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i UNITED REPUBLIC OF TANZANIA MINISTRY OF LIVESTOCK AND FISHERIES DEVELOPMENT THE TANZANIA DAIRY INDUSTRY: STATUS, OPPORTUNITIES AND PROSPECTS 1 By Mrs. A.P. Njombe, Dr. Yakobo Msanga, Mr. Nathaniel Mbwambo and Mr. Nemes Makembe Department of Animal Production, Livestock Products and Marketing Infrastructure Ministry of Livestock and Fisheries Development, Temeke Veterinary/Mandela Road, P.O. Box 9152, Dar es Salaam, Tanzania 1 Paper Presented to the 7 th African Dairy Conference and Exhibition held at MovenPick Palm Hotel, Dar es Salaam, 25 – 27 May 2011

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Page 1: UNITED REPUBLIC OF TANZANIA - tzdpg.or.tz · PDF fileUNITED REPUBLIC OF TANZANIA ... 5 Conclusion ... from sale of milk and milk products. The main dairy animal in Tanzania is cattle

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UNITED REPUBLIC OF TANZANIA

MINISTRY OF LIVESTOCK AND FISHERIES DEVELOPMENT

THE TANZANIA DAIRY INDUSTRY: STATUS,

OPPORTUNITIES AND PROSPECTS1

By Mrs. A.P. Njombe, Dr. Yakobo Msanga, Mr. Nathaniel Mbwambo and Mr. Nemes Makembe

Department of Animal Production, Livestock Products and Marketing Infrastructure

Ministry of Livestock and Fisheries Development, Temeke Veterinary/Mandela Road, P.O. Box 9152, Dar es Salaam, Tanzania

1Paper Presented to the 7th African Dairy Conference and Exhibition held at

MovenPick Palm Hotel, Dar es Salaam, 25 – 27 May 2011

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Contents

ABSTRACT ......................................................................................................................................................... ii

1 Introduction ............................................................................................................................................ 1

2 Experiences in Developing the Dairy Industry ................................................................................... 2

3 Status of the Dairy Industry ................................................................................................................. 3

3.1 Milk Production .............................................................................................................................. 4

3.2 Milk Collection, Processing and Marketing ................................................................................ 9

3.2.1 Milk Collection ........................................................................................................................... 9

3.2.2 Milk Processing ......................................................................................................................... 9

3.2.3 Milk marketing and Consumption ........................................................................................ 10

4 Opportunities and Prospects .............................................................................................................. 11

4.1 A large cattle herd and size of grazing land & Pasture resources; ..................................... 11

4.2 Potential domestic and export markets; ................................................................................. 12

4.3 Milk Processing; .......................................................................................................................... 12

4.4 Dairy Stakeholder Organisation ................................................................................................ 12

5 Conclusion ............................................................................................................................................. 13

References..................................................................................................................................................... 14

ANNEXES ......................................................................................................................................................... 15

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ABSTRACT

The dairy industry is among the important components of the livestock sector. It contributes

about one-third of the 4.6% livestock industry’s contribution to the Gross Domestic Product

(GDP). The industry has even greater potential for improving the living standards of people

through improved nutrition arising from milk consumption and incomes raised from sales of milk

and milk products.

Out of the 21 million cattle in Tanzania, about 680,000 are dairy cattle mainly crosses of Friesian,

Jersey, and Ayrshire breeds with the Tanzania Shorthorn Zebu (TSZ). Total annual milk

production is currently estimated at 1.65 billion litres. About 70% of the milk produced comes

from the traditional sector (indigenous cattle) kept in rural areas, while the remaining 30% comes

from improved cattle mainly kept by smallholder producers. Currently, the total milk processing

capacity is about 384,100 litres per day, however the actual processed amount is about 105,000

litres per day. To date, per capita milk consumption in the country is estimated at 43 litres. This

consumption level is relatively low compared to the recommended milk per capita milk

consumption of 200 litres by FAO.

The paper dwells with policies, strategies and programs that are being implemented by the

government and stakeholders in order to commercialise the industry. The paper also covers the

production status, milk processing, marketing and consumption with respect to challenges that

face every stage of the value chain. On production status it includes the animals that produce

milk, their distribution and actual seasonal variations in milk production. On milk processing the

amount of milk processed compared to amount available and the possibilities of expansion are

dealt with. Milk marketing and consumption are interrelated factors in the value chain as increase

of consumption expands the domestic market thus stimulating production.

