SECTION III (Contd.)

DEVELOPMENT AND OPPORTUNITIES FOR MARKET ORIENTED SMALLHOLDER DAIRY PRODUCTION IN ZIMBABWE - NHARIRA/LANCASHIRE CASE STUDY

Mr B. Mupeta¹⁷

Abstract

Zimbabwe has a dualistic dairy marketing and production system, with a fairly sophisticated commercial dairy farming sector and a smallholder dairy sector which mostly produces milk for the informal market.

Commercial dairying started in Zimbabwe as early as 1912 and in 1932 the Dairy Act as well as the Dairy Marketing Board (now the Dairy Zimbabwe Limited) were established. In the post independence era the Zimbabwean government has focused on enhancing productivity of the smallholder dairy sector through the initiatives of the Dairy Development Programme but it has been hindered by various problems. Research has therefore been initiated to identify the problems as well as find solutions.

This paper gives an outline of a baseline survey that was initiated to investigate appropriate breeds to match available resources and management levels, investigate growth potential of the progeny from crossbreds cows for meat and draught and investigate efficient utilization of protein from various sources for milk production.

The baseline survey established that crossbreds animals on average have greater potential to match the management levels and limited feed resources within the smallholder sectors but indigenous breeds are however, more capable of utilizing law quality forage than exotic and crossbreds.

¹⁷ Dairy Research Scientist, Henderson Research Station, Mazowe, Zimbabwe

1.0 Background

1.1 Pre-Independence Era:

Commercial dairy production in Zimbabwe started as far back as 1912. However, due to pre-independence policies of separate development which catered mainly for the commercial farming sector dairying was exclusively a prerogative of the Large Scale Commercial farmers who produced milk on commercial lines in order to satisfy the national needs of the country. The infrastructure was so designed to supply milk and milk by-products to the urban population which account for 30% of the country's population. Consequently dairies to handle liquid milk, production of butter, cheese and other dairy products were located around major towns of Bulawayo, Gweru, Kadoma, Harare, Mutare and Chipinge. The Dairy Act (1932) and Dairy Marketing Board (DMB) (1952) (now Dairiboard Zimbabwe Limited-DZL) were established to ensure an organized and orderly development of the dairy industry. DMB was a parastatal which was established under the Act of Parliament. DMB lacked the infrastructure and distributive capacity to supply milk and its by-products to the rural population which accounts for over 70% of the country's population. However, the DZL is now in the process of being privatised in line with the current economic situation.

1.2 Post Independence:

After 1980 the Government of Zimbabwe expressed its commitment to the development of the smallholder sector (communal, resettlement and small scale commercial) while maintaining production in the Large Scale Sector.

In line with this commitment the DMB was tasked with the responsibility to initiate the development of milk production from the smallholder sector hence the formation of the Dairy Development Programme (DDP) to spear head milk production from the Smallholder areas. The funds for this purpose were generated from the Bulk Milk Collection Scheme. Commercial farmers participating in the Bulk Milk Collection Scheme leased farm tanks from DMB for which they paid rental charges. These rentals were used to finance DDP among other things. DDP now functions under the umbrella of the Agricultural Rural Development Authority (ARDA) whose operations are production than marketing oriented as was the case with DMB and therefore not in line with the new deregulatory policies.

2.0 Objectives of Developing Market Oriented Smallholder Dairy

The development of market-oriented smallholder dairy was initiated in order to complement the large scale commercial dairying by extending the milk production base to the rural areas where DMB found distribution of milk and milk by-products difficulty.

The specific aims are:

1. To increase income by diversifying production and to improve the livelihood of smallholder farmers, where possible within the rural areas. Thus milk could be produced and distributed through an organized local marketing system in the area or district in which it is produced with surplus being sold to DZL or processed in-situ into other milk by-products.
2. To have milk production to act as a development tool since pre-requisites for dairy production in new areas would automatically lead to rural development on a sound and effective basis namely;
   • Improved livestock resource management and productivity;
   • Improved coordination within the community;
   • Improved infrastructure; and
   • Speedy transfer of technology which would be farmer driven.

3.0 Constraints to Market Oriented Smallholder Dairy Development

The success of the development of dairy production depends on the experience of the people involved. There was, however, no tradition among smallholder dairy farmers for the production of milk on commercial lines other than at subsistence level from cows which were kept for other functions.

The smallholder dairy farmers were hindered by:

• Inadequate and unavailability of suitable feed for the lactating cows. In countries such as Kenya, New Zealand and other temperate zones where the climate allows for substantial amount of milk to be produced from grass alone, Zimbabwe is unfortunate in that its harsh climatic conditions are not really ideal for dairying all year round unless provisions for conserved forages are made. Zimbabwe has 5 months of rain and the rest is dry period.
• There is no recommended appropriate breed of animal for market oriented milk production which matches management levels and skills of most of the smallholder farmers.
• Smallholder farmers normally have inadequate capital, borrowing facilities and limited resources for successful market oriented milk production.
• There is dearth of research information and technologies which are generated specifically for the market oriented smallholder farming systems

4.0 Research Programme

A research proposal was developed by the author of this paper to study in detail the development and potential of the market-oriented dairy in the smallholder farming sector. A programme of activities started in May, 1992 with a Baseline Survey which covered all smallholder dairy schemes in Zimbabwe, existing at the time.

