Understanding conditions and development opportunities Milk producers Collectors and processors Consumers Developing a common vision among the different actors and setting priorities Local production – Consumption Income – Employment – Livelihoods Preparing and funding a sustainable development programme Priorities Time

1. 10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya
1
Opportunities for developing dairy
production in Africa
Dr. Olaf Thieme
Animal Production Systems Branch, FAO, Rome

2. Milk consumption in Africa 22 FAOSTAT, 2014
120
100
80
60
40
20
0
Ethiopia Kenya Rwanda Uganda Tanzania Cameroon Ghana Nigeria Senegal Malawi Zambia South
10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya
Africa
Africa
kg/capita/year
2001 2011

3. Projected dairy product consumption 33 (in milk equivalent)
Source: OECD-FAO AGRICULTURAL OUTLOOK 2014-2023
10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya

4. Annual growth projections for dairy products 2014-23 (%)
10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya
44
Production Imports Exports Consumption Per capita
Butter
Sub Saharan
Africa
4.19 1.11 0.67 3.74 1.07
World 2.12 0.68 0.66 2.14 1.11
Cheese
Sub Saharan
Africa
2.07 9.84 -4.66 3.24 0.58
World 1.63 2.65 2.43 1.64 0.61
SMP
Sub Saharan
Africa
1.16 4.82 -3.06 4.77 2.07
World 1.89 2.49 2.47 1.77 0.85
WMP
Sub 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
Source: OECD-FAO AGRICULTURAL OUTLOOK 2014-2023

5. Dairy sector analysis 55
• Understanding conditions and
development opportunities
o Milk producers
o Collectors and processors
o Consumers
• Developing a common vision
among the different actors and
setting priorities
o Local production – Consumption
o Income – Employment – Livelihoods
• Preparing and funding a
sustainable development
programme
o Priorities
o Time
10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya
Source: Milking to potential
van der Lee et. al., 2014

6. Dairy development scenarios 66
Self sufficiency
10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya
Private sector
Government
Development
Institutions
Consumption
(Income)
Employment
Business driven
•Imports
•Absorption of existing
collection/distribution
schemes
•Integrated large farms
Livelihood driven
•Establishment of
collection/distribution
schemes
• Cooperative
structures

7. Dairy sector constraints 77
• 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
investments
Makoni et al. 2013. White Gold; Opportunities for Dairy Sector Development Collaboration in
East Africa.
10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya

8. People 88
• Preferences & Priorities
• Attractiveness of dairy
production
• Knowledge & training
• Collective action by
producer organizations
• Age
10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya

9. Animals 99
• 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

10. Inputs 1100
• 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

11. Markets -Marketing 1111
• 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

12. Dairy development – How to get there? 1122
• 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

13. Thank You 1133
10th AFRICAN DAIRY CONFERENCE, 24-26 September 2014, Nairobi, Kenya