Existing opportunities and prospects in the dairy industry are also indicated.

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THE TANZANIA DAIRY INDUSTRY: STATUS, OPPORTUNITIES AND PROSPECTS

1 Introduction

Tanzania has abundant natural resources which include land and a large livestock

resources base. It covers an area of 94.5 million ha of which 88.6 million ha is a land

mass and 6.2 million ha is covered by water. Out of the 88.6 million ha of land, 60 million

ha are rangelands with a capacity to carry up to 20 million livestock units and provide

over 90% of the feed resource to the livestock. However, due to some constraints such

as tse tse fly infestation and other uses only 40% of the rangelands are utilized for

grazing 21.3 million cattle, 15.2 goats and 6.4 sheep. Other major livestock species kept

in the country include 1.6 million pigs and 43 million chickens. More than 90% of the

livestock population in the country is of indigenous types, kept in the traditional sector,

known for their ability to survive and produce even under harsh environment with poor

feed resources and disease challenge.

Livestock is among the major agricultural sub-sectors in Tanzania. Out of the 4.9 million

agricultural households about 36% are keeping livestock of whom 35% are engaged in

both crop and livestock production. The sector grew at 3.4% and contributed about 3.8%

to the Gross Domestic Product (GDP) (Economic Survey, 2010) of which 40% came from

beef, 30% from dairy and the remaining 30% from other livestock commodities.

Similarly, the dairy industry is among the important components of the livestock sector. It

is a source of animal protein, income and employment. The sector has a great potential

for improving the living standards of the people and contributing towards reduction of

poverty through improved nutrition, arising from consumption of milk and incomes raised

from sale of milk and milk products.

The main dairy animal in Tanzania is cattle which are classified as dairy for those that

average about 2000 litres per lactation and dual purpose indigenous cattle producing

around 300 - 500 litres and are mostly used for beef which are the majority. The dairy

cattle are kept by smallholders’ farmers and few medium and large scale farms. The

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indigenous cattle are kept by traditional livestock keepers in the pastoral and

agropastoral systems.

The performance of the dairy industry has been influenced by changes in economic

policies and regulations which have affected harnessing of resources. Currently strategies

and programmes have been formulated in order to modernise the industry. Development

of the dairy industry has concentrated mainly on increasing the number of improved

animals for milk production, improving production, processing and marketing systems.

It is the objective of this paper is to give an overview of the status of the dairy industry in

Tanzania indicating performance of the industry, opportunities, potentials and prospect

for further development of the industry.

2 Experiences in Developing the Dairy Industry

The dairy industry in Tanzania has gone through various stages of development. Pre and

after independence, dairying was practiced mainly in areas which had a conducive climate

to enable production of sufficient milk and that had a potential market for milk such as

Kilimanjaro, Arusha and Dar es salaam. In the rest of the country milk produced was

consumed within the rural areas.

In areas with surplus milk to warrant establishment of a dairy plant, Zonal Dairy Boards

were established to regulate and develop the industry. After independence regulation of

the industry was done through a Dairy Industry Ordinance No. 61 (Cap 456) which was

then replaced by a Dairy Act of 1965 that established a Government Controlled National

Dairy Board (NDB). The board became moribund in 1973 as the then Minister of

Agriculture did not appoint new members to the Board.

In 1975 the government embarked on a programme to boost dairy development whereby

efforts were put on increasing milk production. Main concentration was on improving the

indigenous cattle through crossbreeding and upgrading programmes with the objectives

of increasing the number of improved dairy cattle. Other programmes to improve

productivity included disease control and animal nutrition. Alongside these programmes

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were investments in the establishment of parastatal medium and large scale dairy farms,

livestock multiplication units, milk processing plants and milk marketing infrastructures.

These initiatives resulted in the establishment of 8 dairy farms under the Dairy Farming

Company (DAFCO), 7 milk processing plants under the Tanzania Dairies Limited

producing reconstituted milk using powered skimmed milk and butter oil which were

supplied by the World Food Programme. Proceeds from sale of the reconstituted milk

were used for development of the Dairy Industry.

From mid 1980’s the approach for development of the dairy industry shifted from

establishment of medium and large scale farms towards small holder dairy development.

This shift was prompted by the underperformance of parastatal dairy enterprises

associated with management problems as they proved to be more efficient and as a

strategy for poverty reduction. The change in strategy towards dairy development

coincided with economic reforms which included government withdrawal from performing

production, marketing and processing and other business related functions and

liberazation of markets among others.