4.1 Objectives of the Research Programme

The main objective of the study was to find solutions to the major constraints limiting increased milk and meat production on mixed crop/livestock smallholder farming systems of Zimbabwe.

The specific aims of the programme were:

• To investigate on the appropriate breed of cattle which matches available resources and management level of the smallholder farmers.
• To investigate the potential of home grown crops and crop by-products as sources of energy and protein in diets of dairy animals.
• To investigate on the growth potential of the progeny from crossbred cows for meat and draught.
• To investigate the efficient utilization of protein from different sources for milk production and growth of crossbred cows and their progeny respectively.

4.2 Results of Base Line Survey and Monitoring Study

Results of baseline survey showed that there was great interest and enthusiasm among farmers to embark on market oriented smallholder milk production.

The average land holding per Household constituted about 3.0 ha arable, 2.0 ha fallow and 11.0 hectares of communal grazing (i.e. 16.0 ha/HH). Maize is a dominant crop in both area and yield, it is also the staple food for the people thus its use as animal feed competes with human for food. Other grain crops such as sorghum and millet are also grown but their yields are much lower than for maize. Maize and other grains are major sources of energy in dairy diets. Groundnuts and sunflower rank second to maize in production.

The oilseeds and their by-products (groundnuts, sunflower, cotton and soya beans) are the major source of protein in dairy diets.

It was observed that there is a general shortage of land for cropping among the communal area farmers but not in the small scale commercial areas. Cropping in the Communal areas may be increased by utilizing fallow land and by increasing the efficiency of production in order to increase crop yields since the crop yields are generally lower than the potential of the areas which is obtained by farmers who practise good farming methods as per recommendations by Extension Advisors. Productivity of grazing may be improved by harmonizing the management of both the grass and the animals through practising principles of veld management.

a. Animals

It was observed that five breeds of cattle were commonly kept and milked by smallholder dairy farmers. These included, Indigenous cows, jersey, Red Dane, Friesland and crossbreeds of indigenous cows and exotic bulls.

The performance of the above breeds was monitored over a period of two years in order to ascertain their calving pattern, post partum anestrous (i.e. days open) and milk yield in relation to the body weight of the cows. These parameters were monitored under farmer managed system so as to establish a bench mark for the future assessment of the impact after the introduction of research interventions.

The research found out that there were variations in the calving pattern of the different breeds.

Table 1 shows that most of the cows calve between October and December, which implies that the cows will have conceived during the months of January/ February/March. These months coincide with the time of year when there is ample feed for the cows from the grazing and also from crop residues of good quality.

The calving pattern of the cows follows the rainfall pattern and the quality of the grazing.

From table 2 above it can be seen that Friesland cows had the longest period of days open. This could be an indication of sub-optimal nutrition and animal husbandry management necessary to support the breed's requirements for optimal performance with the smallholder farming system.

The other four breeds (Red Dane, jersey crossbred and indigenous) showed ability to conceive regularly within the recommended and expected post partum anoestrus periods.

b. Reconception pattern of cows in the Smallholder Dairy:

Table 2 shows post partum anestrous of breeds of cows found in the smallholder dairy sector under farmer managed practice.

Table 1 - Calving Pattern of Smallholder dairy cows (%)

Source: Survey, 1992

Table 2 - Days open - Post-Partum Anoestrus (%)

Source: Survey, 1992

c. Relationship between body weight and milk yield

Relationship between body weight and milk yield of the breeds which were kept by the smallholder dairy farmers was also observed (see table 3). The Red Dane and Friesland are on average relatively heavier than other breeds but are, however, below the potential breed weight which can be attained of over 500 kg live weight under optimum management conditions.

This could be a reflection of inadequate nutrition and sub-optimum animal husbandry practices for these exotic animals to exploit their potential genetic body weight. These breeds have a genetic potential to produce over 5 000 kg of milk per lactation. The research found that they are producing less than 50 percent of their genetic potential milk production.

Table 3 Relationship between body weight and milk yield

Source: Survey

The efficiency of milk production under smallholder managed farming system for the Red Danes and Friesland is not very different from that by the crossbreed cows (25.86, 26.77 and 25.29 kg of milk/kg W^0.75 respectively).

This could imply that smallholder farming systems are failing to exploit the genetic milk production potential. The crossbred cows are, however producing close to their genetic potential thereby making most-efficient uses of the available feed resources under smallholder farming conditions. It was also observed that the indigenous animals had the least yield and had the least efficiency of milk production per metabolic body weight (579 kg of milk and 7.56 kg of milk/kgW^0.75 respectively).

