Investments to grow Africa's dairy sector

The African dairy sector holds immense potential for fostering food security, employment generation, and income upliftment for smallholder farmers. With key investment areas primed to drive sustainable growth and resilience in the industry, experts are emphasizing the critical role of finance and investment in overcoming existing challenges. During a recent interview on CNBC Africa, Alex Gathii, the Managing Director of Tanolope Consultancy Ltd., shed light on the opportunities and barriers faced by dairy farmers in scaling up production across the continent. Gathii highlighted the need for doubling Africa's milk production to meet global standards and outlined key investment requirements, including funding for cooling facilities, cow barn construction, and genetics enhancement. The conversation delved into the significance of financial mechanisms tailored to meet the unique needs of dairy farmers, particularly in the context of climate change and sustainability concerns. Concerns were raised about the insufficient funding allocated to the agriculture sector and the pressing need to amplify support for dairy farmers to drive economic growth and job creation. While some African nations have made strides in policy development, tangible actions to support dairy farmers are still lacking in many regions. Value addition and market access were identified as critical areas for Africa's dairy sector to enhance its competitiveness on both international and intra-African platforms. Gathii stressed the importance of improving quality parameters, increasing productivity, and investing in cold chain infrastructure to meet global standards and expand market share. Ultimately, the call to action is clear - it is time for Africa to step up its dairy production game and seize the opportunities for growth and development in the sector.