As a result of this reforms many individuals and agencies joined the industry as milk

producers, processors, marketing agents and facilitating agencies performing various

functions such as promotion of improved dairy breed, milk processing and marketing but

without a proper primary regulator. This led to inadequate control of the industry. To

rectify this anomaly the government enacted a Dairy Industry Act No. 8 of 2004 providing

for the establishment of the Tanzania Dairy Board, which was inaugurated in 2006 with a

mandate to develop and regulate the industry. The Board draws its membership from the

Government and stakeholder organizations such as Milk producers, Milk Processors, milk

traders, input suppliers and consumers.

3 Status of the Dairy Industry

The Dairy industry in Tanzania is still young but developing. Current Development

strategies aim at modernizing it commercializing the industry and making it competitive.

Production of milk is mainly from indigenous cattle followed by improved dairy cattle and

dairy goats and the production is mostly for the domestic market, which mainly prefers it

to be in raw and only little amount in processed form.

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3.1 Milk Production

Out of the 21.3 million cattle in Tanzania, about 680,000 are dairy cattle mainly crossbred

of Friesian, Jersey, Ayrshire breeds with the Tanzania Shorthorn Zebu (TSHZ). Total

annual milk production has increased from 814 million litres in 2000/01 to 1.65 billion

litres in 2009/10 (Table No. 2). Most of the milk produced in the country comes from the

traditional sector (indigenous cattle, about 70%) kept in rural areas, and the remaining

come from improved cattle mainly kept by smallholder producers. The increase in milk

production from both indigenous and improved dairy cattle is due to increase in herd size

rather than in productivity per head (milking cow). Currently, only a small proportion

(10%) of marketable surplus of milk produced annually is filtering through, into the urban

markets and processing plants. A large proportion of milk is consumed at home or wasted

in the rural, milk producing areas. The potential for increased milk supply from rural

areas still exists. To exploit it requires improved infrastructures such as milk collection

centres, power supply, roads network and transport facilities.

Milk production in Tanzania is carried out under two major production systems. These are the traditional and the dairy production systems. Within the traditional system milk is mainly produced by indigenous cattle which are kept for multipurpose objectives. The indigenous cattle which constitute the traditional herd are mainly kept in the Central, Northern and Western parts of the country (Table No. 1). The traditional system is characterised by low productivity, but high per unit of invested money. In addition production costs are relatively low. Due to the remoteness and poor infrastructure, collection of milk and marketing constitute the largest bottlenecks. Hence, the milk produced is mostly consumed locally and quite often a significant amount is left for the calves because of the lack of markets. However, some producers who depend on milk for their cash income are willing to exploit the available opportunity in marketing their produce, for example, some traditional producers residing mainly in peri urban areas near towns or urban centers such as those in the Coast region, transport milk by bicycles over long distances, for sale either at some collection centres located along the major road highways eg. Morogoro road. In this system cattle owners bring lactating cattle from the rangelands (in remote areas) to areas closer to the road side.

Within the dairy systems, improved dairy cattle which are mainly crosses of Friesian,

Jersey and Ayrshire to the Tanzania Shorthorn Zebu (TSHZ) are the main dairy cattle

breeds in use. These systems are further subdivided into smallholder dairy systems

integrated with crops, urban/peri-urban dairy systems and specialized medium and large-

scale dairy system.

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Table No. 1: Population of Cattle by Zone

No. Zone Indigenous Cattle Improved Dairy Cattle

1. Northern (Arusha, Manyara, Kilimanjaro)

3,686,085 252,554

2. Central (Singida and Dodoma) 2,754,364 7098

3. Lake (Mwanza, Shinyanga, Mara, Kagera)

8,103,232 35,007

4. Southern Highlands (Rukwa, Mbeya, Iringa and Ruvuma)

2,109,609 103,306

5. Eastern (Tanga, Morogoro, Coast and Dar

1,547,807 103,932

6. Southern (Lindi and Mtwara) 43,865 4,593

7 Western (Tabora and Lindi) 2,277,645 5,447

Total 20,522,607 511,937

Source Ministry of Agriculture, Food and cooperatives 2008

Generally in Tanzania smallholder dairy farms are relatively small in size having 1 – 5

cows per household under Zero grazing and are normally found in diverse climatic

conditions. The system is either integrated with perennial crops (banana and coffee) or

with annual crops. The system which is integrated with perennial crops enjoys reasonably

good climatic conditions suitable even for pure dairy breeds. This system is commonly

practised in the Southern Highlands, Northern highlands and Kagera Region. The

smallholder dairy system is gradually expanding in the sub humid coastal and sub urban

areas (such as Tanga, Morogoro and Coast regions).