5.0 CONCLUSION:

The baseline survey and the monitoring study showed that crossbred animals on average have greater potential to match the management levels and limited feed resources within the smallholder farming sector. These findings were also observed by early researchers who have reported that indigenous cattle and crossbred animals are harder than the exotic animals and are capable of utilizing low quality forages better than the exotic breeds.

Additional research has also been carried out to investigate the potential of crossbreeds for milk production and the growth rate of their progeny for meat and draught power. The potential of home grown crops and crop by-products as sources of energy and protein in dairy diets for medium milk yielding dairy cows and fattening diets was also investigated. A comparative study of milk production of Red Dane, Jersey and crossbreeds fed on a commercial conventional diet established that the difference in milk yield was minimal.

REFERENCES:

CSO (Central Statistics Office) 1989 Monthly digest of statistics CSO Harare

McCabe, C.T. Hale, D.A. and Crowford, R. 1989. Dairy Manpower Survey for Zimbabwe 1989.

Mupeta, B. 1993. Milk Production From the Smallholder Sector of Zimbabwe. Paper Presented At the Workshop. Constraints to Improved Dairy Production and Related Systems in Rural Areas 16 September – 17 September 1993 University of Zimbabwe. Harare.

Mupeta, B. 1994. The viability of Smallholder dairy in Zimbabwe Nharira experience. Paper prepared for a Symposium on Integrated Livestock/Crop Production System in Small Scale and Communal farming sectors. 26 January – 28 January 1994 U.Z. Zimbabwe.

Mupeta, B. Smith, T. and Chakoma, C. 1994 Dairy Research Discussion Group. Division of Livestock and Pasture. Annual Review Conference 25 October - 27 October 1994 Matopos Bulawayo.

Mupeta, B. 1994 Development and Production from Smallholder Dairying in Zimbabwe. Paper presented at Zimbabwe Society of Animal Production (ZSAP) Symposium 23 November – 24 November 1994. International Conference Centre Harare, Sheraton.

Mupeta, B. 1995. The impact of Smallholder dairying in Rural Development. Zimbabwe experience. Paper Presented At A Workshop on. Intervention and Local Strategies in Resource Management: New perspective on Agricultural Innovation in Zimbabwe 9 January – 13 January 1995. Mandel Training Centre Harare.

Mupeta, B. 1995. The Perspective of the Smallholder Dairying As An Innovation to Technological Improvement: Zimbabwe Experience. Paper prepared for the Technology Development and Transfer (TDT). Collaborators Workshop. U.S. Agency for International Development International Conference Centre. Harare 24 January – 27 January 1995.

Mupeta, B. 1995. Evaluation of Home Grown Crops and by-Products As Sources of Protein in Dairy Diets Using in Sacco and Mobile Bag Techniques. Annual Conference of the Division of Animal and Pasture. Department of Research and Specialist Services 17 October-19 October 1995, Marondera.

Mupeta, B. 1995. The Potential Development of Zimbabwe Communal areas for Dairy Production. Paper prepared for Technical programme of Dairy Development Programme (DDP) Agricultural and Rural Development Authority (ARDA) 24 October – 28 October 1995 Gokwe, Zimbabwe.

PRESENTATION OF THE DAIRY DEVELOPMENT PROJECT CONDUCTED IN BOBO-DIOULASSO AREA (BURKINA FASO)

Zakaria SORGHO¹⁸

Abstract

Milk is a product of most production systems in developing countries. In Burkina Faso, like other Sub-Saharan African countries, the local milk production is insufficient to meet demand. Therefore, supply is covered by imports. Importations of the Treasury of Burkina Faso amounts annually from US$ 10 to 12.5 million, despite the important number of indigenous cows. Therefore, the Government decided to take action in favour of dairy development in order to reduce in long term importation of milk products, and consequently reach food self-sufficiency and security in animal protein.

1.0 Background

The objectives of the two Quinquennial Plans of Development (1986–1990 and 1991–1995) for agricultural sector were food self-sufficiency and food security by all means. As regard to the livestock sector, at the priority has been the improvement and intensification of milk production in rural areas, given the important number of cows reared. As a matter of fact, the government requested technical support from the United nations, through the Food and Agricultural Organisation (FAO), in order to plan Dairy Development Programmes.

After approving this request, the FAS conducted a feasibility study of a Dairy Development Project in Bobo-Dioulasso and Ouagadougou through its Technical Cooperation programme (TCP/BKF/6657). This study had shown that good conditions were fulfilled in Bobo-Dioulasso, and therefore recommended to start milk collecting nd treating activities from fresh milk processing plant. The results of the Project should be used to plan Dairy Development Programmes at national level.

So, the UNDP approved and financed the first Project towards small farmers dealing mainly with milk production in the region.

2.0 The Different Phases Of The Project

2.1 Pilot Phase (June 1990 – December 1992)

UNDP Contribution: US$ 1,285,000 Execution: FAO/Ministry of Agriculture and Animal Resources.

