Incofin And GAIN Expand Nutrition-Focused Investments In East Africa's Dairy Sector

Incofin Investment Management and the Global Alliance for Improved Nutrition (GAIN), through the fund ‘Nutritious Foods Financing Facility (N3F)’, announce two new investments in East Africa’s dairy sector: Mujuni Ventures Limited in Uganda and Narumoro Dairy in Kenya.

These investments will improve access to nutritious foods for underserved populations, while strengthening local food systems and supporting smallholder farmers. With these additions, the Fund now counts ten active investments across Sub-Saharan Africa.

Mujuni Ventures: unlocking Uganda’s milk potential
Mujuni Ventures is a milk aggregator and processor based in Uganda, sourcing raw milk from smallholder farmers and cooperatives across Central and Western Uganda. The company supplies milk to processors such as Brookside Dairy and produces yoghurt for rural and semi-urban markets.

With the Fund’s USD 300,000 working capital loan, Mujuni will scale its milk procurement and improve farmer payment cycles. This investment marks the Fund’s first entry into Uganda, offering a strategic foothold in a growing dairy market.

Mujuni’s impact includes:

• Improved nutrition: Milk is a vital source of vitamins A and D, calcium, and magnesium. About 30% of Mujuni’s milk is estimated to be distributed to rural and semi-urban areas in Uganda. Affordable pricing and packing the milk in small packages further helps enable low-income earners to afford the nutritious product.
• Farmer livelihoods: The company pays premium prices for quality milk and provides training and advances to farmers, enabling them to access food and healthcare.
• Employment: Mujuni employs over 50 people, with plans to expand its workforce and improve employee benefits.

Technical assistance from GAIN will support the development of a low-sugar yoghurt formulation accompanied by consumer research, as well as the development and roll out of a sales and market intelligence strategy.

Narumoro Dairy: scaling affordable milk access in Kenya
Narumoro Dairy is a milk processor located in Central Kenya, sourcing from over 2,300 farmers and cooperatives. The company produces fresh and extended shelf-life milk, distributing to rural and urban areas through general trade and supermarket partnerships.

The Fund’s USD 500,000 blended loan (USD 400,000 working capital and USD 100,000 capex) will enable Narumoro to purchase over 17 million litres of milk in 2025/2026 and double its extended shelf life milk filling capacity with an additional filling line machine.

Narumoro’s impact includes:

• Affordable nutrition: Narumoro distributes up to 50% of its milk to rural and semi-urban areas in Kenya, primarily through general trade where milk is stocked in small mom-and-pop shops. Milk is priced below major competitors, increasing access for low-income consumers.
• Farmer support: Narumoro sources 60–70% of its milk from nearby farmers, offering better farmgate prices. It is planning to expand its farmer training programs.
• Operational efficiency: A new milk aspectic filling machine will increase productivity from 30,000 to 70,000 litres/day.

Technical assistance is focusing on the formulation and market testing of a new low-sugar yoghurt product to enhance nutrition impact, as well as farmer training on dairy husbandry practices.