Existence of the urban/ peri-urban dairy farming is mainly motivated by availability of

market, need for creation of employment opportunities and ease of integration with other

agro-economic activities. This subsystem is normally regarded as not sustainable but

rather, a transitional system to medium scale dairy farming in peri urban areas.

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In the specialized Medium Scale dairy farming system, milk production is the main

economic activity of the farm. The farm comprises of 10-50 cows and the management

is mainly paddock grazing rather than zero grazing. Medium scale dairy farms are found

near big urban centers such as Dar es Salaam, Tanga, Morogoro, Iringa and Arusha.

Large Scale State dairy farms are farms with 50 or more dairy cows. There are a number

of such farms (some of them are shown in Annex 1), with a total of about 32,100 dairy

cattle. In the past most of these farms were government owned farms. In addition a few

privately owned large-scale farms exist, particularly in Iringa, Morogoro, Tanga,

Kilimanjaro and Arusha regions.

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Table:2: Production of milk (‘000’) 2000/01 - 2009/10

YEAR

Type of

cattle 2000/01 2001/02 2002/03 2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 2009/10

Indigenous 514,000 578,000 620,700 813,700 920,000 941,815 945,524 980,000 1,012,436 997,261

Improved 300,000 322,500 359,800 366,300 466,400 470,971 475,681 520,000 591,690 652,596

Total 814,000 900,500 980,500 1,180,000 1,386,400 1,412,786 1,421,205 1,500,000 1,604,126 1,649,857

Source: MLFD 2011

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Chart No. 1: Production of milk (‘000’) 2000/01 - 2009/10

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3.2 Milk Collection, Processing and Marketing

3.2.1 Milk Collection

Milk collection is practiced in areas with surplus milk above the local market requirement

which are connected to markets in peri and urban areas. Existing collection centers are

operated through farmer’s groups, processors or few traders who collect and sell to

processors or consumers. Seasonal availability of milk which is acute in the traditional

sector discourage establishment of collection centers and processing plants. Milk

collection for processing will only be feasible if there is surplus production and a well

established collection system which entails bulking and transportation. As it has been

indicated earlier in this paper, milk is mainly produced by indigenous cattle which are

widely distributed in different areas including remote villages whereby the road

infrastructure is poor and having inadequate provision of utilities such electricity. These

problems contribute to inefficiency in milk collection and addition of cost for milk

collection and processing.

A few dairy producer societies exist in Tanzania they are mainly found in Tanga region

(where 13 societies with 3,004 members exist). Non existence of producer societies not

only makes collection and marketing of raw milk difficult but also discourage introduction

of innovations. All these challenges result into limited domestic and export marketing of

milk and milk products. Establishment of a well coordinated milk collection network could

be a kick start towards successful milk processing and marketing.

3.2.2 Milk Processing

Milk processing in the country is mainly undertaken by small and medium scale plants of

capacities ranging between 500 and 30,000 liters per day. The current national milk

processing capacity is 410,500 liters per day, but, the capacity utilization is about 30%

(Annex 2). The low capacity utilization is partly due to inadequate raw milk production as

a result of seasonality in milk production due to inadequate feeding; milk being produced

in small quantities and milk producers being widely spread in remote areas thus

increasing milk collection and transportation costs; high cost of milk processing due to

high cost of equipment, machinery, packaging materials and utilities. In addition to the

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poor infrastructure, high cost of doing business and low milk consumption levels also

constrain milk processing.

Products processed from these plants include pasteurised milk, fermented milk, cheese,

yoghurt, ghee and butter. Among the efforts to create a conducive environment for

development of the dairy industry, the government has exempted import duties for milk

packaging materials, some equipment used in the collection, transportation and

processing of milk products. Furthermore, the Local Government Authorities are

sensitizing the stakeholders to form groups, associations and cooperative societies in

order to enhance milk collection, handling and processing.

