Working Group - Dairy

Context:

Indonesia imports 79% (roughly 3.5 million tons) of the milk consumed in domestically. Raw milk is mostly imported in the form of skim milk powder (SMP), whole milk powder (WMP), anhydrous milk fat (AMF), and butter milk powder (BMP) from New Zealand, Australia, the United States and the European Union. Indonesia’s smallholder dairy farmers struggle to compete, as they typically have 2-3 cattle per farmer, low productivity rates (7-12 liter/cow/day) and inferior product due to poor feeding and maintenance. On the other hand, the Indonesian government is determined to boost local production to cover 60% of the domestic market by 2025.

Activities:

• Delivering capacity building to public agricultural vocational schools in Malang and Bogor - through the Teaching Factory for Agricultural Education (TEFA) program - covering Good Agricultural Practices such as designing cow sheds and feeding.
• Establishing model farms to demonstrate sustainable and profitable smallholder dairy farming.
• Promoting and facilitating fodder farming (especially maize), the use of nurseries, the distribution of better plant materials and the development of various legumes.
• Rolling out financing models for farmers to scale from 3-4 cows currently to 8 productive cows.
• Collaborating with cooperatives to establish and manage rearing farms .

 

Impact:

• 14000+ farmers participating, of which around 50% are women.
• 20 model farms established
• 10,000 water-ad-libitum systems installed in barns.
• Over 8,000 farmhouses with biogas systems.

 

Member:

Leader: Nestlé Indonesia

• PT Nestle Indonesia.
• PT Global Dairi Alami.