2.1.1 Objectives

Technical and financial support of small farmers located in the range of 40 km from Bobo-Dioulasso to promote Dairy production in relation to improvement and intensification of livestock production.

The aims of the objectives involved:

• increasing animal protein in human nutrition;
• reducing importations of milk products in long term;
• increasing small farmers' income.

Specific objectives were:

1. To promote the capacity of small farmers in increasing fresh milk yield by 40% by the of the project.
2. To check the capacity of small farmers to organize milk collecting and marketing in order to improve their cash income.
3. To 500 liters of milk to reach the capacity of the small dairy processing plant daily.

¹⁸ Project National Director Bobo-Dioulasso, Burkina Faso.

2.1.2 Strategy Used

After collecting data on the production system in the area, the strategy used was based on improving:

• animal feeding through concentrate (cotton seed cake) complementation, haymaking, and fodder growing (Dolicos lab-lab) to fulfill animal requirements during the dry season;
• Animal health through adequate treatment of animals against main diseases found in the area;
• Organisation and farmers training in livestock management.

2.1.3 Results of Phase 1

a. Technical Results

• Cows heat returned from 180 to 90 days;
• calving interval reduced from 530 to 360 days;
• calving rate increasing from 50% to 65%
• birth weight improved by 20%;
• weight increased by 33% at the age of 5 months;
• lactation length increased from 180 to 220 days;
• daily milk yield increased from 1,20 to 2,25 litres/cow;
• lactation interval reduced from 180 to 120 days.

b. Social and Economic Results

• 100 small farmer families involved in Project activities coming from six (6) groups, and owning 1,100 cows supervised by technicians;
• access of farmers to inputs make possible with a Working Capital (W.C.) US$ 12,500 initiated by the Project;
• regular cash income for farmers from milk sales through the milk processing plant;
• good recuperation of credits (95 %);
• creation of Milk Producers Union;
• increase family milk consumption.

After the pilot phase of the Project, the milk plant has proved to be an important toll for developing dairy production in rural areas.

3.0 Reinforcement - Phase li (January 1994 – August 1996)

UNDP Contribution: $US 752.000

Execution : FAO/Ministry in Charge of Animal Resources

3.1 Objectives

Regular milk production and income for 250 producer families structured in organised groups at the end of Project, through good animal management.

3.2 Specific Objectives

1. Increase milk production by 60 % from 160 to 250 families, with annual milk sales of 100 to 160 litres/lactation/cow.
2. Promotion and self-management of 8 MG¹ and 8 FG₂, trough Producers Union for technical ad economical management of milk production.
3. Reaching the autonomy and privatisation of the milk plant capable of processing and selling 1 000 litres of milk/day.

The achievements of the project are outlined in table 1.

4.0 Constraints Related To Improvement Of Milk Production In Rural Areas

• Low productivity of local breeds;
• insufficient dispossibility of concentrate
• land problems;
• inadequacy of farmer organisation and training in order to take charge of all activities at the end of the Project;
• inadequacy of market systems;
• low implication of women in milk marketing; and
• insufficient budget to promote national milk products.

Table 1: Present Results of the Reinforcement Force

5.0 SPECIAL CONSIDERATIONS

The Project contributed to:

• formulation and financing of Livestock Sector Support Programme (LSSP) by EDF, including the National Pilot Dairy Development Programme (NPDDP) anoral Management Programme (PMd PastP)
• generate regular income for farmers (US$ 41,125 from January to September 1995);
• hire 10 persons in the milk plant (US$ 19 538 as payroll for the same period).

The project is today an example for developing dairy production in rural areas, as regard to many visits of producers and technical agents from neighbouring countries like lvory Coast, Benin, Guinea and Mali.

The Project has been awarded “Africa Award” Trophy, in March 1995, in Abidjan (Ivory Coast) for its efforts to improve rural population life.

6.0 Perspectives

1. To collect maximum milk, a contract has to be signed between the milk plant and every Farmers Group.
2. Packaging equipment for milk and soured milk has been ordered to reduce packaging cost and open the market in order to allow consumers to get access to milk products in relation to their purchasing power.

3. External evaluation of Project has been recommended after its tripartite meeting held in Ouagadougou on February 3, 1995.

   This will allow a decision to be made on whether or not the Project should be extended for one year period so as to:

   • strengthen farmers' organisations and training which could enable them to take charge of all productive activities, as well as participate in the management of the milk pland; and

   • to enable checking the economic and financial viability of the milk plant.

4. The Project involved national livestock programmes for financial support such as NPPDD, and PMP and it gets:

   • US$ 75 000 from NPPD to implant a pilot cheese processing plant;

   • 4 pastoral watering points from PMP to be executed in 1996.

5. The project is working with the International Centre for Research Development on Livestock in Sub-humid Areas (CIRDES) for technical support in animal feeding and health, and in upgrading indigenous cattle.

THE ROLE OF NATIONAL DAIRY BOARDS TO REGULATE AND PROMOTE DAIRY DEVELOPMENT.

