Tuesday, June 22, 2010

News update Less importation of dairy products pushed

MANDAUE CITY, Cebu - The National Dairy Authority (NDA) in Central Visayas is targeting to lessen year-on-year the country's dependency on imported dairy products as it foresees strong growth potential of dairy sources in the local sector.

One way to help boost local production of milk, for instance is by increasing the number of dairy farmers in the country, NDA-Central Visayas Manager Grace Cenas told Manila Bulletin.

"Our advocacy is to encourage dairy farming in the country. There is a huge room for growth in this industry. The demand is high," Cenas said.

Dairy is the second most-imported product in the country after rice.

Cenas cited an industry report where she noted that about 95 percent of the dairy products in the country are sourced from such countries as New Zealand, Australia, Switzerland, among others, while the remaining five percent are locally produced.

She said the country imports milk worth $400 to $500 million annually from these countries.

According to a report by the Department of Agriculture, the country imported 1.618 billion liters of milk in 2008 which amounts to about 4.50 million liters daily. Local production was only 14 million liters or 38,000 liters per day.

In the country, Southern Luzon is the largest producer of milk while Cebu produces only around 2,000 liters of milk every day.

There are 15,212 dairy families in the Philippines with 347 primary cooperatives and institutions.

"If our importation has gone as high as 95 to 99 percent, it only means that demand for dairy products in the country is huge," Cenas said. "The only problem is that locally, we have a small supply since only a few Filipinos have gone into dairy farming."

While farmers still need to undergo technology development seminars to familiarize themselves with the dairy business, Cenas said the NDA-Central Visayas is ready to assist interested farmers who want to explore other income opportunities.

The NDA-7 official said farmers can sell their milk to NDA-assisted Cebu Federation of Dairy Cooperatives (Cefedco), which has a plant in Consolacion that can process raw milk to produce dairy products like pastillas, polvoron and milk bars.

However, to maximize production, Cenas advised farmers to organize themselves into cooperatives so they can avail of patronage refunds and other incentives.