The New Kenya Cooperative Creameries ( New KCC) has inked a deal that will see the firm supplying lactose-free milk worth Ksh100 million annually to Azim Milk Company based in Oman.
Azim Milk Company entered the deal with the aim of tapping into the rich Kenyan agricultural sector, which remains the country’s economic backbone. According to the Kenya Export Promotion and Branding Agency Chairperson Jaswinder Bedi, there is a high untapped export potential for Kenyan products in the Gulf Cooperation Council region. The products in mention include cut flowers, textile, leather products, meat and its products as well as fishery products.
The deal between New KCC and Azim Milk Company is also part of the lucrative agreements that Kenya sealed in the business forum at the Dubai expo that kicked off in October 2021. President Uhuru Kenyatta on February 15, opened the Kenya-Gulf Cooperation Council states business forum at the Dubai expo.
Gold Crown lactose-free milk
“We are here to facilitate. We are here to do what these investors require from us in order to come into our country to bring their investment, to help us create jobs and to help us develop our economy,” Uhuru stated.
In 2019, New KCC unveiled the Gold Crown lactose-free milk, which was the first of its kind in East Africa with the parastatal banking on product diversification to increase its market share. The company which was formerly known as KCC and owned by farmers cooperative societies up to 1999 when it went under receivership, has been financially struggling because of various reasons, including a harsh business environment and cutthroat competition.
It has also had several owners since it was established in Kenya. After it was placed on receivership, a private company bought it at Ksh475 million and rebranded it in 2000. In 2003 when President Mwai Kibaki had assumed power, the government bought the company and renamed it New KCC.
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