liters of yogurt per day. Kenyans love yogurt when it is hot, so especially in the hot, dry months, we are able to sell up to 1,200 liters of yogurt per day. We do not use any preservatives in our yogurt. Sometimes, our white milk will come in in the morning and by evening it is pasteurized and already with the customer. Our products are natural and organic. We receive our milk from roughly 500 farmers. Of the 500 farmers, 85% of them are women. Because they are small scale farmers, they will not do funny things with the milk. Our farmers have an average of three cows each. Therefore, the milk is very organic. They feed the cows Napier grass and dairy meal. It comes to our door maybe two hours after the cow has been milked and immediately, we pasteurize it, package it, and send it off to the customer”, says Margaret Munene.

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