K. E. Kolding¹⁹

Abstract

Dairy Boards have been used by several countries as a regulatory board in promoting dairy development. The efficient of Dairy Board can be enhanced by using a bottom up approach and by avoiding being involved in commercial operations.

A Dairy Act can be legislated to help in policy formulation and structuring of the Dairy Board.

The financing of the Dairy Board should be through a levy so as to make it autonomous and independent from government. The National Dairy Development Board in India and the Danish Dairy Board offers a good examples of viable national dairy organisations which could be emulated by countries in Southern Africa.

1.0 Background

Within the livestock sector milk production and dairy development play an important role for the economy of the rural population in most countries. The sale of milk is often the main base for family income. Smallholder dairy farmers rely on an organized outlet for their produce at realistic prices, which enables them to exist and indeed expand their operations. Hence, milk production is an important vehicle to promote rural development.

Throughout the literature on dairy development the important role of Dairy Boards of regulating and promoting dairy development has been described. The adoption of the cooperative strategy, the cooperative dairy movement and efficient operation of milk producers' cooperative societies have always played a vital role in the socio-economic development process of rural communities. In other words, where cooperative societies have taken charge of managing their own affairs for the benefit of their members, farmer run Dairy Boards have proved to be viable and efficient organizations. In other words, the bottom-up approach.

Where parastatal-types of National Dairy Boards have been established by governments, known as the top-down approach, there are many examples of unsuccessful operations of such Dairy Boards due to poor management and political interference. Experience clearly indi-cate that government should not involve itself in commercial operations of the dairy sector.

2.0 The Dairy Act

In their overall functions Dairy Boards must assume regulatory authority as a national body to promote, plan and develop a country's dairy industry. To enable a Dairy Board to carry out its functions the necessary policy framework should be provided through a Dairy Industry Act to be approved by the Parliament of the Country concerned. This act should clearly spell out the legal authority of the Dairy Board and its role and functions including relations between the Dairy Board and the Government.

The Dairy Act will provide details of the Dairy Board's constitution, activities, funding, administration, financing and managerial responsibilities and duties of the Board of Directors. In the following some of these issues will be highlighted.

¹⁹ Dairy Consultant

2.1 Organizational Structure of a Dairy Borad

a. Membership and the Board of Directors

Since a Dairy Board is to safeguard the common interest of the country's dairy industry as a whole its membership should be open to: milk producers and cooperative societies/unions, cooperative and private milk processors and consumers.

A Board of Directors is elected by the Annual General Meeting (AGM) from amongst the delegates attending the (AGM). The modalities of how delegates are chosen to attend AGM may differ. For example, in relation to producers representatives, there might be a case to be made for voting rights to be assigned according to volume of commercial milk produced or delivered in the area by individual societies or unions. Similarly, while some districts or provinces may have structures already in place for election of delegates, others may not as yet be properly organized.

In addition to delegates from the farmers organizations/cooperative societies, delegates to attend AGM should also be nominated by milk processors, whether cooperative or private undertakings as well as delegates are to be nominated to represent consumers interests.

The size of a country's dairy industry, geographical distribution, i.e. numbers of districts or provinces, volume of milk produced etc. may be deciding factors for the number of Board of Directors to be elected. It is important, however, that milk producers should hold the majority.

The Chairman of the Board is to be elected amongst the elected members. The term of office of the Chairman and other elected members of the Board should be three years. One third of the members should retire every year to provide continuity in the Board. The Board of Directors will be accountable to the Annual General Meeting.

In addition to elected members of the Board two or three ex-officio members should be nominated by the Government, usually by the Minister of Agriculture. Ex-officio members should represent the Ministry of Agriculture, Ministry of Health and Ministry of Commerce and Industry. An ex-officio member, a dairy scientist/academic, who has made a contribution to dairy science, research/teaching, should be nominated by the institution con-cerned. None of the ex-officio members are to enjoy the right of voting on the Board.

b. Sub-Committees

To facilitate the Dairy Board to carry out its functions effectively and address specific key-issues the Board may decide to establish Sub-Committees. Usually one of the Members of the Board of Directors is chairman of individual sub-committees while Representatives from institutions, organizations of government ministries are nominated as members of the various sub-committees. Senior technical staff members from the Management Secretariat should act as secretary of the Sub-Committee. Sub-Committees are accountable to the Board of Directors.

Depending of the need of the dairy industry the Dairy Board may establish sub-committees as follows:

• Sub-Committee for Cooperative Development
• Sub-Committee for Extension Service to Milk Producers
• Sub-Committee for Milk and Milk Products Quality
• The Licensing Sub-Committee
• Sub-Committee for Training and Research
• Sub-Committee on Marketing and Prices

c. Management of the Dairy Board

To enable the Dairy Board to carry out its important functions and activities a strong and efficient management secretariat is essential. The managing director of the Dairy Board should be appointed by the Board of Directors. He or she should be professionally qualified in one or more specialities, namely dairy technology, animal husbandry, rural development, agriculture economics or business administration.

