By Gabriel Ewepu, ABUJA

DESPITE huge potential of the milk value chain in the nation’s agricultural sector, the Commercial Dairy Ranchers Association of Nigeria, CODARAN, lamented how the Nigerian milk industry is bedevilled with myriads of challenges, which had led to wastage and stifling growth and development of the value chain.

Speaking ahead of the 2023 World Milk Day, coming up on June 1, 2023, the National President, CODARAN, Dianabasi Akpainyang, said there is a lot to be done to change the narrative if agriculture will be the mainstay of the economy.

According to Akpainyang, the dairy industry alone can create huge employment for the teeming youth, drastically reduce capital flight on dairy products’ importation, and generate huge revenues for the government if developed and supported.

The venue of the two-day event will be held at the Abuja Trade and Convention Centre. Abuja.

He said: “The Nigerian dairy industry holds huge economic potential. It is unarguably a goldmine of investment opportunities that assure optimal returns for investors.

“These opportunities exist within the broad areas of milk production, aggregation, storage, processing, and marketing.

“However, within the value chain, there are numerous challenges which have contributed to the low performance of the sector when appraised in line with its potential.

“There are significant challenges at the milk production level – the upstream sub-sector of the dairy value chain.

“The productivity of local cow breeds mostly managed by pastoralists is low at 0.5 to 1.5 litres of milk per day, compared to a global average of 6.6 litres per day by cows managed by pastoralists.

“The output from Nigeria’s managed pastures – an average of eight litres per day is also a far cry from the global average of 30 litres per day. These are according to a recent (2019) report on the dairy sector published by PriceWaterhouseCoopers (PwC).

“Lactating cows are also poorly fed by smallholder dairy farmers. These largely nomadic herders traverse the country in search of available forage and water sources and pay little or no attention to the nutritional content and suitability of the feed and water their cows consume.

“Poor nutrition translates to low milk quality and quantity, leading to low income.

“Other challenges within the milk production space are poor animal disease management; with pastoralists lacking access to proper veterinary services for their cattle.

“There is also the low adoption of technology in production as the pastoralists stick to outdated animal husbandry practices and do not possess the financial capacity required to adopt new technology.”

However, the CODARAN boss said on June 1, which is World Milk Day, stakeholders led by CODARAN will converge to make recommendations on how to address “one overbearing challenge of Nigeria’s dairy industry – access to finance with the theme ‘Pathways to Financing Nigeria’s Milk Revolution’, experts, dairy industry practitioners and policymakers will recommend practical funding options that would work for Nigeria in the quest to achieve self-sufficiency in milk production.

“The challenge of low access to patient capital to cater for the long-term nature of dairy investments stalls investment activities within the entire dairy value chain.

“From lack of long-term funds for startup of new dairy businesses and for existing businesses to expand production activities, to lack of capital for commercial fodder production, breed improvement, animal health management, purchase and maintenance of farm equipment, storage and cold chain facilities, there remains a yawning gap within the sector which only strategic financing can fill.

“The World Milk Day Conference will offer the platform to recommend and adopt these strategic financing models for Nigeria.”

While speaking on the 2023 World Milk Day on June 1, 2023, he (Akpainyang) said, “The first of June every year is set aside by the United Nations as World Milk Day to celebrate the global dairy industry’s contribution to nutrition, livelihoods, and the environment. Since the inception of the commemorations in the Year 2001, celebrations have varied in theme and content globally.

“In Nigeria, stakeholders in the dairy industry have used that platform to reflect and consider transformational strategies to pursue and attain sufficiency in milk and dairy products.

“This year, in keeping with the tradition of World Milk Day Celebrations, the Federal Ministry of Agriculture and Rural Development (FMARD), in collaboration with the Commercial Dairy Ranchers Association of Nigeria (CODARAN), the Abuja Chamber of Commerce and Industry (ACCI), Sahel Consulting Agriculture and Nutrition Limited is organising mega celebrations to showcase the critical role of the dairy industry in sustaining livelihoods and economic development.”