3.2.3 Milk marketing and Consumption

Surplus milk produced is marketed in different ways depending on the system of

production, location and amount. Dairy value chain studies have revealed that generally

10% of raw milk produced reaches both formal and informal markets, of this only 2% is

formally traded. In the commercial sector in which 30% of milk is produced, the milk

market share is apportioned as: neighbours (86.1%), local market (5.3%), traders at

farm (4.6%) and processing factories (1.4%) (An Overview of the Dairy Industry in

Tanzania; Situation, Challenges and Expectations, Kurwijila, 2010). Milk is mainly

marketed in urban and peri urban areas where consumption is relatively higher. A study

conducted by Austro Project Association, (Assessment of Fresh Milk and Milk Products

Market and Consumption in Dar es Salaam, Kurwijila et al, 1995) shows that 79.2% of

milk customers purchase raw milk and 40% of consumers prefer fermented milk. Only a

small (3.3%) proportion of consumers buy pasteurised milk. The main reason could be

the high price after processing.

It is estimated that 41 million litres of milk is annually processed in the country into

pasteurised milk, UHT, cultured, ghee, butter, cheese and cream and sold in the domestic

market. Milk is also imported in the country whereby reports indicates in the year 2008

about 26.14 million litres of milk equivalent which accounted for 48% of processed milk

products were imported in the country, thus posing competition between local and

imported milk products. There is therefore a challenge to produce milk products of high

quality bearing cost effectiveness in mind so as to increase competitiveness of the dairy

industry in Tanzania and in the region.

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Milk produced in the country is consumed among urban populations but is mainly

consumed in the livestock keeping communities where a person can consume more than

100 litres per annum (Milk Production and Processing in Central Regions of Tanzania,

RLDC, 2009). It is acknowledged that the domestic market is relatively narrow compared

to the existing human population. There have been initiatives to expand and develop a

sustainable domestic market for milk and milk products and (thereby encourage

investment in milk processing). Such initiatives include conducting of generic milk

promotion campaigns through Milk Consumption Promotion Week which is conducted

every end of May and beginning of June since 1998. In addition to that, School Milk

Feeding Programmes are implemented in 91 schools in four districts which involve 62,900

school children (Annex 3). Through such initiatives per capita milk consumption has

increased from 25 litres in 2000 to 43 litres in 2010. Efforts to scale up SMFP have been

taken by preparing a SMFP which if implemented would increase the number of school

children that would benefit from the initiative. Increase in milk consumption levels will

have a catalytic effect in improving levels of milk production, processing and development

of the dairy industry in general.

4 Opportunities and Prospects

4.1 A large cattle herd and size of grazing land & Pasture resources;

As stated earlier in this paper the country has a large number of cattle, grazing land &

pasture resources. This provides a great opportunity for increasing milk production from

the indigenous cattle by increasing the number of grade cattle which at the moment are

few (680,000). In order to produce relatively more milk, a total of 3 million dairy cattle

would be required. The availability of AI services could enable this target be achievable.

Dairy production in Tanzania is mainly under small scale farms which have proved to be

vulnerable to seasonal variations in feed supply; however the variation is less in medium

and large scale farms. Promotion of the establishment of medium to large scale farms is

therefore necessary for the purpose of producing large quantities of milk in one locality

thus realizing economies of scale, minimizing seasonal variations, milk collection and

transportation related problems and thereby promoting processing of milk.

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4.2 Potential domestic and export markets;

Tanzania has a big potential domestic market. It has an estimated human population of

over 42.8 million people, a growing economy and an emerging middle class with

relatively high disposable income. With these potentials the country provides a big

domestic market. Added to this is the regional market. Currently, these potentials are not

fully utilised. Expansion of the internal market for milk and milk products is very

important. This is because a reliable market is the driving force for the dairy industry

growth.

This could be achieved through establishing and deploying quality assurance systems

along the value chain. Other strategies to expand the domestic milk market include

conducting of rigorous marketing and promotion campaigns through milk promotion week

which is currently done as well as expansion of the school milk programmes.

4.3 Milk Processing;

Expansion of milk processing capacity and range of dairy products produced in Tanzania

as a strategy is also important. Expansion of production of UHT and other milk products

can cut down importation of the same and reduce substantially annual import bill spent

on such products. It is also important to increase milk processing capacity from the

current 30% to at least 75% in order to increase profitability of the milk processing

plants.

4.4 Dairy Stakeholder Organisation

Strengthening of the Tanzania Dairy Board is important in order to organise and promote

the development of dairy stakeholder’s organisation at all levels and the industry at large.

