The document summarizes the dairy sector in Bangladesh, noting that smallholder dairy farming is important for alleviating poverty and improving livelihoods in rural areas where most Bangladeshis live. It discusses how dairying has transformed from traditional to more market-oriented approaches. The COVID-19 pandemic severely impacted the dairy sector through market and supply chain disruptions, resulting in losses of millions of dollars daily. The government implemented emergency response programs to support vulnerable dairy producers and protect livelihoods through cash transfers, equipment distribution, and mobile sales outlets.

1. Dairy is an essential component of the
rural economy & the livelihood of the farmers in Bangladesh
More than 60% of the families involved in dairying
consist of small & marginal farmers….
About 84.4% of its population is living in rural areas
Dairying in Bangladesh
Smallholder dairy farming system plays an important role to
alleviate the poverty & upgrade the livelihood of rural farmers

2. Milk and Milk Products
Earn foreign exchanges
Employment generation
Poverty reduction
Cash income
Traction power
Friendly to environment
Energy & Manure
Industrial development
Cash reserve
Meat, Hides & Skin
National GDP
Livestock Contribution
in GDP : 1.43%
Contribution in
Agricultural GDP: 13.44%
GDP Growth Rate
3.04 %
Dairy Sector
People involved in dairy
Directly & Indirectly:94 Lakh
Contribution of Dairy Sector in Bangladesh

3. Growth of livestock sector is slower than others……
Contribution in GDP
Source: DLS, (2020)

4. 4
Milk production: Annual milk production trend in Bangladesh
2.28
2.65
2.29 2.37
2.95
3.46
5.07
6.09
6.97 7.28
9.28 9.41
9.9
10.7
0
2
4
6
8
10
12
2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20
Milk
Production
(MMT/
(Year)
Milk
Source: DLS, (2020)

5. 2.65
10.7
0
2
4
6
8
10
12
2007-08 2019-20
Milk
Demand
in
MMT/Yr
Increase in Milk Production During Last Ten Years
Per capita availability = 49 ml/d Per capita availability = 176 ml/d
Source: DLS, (2020)

6. Source: DLS, (2020)
Requirement
250 ml/h/d
Availability
176 ml/h/d
Milk
Demand/yr
15.03 MMT
Production/yr
10.70MMT
Deficit/yr
4.33 MMT (28.80%)
National Demand for Milk in Bangladesh

7. Creating a widening imbalance
between demand & supply
Food habit change
National milk production only meet 70% of
current milk demand (DLS, 2020).

8. Open the opportunity for dairy farmers to exploit the rising demand on milk &
milk products at national as well as global dairy markets.
Dairying in Bangladesh transforming from traditional subsistence to more market-oriented &
enterprise-driven approach in the dairy production system (Uddin et al., 2020).
Dairying in Bangladesh before the COVID pendemic
• People change their rearing system
• Young entrepreneur come into this profession
• Government take necessary initiative
• Silent revolution occur

9. COVID-19 and its accompanying effects have severely affected the dairy sector….
Affected around 0.3 million dairy farms. Many of them closed down
or halted productions due to the burden of continuous losses
12–15 million liters of milk have remained unsold daily
Daily loss of 570 million Bangladeshi Taka (6.7 million USD)
1.2 crore people involved in the sector face risk of losing employment
Reduced access to animal feeds, inputs and services, markets etc
Dairy farmers & processors suffered nearly Tk 4,000 crore in losses
Impact of COVID-19 on Dairy Sector in Bangladesh
(Rahman and Das, 2021)

10. Government Response to COVID-19
The Bangladesh Ministry of Fisheries and Livestock and the World Bank are activating a $96 million
emergency response through LDDP to protect livelihoods of the most vulnerable families that
operate in the livestock sector.
• Mass media communication to highlight the importance of milk for building immunity
• Cash transfer schemes to support business continuation for vulnerable dairy producers. In total,
420,000 dairy farmers in 61 districts of Bangladesh.
• Distributing milk cream separators for longer shelf life & helping farmers to stay in business.
• Providing cooling devices for medicinal storage along with Mobile Veterinary Clinics (MVCs).
• Van rentals to market milk for communities, and
• Providing Personal Protective Equipment (PPE).
Government Support Services
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11. According to the ministry, fish, milk, eggs, beef, poultry, and
various dairy products worth Tk 133.21 crore have been
sold from mobile outlets between April 5 and April 20, 2021.
Source: https://www.tbsnews.net/markets/govt-sells-fish-meat-worth-tk13321-cr-mobile-outlets-234589
Government Response to COVID-19
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