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Dairy Sector Development

 Lack of Development
Malawi's dairy industry was in stagnation and decline by the 1990s, thanks to a tax on livestock which put the ownership of cattle, in particular, beyond the reach of most of Malawi’s 85 percent population on rural farms.

A major project undertaken by USAID in the last decade has seen a regeneration of the sector with about 6, 000 registered dairy farmers, about 50 percent women, now producing approximately 6,500 tons of milk annually.  

However, Malawi’s milk consumption is the lowest in Africa at 5 litres per capita against Africa’s per capita of 80 litres and against the World Health organization (WHO) recommended intake of 200 litres. Continued shortfall underlines the need for investment in a sector which has large scale potential for both basic and processed foodstuffs.



          Potential for Growth
     Areas for large and small scale investment include:
  • Cattle breeding
  • Feed growing and feed production
  • Hay production through growing of grass and stocking it for sale to farmers
  • Manufacture cooling tanks and collection equipment (e.g. milk churns)
  • Service provision e.g. Artificial insemination, operation of dipping tanks, and administration of drugs. and transportation of raw milk to processing plants
  •  Investor opportunities for new dairies in the Northern Region, currently increasing output.          

  (Source: MIPA)