10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya

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Opportunities for developing dairy production in Africa

Dr. Olaf ThiemeAnimal Production Systems Branch, FAO, Rome

10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya

22Milk consumption in Africa FAOSTAT, 2014

Ethiopia Kenya Rwanda Uganda Tanzania Cameroon Ghana Nigeria Senegal Malawi Zambia South Africa

Africa0

20

40

60

80

100

120

2001 2011

kg/capita

/year

10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya

33Projected dairy product consumption (in milk equivalent)

Source: OECD-FAO AGRICULTURAL OUTLOOK 2014-2023

10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya

44

Production Imports Exports Consumption Per capita

ButterSub Saharan Africa

4.19 1.11 0.67 3.74 1.07

World 2.12 0.68 0.66 2.14 1.11

CheeseSub Saharan Africa

2.07 9.84 -4.66 3.24 0.58

World 1.63 2.65 2.43 1.64 0.61

SMPSub Saharan Africa

1.16 4.82 -3.06 4.77 2.07

World 1.89 2.49 2.47 1.77 0.85

WMPSub Saharan Africa

-1.23 3.13 -2.45 3.18 0.52

World 2.24 1.66 1.67 2.23 1.20

Fresh products

Sub Saharan Africa

3.68 1.01

World 2.37 1.33

Annual growth projections for dairy products 2014-23 (%)

Source: OECD-FAO AGRICULTURAL OUTLOOK 2014-2023

10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya

55Dairy sector analysis

• Understanding conditions and development opportunitieso Milk producerso Collectors and processorso Consumers

• Developing a common vision among the different actors and setting prioritieso Local production – Consumptiono Income – Employment – Livelihoods

• Preparing and funding a sustainable development programmeo Prioritieso Time

Source: Milking to potential van der Lee et. al., 2014

10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya

66Dairy development scenarios

Government

Private sector

Development Institutions

Consumption(Income)

Employment

Self sufficiency

Business driven

• Imports

• Absorption of existing collection/distribution schemes

• Integrated large farms

Livelihood driven

• Establishment of collection/distribution schemes

• Cooperative structures

10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya

77Dairy sector constraints

• inadequate feed supply,• inappropriate cattle for dairy production,• low productivity of the cows• low availability/high cost of inputs (e.g., feed

and fodder) leading to seasonality in production

• inadequate in-country and transboundary disease control

• lack of incentives to stimulate production• low adoption of dairy industry technologies• low capacity utilization among processors• inadequate capacity of farmers and

extension providers• poor market access• inadequate financial services• inadequate organization of farmers and

coordinating bodies• and weak coordination of donor - and private

investmentsMakoni et al. 2013. White Gold; Opportunities for Dairy Sector Development Collaboration in East Africa.

10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya

88People

• Preferences & Priorities

• Attractiveness of dairy production

• Knowledge & training

• Collective action by producer organizations

• Age

10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya

99Animals

• Identifying the most appropriate genetic basis (Breeds).

• A system for local multiplication (AI) and development of the population.

• Individual identification and performance recording systems.

• Separate goals for breed conservation and dairy cattle development.

10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya

1010Inputs

• Reliable and affordable feed supply is key for commercial dairy production.

• Veterinary services are also required for non infectious diseases and disorders.

• Extension services for herd management and economic assessment of production.

• Financial services.

10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya

1111Markets -Marketing

• Consumer profiles

• Types of products, level of processing and packaging

• Balancing seasonal supply

• Formal – informal processing and marketing

• Quality controls

10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya

1212Dairy development – How to get there?

• A clear vision and direction of dairy development for the country.

• Implementation accordingly.

• Sustainable results will take its time.

• In addition to investments and interventions from producers and companies substantial investments will also be required from the public sector.

10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya

1313Thank You