On the basis of the advise of the Managing Director the Board of Directors will also appoint other senior qualified officers to be responsible for different technical divisions of the Board. They should also be supported by technically qualified junior staff who will undertake advisory and technical field work to milk producers.

d. Financing of the Dairy Board

International experience clearly suggest that to allow Dairy Boards to carry out their role and functions efficiently they should be autonomous, independent from Government and funded and controlled by the dairy industry. Financing of Dairy Boards is done by a milk levy fund or excess to be charged per kg of milk on all farmers selling milk for processing.

3.0 International Experience

National Dairy Boards are being operated successfully both in developed and developing countries. The most famous example in the latter case is that of the National Dairy Development Board (NDDB) in India. This was established in 1965 to “make available multi-disciplinary, professional dairy expertise to dairies in the public and cooperative sectors”. NDDB is a non-profit making body, but does, however, charge fees for its services and as such is financially viable and independent of Government support. Over the years the NDDB has expanded, but its broad objectives still cover:

• promoting dairy projects in India;
• undertaking research and development;
• providing advice and technical services;
• preparing feasibility studies;
• arranging training and human resource development;
• assisting with technology selection;
• providing marketing and planning services;
• international liaison with other dairy agencies.

The Danish Dairy Board is usually mentioned as an example of successfully operated Dairy Boards in developed/industrialized countries. As a result of the impressive development of the dairy cooperatives in Denmark during the last part of the 19th century, the need for a national dairy organization was felt and in 1912 the Federation of the Danish Dairy Associations was established. Due to rationalization and sweeping structural changes of the Danish dairy industry, resulting in the establishment of large scale dairy plants, the number of dairies was reduced from 1 339 in 1960 to only 59 in 1993 and at present there are only 43. Consequently, there was a need to restructure the Federation of the Danish Dairy Associations to reflect its new role and functions and it is now an organization based on membership of individual dairies rather than, as in the past, a Federation based on regional cooperative milk producers societies or unions. This restructuring was done in 1972 and the present name, Danish Dairy Board (DDB) was adopted.

The Annual General Assembly is the controlling body of the Danish dairy industry and has the ultimate authority in all matters relating to membership contribution, annual accounts and decisions to amend Statutes. From amongst the delegates attending the AGM elects the Executive Committee of the DDB (12 members) to be in charge of the overall management of the DDB. The Executive Committee in turn appoints Working Committees, presently four, and a management secretariat, which coordinates all the activities. The DBB is financed by a Milk Levy Fund of DKK 0.02 per kg of milk.

4.0 Conclusion

Several African countries have also established Dairy Boards to support dairy sector development. Some of these Boards have been more successful than others. As mentioned earlier political interference have in many countries resulted in poor management of Dairy Boards, inefficient technical and financial operations with the unfortunate situation that Dairy Boards have not been able to carry outs their mandate and role or function. In such cases cooperative societies, dairy farmers and private dairy processors have lost confidence in their Dairy Boards.

In conclusion the important role of Government to provide institutional support in education, research and extension should be emphasized.

A Dairy Board shall be an autonomous body having powers and authority to exercise its affairs and business to promote and develop the national dairy industry.

SMALLHOLDER REHABILITATION AND DEVELOPMENT PROJECT IN ETHIOPIA²⁰

Getachew Felleke²¹

Abstract

The paper describes the Dairy Rehabilitation and Development Project (DRDP): its organisation, shortcomings and future plans. Since it began the project has changed focus from cooperatives alone to peasant farmers operating independently. Provision of services to smallholders currently forms the cornerstone of the project and indicates how the project is contributing to improved production and nutrition through dalry; in Ethiopia.

²⁰ This paper was not presented but circulated at the Workshop

²¹ Manager, Dairy Rehabilitation and Development Project, Ministry of Agriculture Ethiopia

1.0 Dairy Development In Ethiopia

The diversity of Ethiopia's topography, climate and cultural conditions has resulted in livestock production systems in which human and natural selection has given rise to numerous types and breeds of cattle. Ethiopia has the largest livestock population in Africa and the country's annual milk production amounts to 17% of the continent's total output.

There are indications that improved cattle breeding in Ethiopia may have started before the Second World War when some Channel Island and Friesian breeds were introduced into the country. The practice of inseminating cattle artificially may have been initiated in the late 1950s by the agricultural teaching institutions. The Ministry of Agriculture (MoA) further supported improved dairy breeding in the country by establishing cattle improvement an multiplication ranches and by expanding local capacity for artificial insemination services.

Overall, appreciable attempts have been made to initiate and promote dairy development programmes including the implementation of commercial as well as comprehensive agricultural development packages and programs. These efforts have contributed substantially to the spread of dairy extension in the country. The most comprehensive and stand-alone dairy development programmes are currently being implemented through the Dairy Rehabilitation and Development Project (DRDP).

