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CS Kagwe Commissions KES 3 Billion De Heus Feed Plant to Boost Livestock Productivity and Exports

Kenya has taken a major step toward transforming its livestock sector following the commissioning of a KES 3 billion animal feed manufacturing plant by De Heus Kenya in Athi River.

The facility was officially commissioned by Sen.Mutahi Kagwe, Cabinet Secretary for Agriculture and Livestock Development, who said the investment signals a shift from herd expansion to productivity-driven livestock farming.

“Today is not just about commissioning a factory. It is about transforming Kenya’s livestock economy. We will double milk production from 5.2 billion litres to 10 billion litres not by increasing the number of cows, but by increasing productivity per cow,” Kagwe said.

The event brought together national and county leaders, diplomats, farmers, and industry stakeholders. Among those present were Henk Jan Bakker, Ambassador of the Kingdom of the Netherlands; Wavinya Ndeti, Governor of Machakos County; Jonathan Mueke, Principal Secretary for Livestock Development; and Co de Heus, Chairman of Royal De Heus.

Royal De Heus is ranked among the top 10 largest animal feed producers globally, operating more than 80 production facilities across over 20 countries. Its Kenyan subsidiary began operations in 2023 and has now completed the construction of what is the largest pellet-making feed mill in the region.

The Athi River plant has an annual production capacity of 240,000 metric tonnes and features two pellet lines producing 20 metric tonnes per hour each. It will create 280 direct jobs and over 1,000 indirect employment opportunities across logistics and raw material supply chains.

Kagwe emphasized that feed quality is central to Kenya’s ambition to become a net exporter of live animals and meat.

“The quality of Kenya’s exports will rely on the quality of animal feed,” he said, adding that the government will introduce a feed quality index to curb over-diluted and substandard formulations that undermine farmer productivity.

The Cabinet Secretary noted growing international demand for milk powder, including in markets such as Algeria, and stressed that Kenya must produce consistent, high-quality milk suitable for processing and export.

He further revealed that under the Land Commercialization Initiative, the government is unlocking public land for structured production of yellow maize and soya beans—key inputs in feed manufacturing—while integrating small-scale farmers through contract farming models.

To cushion farmers against climate shocks, Kagwe said the government is constructing 50 dams nationwide to expand irrigation and reduce reliance on rain-fed agriculture. Plans are also underway to establish structured feed reserves to stabilize prices during droughts.

The new plant is equipped with a state-of-the-art laboratory capable of advanced mycotoxin analysis, forage testing, shelf-life determination, and real-time raw material screening using handheld Near-Infrared Reflectance technology.

De Heus Kenya’s General Manager Wiehan Visagie said the facility would enable the company to serve between 60,000 and 80,000 farmers annually across Kenya and neighboring countries.

“This new facility solidifies our ambition to become Kenya’s leading animal nutrition supplier,” Visagie said, noting that the company plans to expand its distribution outlets nationwide and deepen farmer training and on-farm advisory services.

The company is also rolling out phase feeding programs and breeder farm initiatives aimed at improving genetics, feed conversion ratios, and overall livestock performance.

Industry leaders used the occasion to call for policy interventions to stabilize raw material supply, including special tariff frameworks for yellow maize imports, harmonization of inter-county levies, excise duty exemptions on feed raw materials, and competitive industrial electricity tariffs.

Governor Wavinya Ndeti welcomed the investment, saying it strengthens Machakos County’s position as a growing agro-industrial hub, while Ambassador Bakker reaffirmed the Netherlands’ commitment to supporting agricultural innovation and trade partnerships with Kenya.

As the ribbon was cut and the plant officially launched, Kagwe declared Kenya open for responsible agricultural investment.

“We are strengthening regulation, enforcing standards, commercializing land, expanding irrigation, and modernizing agriculture,” he said. “This facility represents confidence in Kenya’s future — a future built on quality, productivity, and export competitiveness.”

The commissioning marks a significant milestone in Kenya’s push to modernize its livestock sector and position itself as a regional leader in feed manufacturing and animal nutrition.

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