Strengthening of stakeholder’s organisations could be achieved through registration,

formalisation of informal dairy stakeholders and through information, education and

communication campaigns, training and skills enhancement. The expected benefits from

the well organised and managed grassroots organisation would improve their access to

production, marketing and financial services among others.

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5 Conclusion

The dairy industry in Tanzania is developing with prospects for expansions making a

bigger contribution to the Gross Domestic Product and improving the welfare of the

people. Milk production is low due to the small number of dairy animals, undeveloped

systems of production and the low effective demand of dairy products. These can be

overcome by harnessing the great potentials available by upgrading the indigenous stock,

developing large scale farms and having an effective extension system for the smallholder

farmers. Coupled with this is investment in processing and creating effective demand by

promoting consumption.

Current Development strategies that aim at modernizing the dairy sector should be

geared towards setting a process that will move the sector from subsistence to

commercialization thereby making it competitive. Future development of the dairy

industry should stress on sustainable production systems of high productivity conducted

on commercial basis in order to improve the livelihoods, employment, availability of raw

materials and contribute more significantly to the national income and conservation of the

environment.

At present there is a good legal system to regulate the industry and an economic

environment to guarantee investors of their investments. Deliberate investment efforts

are required on input supply and service provision, production, collection, processing and

marketing in the dairy industry could improve the performance and hence increase its

contribution to the national economy.

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References

1. AustroProject Association, 2009 In: Milk Production and Processing in the Central Regions of Tanzania.

2. Kurwijila, L. R., 2010. An Overview of the Dairy Industry in Tanzania; Situation, Challenges and Expectations. In: Proceedings of the Agricultural Council of

Tanzania (ACT) Dairy Stakeholders forum held at Mkonge Hotel, Tanga Tanzania,

10th December 2010.

3. Kurwijila R.L, N. Mdoe, D.N. Nyange, R.M. Auerbock and U.N. Malya, 1995 In: Assessment of Fresh Milk and Milk Products Market and Consumption in Dar es

Salaam, The Austro Project Association.

4. United Republic of Tanzania, Economic Survey, 2010.

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ANNEXES

Annex 1 - Some of Large Scale Dairy Farms

Farm Herd size

Kitulo 1, 2 860

Asas 2,3* 1,000

Kibebe Dairy Farm 2,3 450

Sao hill LMU 1,4 1,900

Mabuki LMU 1,4 2650

Ngerengere LMU 1,4 850

Nangaramo LMU 1,4 846

SUA (Farm & DASP) 1,2 250

Research Farms (Mpwapwa, Tanga, Uyole) 1,2 1,185

LITI farms (Morogoro,Tengeru, Buhuri)1,2 681

Molomo/Gararagua 2,3 421

Rongai 2,3 350

Malonje 2,3 150

Holly Sisters (Sanya juu) 2,3 314

Christopher/Krisaki farm (Dakawa) 2,3 800

Total 12,707

Source: Ministry of Livestock and Fisheries Development, 2011

1 Government Owned Farms

2 Dairy Farms

3 Private Owned Farms

4 Heifer Breeding Farms

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Annex 2 - Milk Processing Plants and Capacities in Tanzania

S/N Region Processing Plants Capacit

y (litres

per day)

Status Current

Production

(litres per

day)

%

Capacity

Utilisation

1 Dar es Salaam Azam Dairy 3,000 Operating 2,000 0.67

Tommy Dairy 15,000 Not operating 0

Profate Dairy Investment 1,000 Operating 300 0.30

Manow Dairy 1000 Operating 300 0.30

Tan Dairies 15,000 Operating 6,000 0.40

2

Coastal Chawakimu Cooperative 1,000 Operating 500 0.50

SADO Farm Dairy 1,000 Operating 500 0.50

3 Tanga Tanga Fresh Ltd 50,000 Operating 30,000 0.60

Ammy Brothers Ltd 2,000 Operating 400 0.20

Irente Farm 1,000 Operating 500 0.50

Montensory Sister’s 1,000 Operating 300 0.30

4 Arusha Northern Creameries 45,000 Operating 4000 0.09

International Dairy

Products

5,000 Operating 3,000 0.60

Mountain Green Dairy 1,500 Operating 500 0.33

Agape Dairy group 500 Operating 200 0.40

Jitume Dairy group 300 Operating 150 0.50

Idafaso Dairy group 300 Operating 100 0.33

Inuka Dairy group 300 Operating 500 1.67

Arusha Dairy Company 5,000 Operating 800 0.16

Kijimo Dairy Cooperative 1,000 Operating 300 0.30

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17

S/N Region Processing Plants Capacit

y (litres

per day)