2.0 Ethiopian Milk Production Systems

Four major milk production systems are recognised in Ethiopia: highland smallholder, urban and peri-urban, intensive dairy farming, and pastoralist. Because of rainfall patterns and related reasons, as well as shortage of feed availability, milk production per unit area is low and highly seasonal. The first three systems are briefly described below:

1. Highland smallholder milk production is the predominant system and can be regarded as mixed farming in which crops and cattle are interdependent. The majority of the system's cattle are composed of the local Zebu; very few of the nation's crossbred cattle account for much of the milk produced in the mixed farming system.
2. Urban and peri-urban milk production has developed in and around major cities and towns which have high demand for milk. The system comprises small and medium sized dairy farms located in the highlands with grade dairy cattle.
3. Intensive dairy farming with specialised farming practices is the most important production system in terms of quantities produced and is state-dominated. Most of the intensive dairy farms are located around the country's large towns and are based on the use of purebred exotic cows or high grade dairy stock.

2.1 Development Constraints

The livestock sub-sector in general, and the dairy sector in particular, does not make a contribution to the national economy commensurate with its size. The reasons for this shortcoming are numerous and include both non-technical and technical constraints. The former issues include socioeconomic and institutional considerations which are also common to other agricultural sectors in the country.

Non-technical constraints in the development of the dairy industry relate to:

1. Human population: Although Ethiopia's 2.9% population growth rate results in substantial growth in demand for livestock products, this increase also intensifies the necessity to extend the cropping areas to support the nation's food requirement. This need for cropping space implies that land availability for dairy development is reduced.

2. Livestock Function: The main use of cattle as inputs, outputs and for security, means less room for specialisation into dairy.

3. Marketing Facilities: Lack of an organised liquid milk and milk products marketing system has a detrimental effect on dairy development.

4. Input-related constraints: include low investment and little recurrent funding, lack of credit, and poor infrastructure, research, extension, and training, input and breeding services.

5. Technical constraints: include problems associated with feed resources; lack of adequate feed, overgrazing, and poor feed nutritive value. In addition, low technology, dairy breed, genetic development.

2.2 Dairy Rehabilitation and Development Project (DRDP)

Previously, dairy development efforts were centred on the larger commercial and state dairy farms supplying milk to Addis Ababa and a few other urban centres. The recent shift in emphasis towards medium-sized and small scale dairying leads the way to improve the country's vast livestock resources with specific reference to milk production. The DRDP was appraised by and ADB mission in 1984 and began operating in 1986. It was the first effort since 1970 to extend activities to smallholder farms. The project's objectives were to:

1. Improve incomes and the nutritional status of farmers by establishing modern dairy production units at service and producer cooperatives, and recently on smallholder private farms.
2. Place the country's dairy industry on a sounder economic footing.
3. Improve the overall efficiency of the state dairy sector.
4. Reduce dependence on purchased concentrates by increased emphasis on forage production.
5. Improve supply of milk for urban consumption.

The project components included cooperative diary development which now incorporates smallholders with one or two cows. Another activity was the production of dairy stock for distribution of farmers through rehabilitation, expansion and development of specific ranches, farms and programmes. In addition, the project also:

• targeted veterinary services and livestock recording;
• assistance with butter marketing infrastructure;
• funding for trials and studies relating to adoptive research in dairy production; and
• technical assistance and training.

The DRDP is currently organised into two individual components each headed by a Project Manager. The finances for the project from the African Development Fund (ADF) are channelled through the Government of Ethiopia (GoE) Ministry of Finance. Overall project coordination is by means of a Project Steering Committee (PSC). The project began implementation at a time of major changes in the political and administrative structures in Ethiopia. Under the circumstances, a high degree of flexibility was required as the emphasis shifted from service cooperative (SC) to producer cooperative (PC) and then finally to private smallholder peasant farmers. This adaptability permitted the project to successfully meet the changing political and economic situation. Nevertheless, implementation is far behind schedule given the changing circumstances.

The DRDP has now reached a point where the dairy strategy is prepared to meet the needs of the various farming community sectors. the pioneering phase is complete and what remains is to implement the strategy aimed at achieving self sufficiency into production and improved family incomes.

3.0 Organisation and Structure of the Extension Service

There are two key factors in the implementation of the smallholder dairy development programme: the availability of inputs and the role of the extension service. It cannot be emphasized too strongly that dairying should be treated as an individual specialty and not simply as part of the general livestock activity.

The structure of the Extension Service (ES) as it now stands is suitable for support of smallholder dairying. The key person in the extension/farmer interface is the Development Agent (DA). It is he who must fain the confidence of the farmer as his farm adviser. The DA should be the person to provide advice on the “whole farm” approach since no single enterprise on the farm is independent of the others. In other words, it is the same person (the farmer) who carries out different tasks and who allocates priority in terms of time, land use, and financial resources.

