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Dairy farming in Ethiopia

 


Dairy farming in Ethiopia

Ethiopia dairy farming is organized in 2006 EC around Kulby. Which is organized to provide different services to the people of Dire Dawa, Harare, as well as towns around Kulby. This dairy farm contains products and services, market analysis, management and operations, market growth, and summary.

Applying the above lists, I would like to solve low milk production, low price, and distance to the market were considered to be the most important constraint to milk marketing. It is suggested that improved and appropriate milk processing and marketing for sustainable dairy production.

Dairy farming is a class of agriculture for the long-term production of milk, which is processed (by the farmer at a dairy plant, either of which may be called a dairy) for the eventual sale of a dairy product. It is a facility dedicated to raising and maintaining animals kept for their milk. Classically, dairy farmhouse cows, although it is also possible to raise goats, sheep, and other animals for their milk. The goal of a dairy farm is to produce high volumes of good quality, safe milk, and milk products and export them to the surrounding region. The investment is starting at 3,600,960 Birr. We have obtained 2/3 of this birr from the government. The rest we have gained from our families.


Why dairy farm is important?

There are many benefits that businesses bring to the community and individuals. Some of these are: -
  1. To fulfill market needs and customer satisfaction.
  2. As a source of employment for the business operator and employees.
  3. As a source of income. It helps us to get the needs of the business operator, our family, and those who depend on our business.
  4. It helps to get the needs of the community by providing goods and services close to where they are.
  5. It promotes economic development and promotes the welfare of the community.

Products and services

Dairy farms will produce milk, cheese, butter, and yogurt as major products. The company's total production capacity is 9,450 liters of milk per month.

Ethio dairy has 20 cows. One of the cows produces an average of 16 liters of milk per day. Our dairy farm products will be: -
  1. Milk: Liquid sales will account for 54% of sales of our products. Because it is most widely usually in the area and easy to sale
  2. Cheese: from our major products it only will account for 14% of our product.
  3. Butter: this product will account for 24%.
  4. Yoghurt: this product will account for 8%
Ethio farm products are unique because they are: -
  • Products at high quality
  • Products using improved milk cows
  • Produced by using trained employees
  • Products are delivered at a low cost
  • Products are customer oriented

Market analysis

Dairy farms will service households, dwellers of the city, hotels, cafes, restaurants, government institutions and etc. Expanding and opening dairy farming locations in different areas will add more profits to the business over time.

So, to increase income there are many approaches we can make for example increasing the amount of milk sold. This involves increasing milk production and reducing milk losses. To increase milk production, we can feed our cows on better feeds and apply good management practices. If the cows are low genetic potential the Ethio dairy may replace them with cows that yield more milk. Star dairy can improve the quality of our herd by using artificial insemination services and selecting the qualities that are desirable for the offspring. Milk losses can be reduced through hygienic milk handling to prevent contamination and spoilage. Losses can also be reduced by using appropriate containers to avoid spoilage during transportation.

The other approach is selling where the price is higher, Star dairy can identify alternative markets that can pay higher prices without them incurring transport and other marketing costs that are equal to or over additional income to be earned at the alternative market. Through bulking milk Star dairy can collect large volumes that give them bargaining power when negotiating for better prices.

The last approach made was reducing costs to increase profit, this approach is to identify the respective costs and consider what can be done to reduce the level of milk production. The dairy farm can reduce costs by growing high-quality feeds on the farm to reduce the expenditure on the dairy meal. We can also conserve feeds to avoid buying hay in the dry season. Farmers who do not have sufficient land to plant fodder could buy hay when there is plenty of feed because the prices are significantly lower and store it for the dry season.

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