After $2 million farmer payout, Brookside Dairy, owned by Kenya’s Kenyatta family, woos hoteliers

Kenya’s largest milk processor, Brookside Dairy, is expanding its partnerships with the hospitality industry to increase market share in the premium food service sector. The company is strengthening ties with the Kenya Association of Hotelkeepers and Caterers to secure higher sales across hotels, restaurants, and catering operations nationwide.

The expansion follows a KSh255 million ($2 million) bonus payout to contracted dairy farmers in the six months ending May 2026. This reward program, which operates alongside regular monthly payments, targets raw milk volume and strict quality standards to reduce factory rejections and ensure reliable supply.

Empowering local hospitality through cultured commerce

Speaking at a hospitality industry conference in Malindi on Thursday, Brookside General Manager for Sales Joseph Muguongo said the company is using its distribution network to reach more commercial buyers. Muguongo said the hotel and catering market offers a reliable, high-volume consumer base for specialized dairy products.

To support the industry group, Brookside presented a KSh1 million ($7,710) cash donation and an additional KSh1 million ($7,710) worth of products at the event. Association Chief Executive Officer Mike Macharia said the partnership gives hotels access to the steady, high-quality inventory needed to serve local and international tourists.

Empowering East African farmers through quality

Founded in 1993, Brookside produces fresh milk, yogurt, and butter across East Africa, serving clients in Kenya, Tanzania, and Uganda. The Kenyatta family holds a 50% stake in the processor, operating the business alongside French consumer goods giant Danone, which acquired a minority share in the company more than a decade ago.

Unlike traditional payment models based only on volume, Brookside bases its financial incentives on milk composition, including protein and butterfat levels. Company officials said this structure helps local farmers earn higher returns while preparing the business to meet strict regional and international export requirements.

To stabilize raw milk supplies during dry seasons, Brookside executives urged farmers to invest in fodder conservation to prevent sudden production drops. The company recently sponsored a study trip to South Africa for top local farmers to learn advanced herd management and feed efficiency techniques.