By Ibrahim Hassan-Wuyo

Arla Foods, one of the world’s leading dairy cooperatives, has invested £10 million (approximately €10 million) in a state-of-the-art dairy processing facility located in Damau, Kubau Local Government Area of Kaduna State. The investment aims to strengthen Nigeria’s dairy value chain, enhance local milk production, and create employment opportunities.

The facility, which will process locally sourced milk, is expected to significantly increase Nigeria’s self-sufficiency in dairy production and provide a ready market for local farmers.

Speaking at the Arla-Dano Open Day and commissioning of the Nigeria Dairy Centre of Excellence in Damau, Governor of Kaduna State, Senator Uba Sani, described the investment as a major boost to the state’s industrialization drive and a clear demonstration of growing investor confidence in Kaduna’s business environment.

Represented by the Secretary to the State Government, Dr. AbdulKadir Muazu Meyere, Governor Sani disclosed that Arla has invested €10 million to establish the modern Arla Farm in Damau, with a projected annual milk output of 4–5 million kilograms at full capacity.

He noted that since his administration came on board, there has been a marked improvement in local milk production and the creation of both direct and indirect jobs through Arla’s operations.

Governor Sani reaffirmed his administration’s commitment to developing the livestock industry by bridging infrastructure gaps, facilitating access to markets, and attracting strategic investments. He highlighted the establishment of key institutional frameworks such as the Kaduna State Livestock Regulatory Authority (KADLRA), the Kaduna State Livestock Transformation Company, and the Kaduna Ranch Development Company — all working in synergy to ensure sustainability and expansion of the agricultural sector.

He also commended the unveiling of the Sedentarization and Climate Change Resilience in Nigeria (SCREEN) Project and the commissioning of a yoghurt factory, noting that these initiatives will empower smallholder farmers with modern dairy techniques and technologies to improve milk yield and quality.

“Supporting local milk sourcing translates into more income for our farmers, more jobs for our youth, and more nutritious products for our people,” the Governor said.

“We hope that the multistakeholder collaboration that birthed the Damau Milk Farm Project will galvanize sustainable economic growth in the dairy value chain, with Kaduna State taking the lead.”

Representing President Bola Ahmed Tinubu at the event, the Minister of Livestock Development, Alhaji Idi Mukhtar Maiha, said the Arla investment aligns with the Federal Government’s policy on local content development and backward integration in the agricultural sector.

He lamented Nigeria’s low milk production levels — about 0.7 million litres annually — which fall far short of national demand and global standards.

“Our per capita consumption of 8.7 litres per year is far below the global average and alarmingly lower than the WHO’s recommended intake of 210 litres per person annually,” the Minister said.

“At the farm level, our indigenous cows produce only 0.5 to 1.5 litres daily, compared to the global average of 6.6 litres. Despite having millions of cattle, Nigeria still spends over $1.5 billion annually importing milk and dairy products. This paradox must change.”

According to the Minister, the newly created Ministry of Livestock Development is determined to unlock the potential of Nigeria’s livestock value chains, reduce import dependence, mitigate farmer-herder conflicts, and enhance nutrition and prosperity for citizens.

He described the Damau area as “fast becoming Nigeria’s dairy hub,” citing its growing number of dairy interventions, including the Arla Farm, the Damau Household Milk Farm, and other dairy development projects supported by investors and development partners.

He explained that the Damau Household Milk Farm project, initiated by the Kaduna State Government, involves the settlement of 1,000 households and the provision of improved cows, pastures, veterinary services, and social amenities. Arla serves as the off-taker of milk produced from these households.

The Minister also revealed that the Danish Government is sponsoring two dairy development projects — Partnership for Green and Productive Dairy in Nigeria and Sedentarization and Climate Change Resilience in Nigeria — aimed at building climate-resilient dairy practices and documenting learnings from the Damau model.

 “Today, that vision is taking shape through investments such as the Arla Farm, as well as collaborations and reforms that are already yielding results,” Alhaji Idi Mukhtar Maiha said.