Status Current

Production

(litres per

day)

%

Capacity

Utilisation

Longido (Engiteng) 500 Operating 300 0.60

5 Manyara Terrat (Engiteng) 500 Operating 250 0.50

Orkesumet (Engiteng) 500 Operating 400 0.80

Naberera (Engiteng) 1,000 Operating 450 0.45

6

Kilimanjaro

Nronga Women 3,500 Operating 900 0.26

West Kilimanjaro 1,000 Operating 300 0.30

Mboreni Women 1,000 Operating 300 0.30

Marukeni 1,000 Operating 450 0.45

Ng'uni Women 1,000 Operating 350 0.35

Kalali Women 1,000 Operating 550 0.55

Same (Engiteng) 500 Operating 300 0.60

Fukeni Mini Dairies 3,000 Operating 800 0.27

Kondiki Small Scale

Dairy

1,200 Operating 600 0.50

7 Mara Musoma Dairy 120,000 Operating 30,000 0.25

Utegi Plant (Ex TDL ) 45,000 Not operating 0

Victoria Maziwa Mara 1,500 Operating 1,000 0.67

Baraki Sisters 3,000 Operating 2,100 0.70

Nyuki Dairy 1,000 Operating 500 0.50

Mara Milk 15,000 Operating 6,000 0.40

8 Mwanza Mwanza Mini Dairy 3,000 Operating 500 0.17

Tukwamuane Dairy 500 Operating 200 0.40

9 Kagera Kagera Milk (KADEFA) 3,000 Operating 400 0.13

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18

S/N Region Processing Plants Capacit

y (litres

per day)

Status Current

Production

(litres per

day)

%

Capacity

Utilisation

Kyaka Milk Plant 1,000 Operating 450 0.45

Del Food 1,000 Operating 300 0.30

Bukoba Market Milk Bar 500 Operating 300 0.60

Bukoba Milk Bar - Soko

Kuu

500 Operating 300 0.60

Mutungi Milk Bar 800 Operating 200 0.25

Salari Milk Bar 800 Operating 200 0.25

Kashai Milk Bar 800 Operating 200 0.25

Kikulula Milk Processing

Plant

1,000 Operating 500 0.50

Kayanga Milk Processing

Plant

1,000 Operating 300 0.30

MUVIWANYA 1,000 Operating 350 0.35

10 Morogoro SUA 3,000 Operating 200 0.07

Shambani Graduates 4000 Operating 1000 0.25

11 Tabora New Tabora Dairies 16,000 Operating 200 0.01

12 Iringa ASAS Dairy 12,000 Operating 6,000 0.50

CEFA Njombe Milk

Factory

6,000 Operating 3,200 0.53

13 Mbeya Mbeya Maziwa 1,000 Operating 500 0.50

Vwawa Dairy

Cooperative Society

900 Operating 600 0.67

14 Dodoma Gondi Foods 600 Operating 200 0.33

15 Singida Singidan Dairy 500 0perating 200 0.40

16 Lindi Narunyu Sisters 500 Operating 200 0.40

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19

S/N Region Processing Plants Capacit

y (litres

per day)

Status Current

Production

(litres per

day)

%

Capacity

Utilisation

Total 410,500 112,400 27.38

Total of 62 Plants

Source: Ministry of Livestock and Fisheries Development, 2009

Annex 3 - School Milk Feeding Programme 2010/2011

Implementing

Institutions

Sponsor School Ino of

Pupili

Frequency Districts

involved

Fukeni Mini

Dairy Plant

Processor,

Parents and

Peach Software

Ltd Co. (Australia)

9 18,330 Two time a

week

Hai

Moshi Rural

Nronga Women

Dairy

Cooperative

Society Ltd

Processor,

Parents and

Peach Software

Ltd Co. (Australia)

6

Kalali Women

Dairy

Cooperative

Society Ltd

Processor, and

Parents

5

Tanga Fresh Ltd Processor and

Parents

10 4,250 Two time a

week

Tanga Town

NJOLIFA Milk

Factory

Processor,

Parents and

CEFA (Italy)

61 39,920

Two time a

week

Njombe Town

and Rural

Total 91 62,500

Source:Ministry of Livestock and Fisheries Development, 2011