However, dairying with improved cattle and/or grade cows requires specialised skills in animal health, feeding, and management of the milking cow. The DA as a generalist cannot give the required detailed advice. This is where the role of the DRDP becomes important in extension. The project trains and equips specialist Dairy Officers (DO) to be posted as Subject Matter Specialists at Awraja (sub-region) level. The project also makes information available to the DAs in the form of manuals, newsletters, technical bulletins, and in-service training courses. At regional level a Senior Dairy Officer (SDO) reinforces the expertise of the DO. The SDO coordinates all diary activities in the region and liaises directly with the DRDP Chief Dairy Officer at project headquarters.

4.0 DRDP'S Veterinary Component

Given the increased emphasis on small scale farmers who are widely dispersed, it is prudent to review the contribution the DRDP can, and should, make in the realm of veterinary care. It is recommended that the DRDP provide specialist veterinary care for the DRDP-assisted ranches and also act as adviser to the veterinary field staff in DRDP areas. Routine veterinary care of all stock should be left to the local veterinary field service which has been made available for a the purpose-there is no need for duplication. One obvious role for the DRDP veterinarian is to hold training seminars to local field staff on dairy-related diseases. The (two) Mobile veterinary clinics are used for emergencies and not for routine patrols of the DRDP project areas. The mobile units would be on call for occasions when the local field staff request assistance.

In considering the wider implications of the new economic order, it is a logical development that medium and larger scale dairy farmers will turn increasingly to private veterinarians. This issue is considered in the long term diary development strategy.

5.0 Current and Future Status of Dairy Sector

5.1 Current Status

A change in domestic policy-towards a mixed policy-in March 1990, permitted a degree of private enterprise to exist alongside state-run corporations. This permitted a degree of private enterprise to exist alongside state-run corporations. This new situation has helped stimulate a change in emphasis for dairy farm development. Thus the MoA component of DRDP seized the opportunity of the policy relaxation to include smallholders in the project.

Smallholder dairy development present a greater challenge than establishing dairy farms on producer cooperatives because of the precarious nature of the peasant farming system. Farms are most often under three hectares in size. Under the smallholder dairy development strategy of the DRDP, the dairy potential areas of the country were prioritized to give emphasis to those areas with high demand for whole milk marketing. Awrajas within each region were also prioritized for the development programme into milk shed areas to maximize use of limited resources. This strategy helped to test the applicability of the programme.

A number of potential areas were identified and participating farmers were registered (the number of applicants was high). To date, 213 farmers are participating in this programme in the 26 milk colonies of the project area. However, increased demand from peasants for crossbred heifers supplied by government ranches has severely curtailed the number of cattle available for distribution. This situation has reduced the potential impact of the smallholder programme.

5.2 Future Strategy

The smallholder dairy development strategy has focused on establishing groups of dairy farmers in specific areas of high dairy potential with easy access to milk market areas. The rationale behind the strategy is based on optimum resource management to set up milk colonies where inputs could be concentrated in one areas. In this manner the resources would have a significant impact compared to a strategy of diffusing resources around many areas. The minimum number of farmers to be considered in any one colony is ten. Members of the group will be chosen generally based on peasant association. The expansion of the colony would depend on the success of the initial contact group; their success or failure would persuade or discourage other farmers from participating in the programme.

The colony would be supported by strengthened dairy extension services including veterinary care, animal breeding, credit and marketing services. These support services, while primarily deployed in support of the farmers with crossbred stock, will also be available to all farmers in the area. The contact farmers would be catalysts in general dairy development in the colony and in teaching other farmers how to join the group. It would also be possible for non-project farmers to request that their local cattle be bred with exotic bulls on semen. These follower farmers could also be project farmers with the organisation of the farmers into “Dairy User Groups”. Through these groups farmers would have access to credit (provided that legality of the entity is established, complete with by-laws) and would be task-oriented beneficiary groups. By extending loans to these groups, farmer to farmer exchanges or heifer sales would be promoted for the development of a modern dairy sector. The extent of the development will not be limited to distribution of heifers and provision of breeding services, but will also promote feed production and organisation of farmers for marketing and processing.

The growth of the dairy colony would extend the provision of services to non-project farmers and would help them to benefit from improved pasture and forage seeds from the extension services. Provision of animal health services would also enable local farmers to control internal and external parasites, resulting in minimal morbidity and hence increased milk yield.

6.0 Conclusion

The promotion of smallholder dairy development requires a different approach to that of establishing medium and large scale dairy farms. Whereas the latter two can generally afford the resources (labour, land capital and marketing) to have stand-alone enterprises, in the small farm, dairy stock has to be integrated into the farming system in terms of land, labour and finance. The smallholder tends to be conservative and risk-averse. Therefore, much greater care must be exercised in the approach to smallholders in order to provide the best advice for the well-being of the farmer and his family.

There is vast scope for an increase in national milk production. With an estimated 8–10 million cows in the country, of which over 97% are owned by peasant farmers pastoralist, present production is estimated at about 845,000 tons annually. This quantity is equivalent to only 250–300 litres per cow per year over the above feeding a calf. If one million of these cows were to achieve 100 litres per year more (i.e. one additional litre per day for one month) the national milk production level would rise by 30,000 tons.