Brookside Dairy Limited, Kenyatta family business, is facing the greatest test since its incorporation.
The newly elected Tanzanian President, John Pombe Magufuli, has ordered Brookside firm not to collect any milk from Tanzania. While speaking to private investors in Tanzania on Thursday, Magufuli explained that Brookside’s intention is not to help Tanzanians but to benefit the owners. He clarified that when the company used to collect milk from Tanzania; they were supplied cheaply but later sold to them at exorbitant prices. The tough talking Tanzanian President said he don’t want to see anything associated with Brookside in Tanzania.
Brookside was banned from operating in Tanzania in 2009 by the then President of Tanzania,Jakaya Kikwete.However,the company had expressed intentions of re-entering the market in 2016.Magufuli’s statement is the last nail on the company’s hopes of expanding beyond Kenya and Uganda.
Brookside is managed by Muhoho Kenyatta, Uhuru’s younger brother, who also manages CBA Bank. The company has acquired several local milk processing companies, which include Molo Milk and Delamere.It now controls over 60 % of the market share.
