Milk and Milk products such as butter, ghee and cheese.
Potential Target area
Subira, Ruhuwiko, Mshangano, Ruvuma, and Luwawasi a total of 415 hectares are available for dairy farming. Water is available and the condition is favourable for dairy farming, Also more land can be obtained from nearby Districts of Songea and Namtumbo.
The market situation.
There is low milk production in Songea Municipality and most is consumed locally. A few improved dairy cattle for milk are kept .According to records there are about 2,225 improved cattle available in the Municipality.
Target Market
Supermarkets and groceries in urban centres like Dar es salaam, Mbeya, Iringa, Morogoro, mining areas and Songea Municipality dwellers.
Exporting to nearby countries like Malawi, Mozambique and Zambia.
Future market expectation
Demand for pasteurized milk with low fat content is growing and children are being encouraged in national campaigns to drink milk for good health.
With increased population and campaigns on promoting more milk consumption, the demand for good quality milk will increase.
Processing chain
Dairy animals can be milked either manually or by milking machines. Milk collected can be processed, packed and transported for sale. The cream obtained by separation from whole milk can be processed into milk by-products to include butter, ghee and cheese for sale locally.
Market imperfection/distortion
Currently farmers who keep dairy cattle sell unpasteurized milk directly to individual customers. There is limited local supply of good quality milk. There is a lot of relatively expensive imported milk and milk products in the market.
Quality demands
Dairy farming from improved breeds gives good quantities of milk. The best dairy cattle that is recommended for this area is Friesian, Ayrshire or crosses with the local breeds.
Type of investor
A medium and large scale dairy farmer with capital and expertise to invest in intensive dairy farming could also encourage surrounding villagers to keep improved dairy cattle and buy fresh milk from them for processing and distribution.
