Namibia’s milk production declines by 35% over five years

NAMIBIA – Namibia’s dairy industry has faced a significant decline, with local milk production falling by 35% over five years, from 24 million litres in 2017 to 15.6 million litres in 2022. 

A report by the Ministry of Agriculture, Water and Land Reform highlighted that the number of dairy farmers has dropped from 27 in 2017 to just four in 2022, comprising one intensive dairy farm and three semi-intensive operations.

High production costs, driven by expensive imported feed and fodder, have made local dairy less competitive against imports, particularly from South Africa. 

Namibia’s dairy industry operates under two primary production systems: the intensive system, which relies on Friesian cows, and the semi-intensive or extensive system, which incorporates Jersey and Brown Swiss cattle for both milk and meat production. 

The report noted that the country’s only intensive dairy farm accounts for 90-95% of total milk production, producing around 1.4 million litres per month. 

The three remaining semi-intensive dairy farmers produce significantly lower volumes, as their production depends on natural grazing, and the system allows cows to raise their calves, further limiting milk output.

According to the report, the Ministry of Agriculture has initiated measures to address the crisis, emphasising a comprehensive study conducted by the Livestock and Livestock Products Board.

The study aims to assess the dairy value chain and evaluate mechanisms to support the industry, including the potential introduction of a market protection scheme similar to those in place for pork and poultry. 

The findings are expected to guide interventions such as the introduction of producer and retail pricing guidelines to shield local farmers from market volatility, promotion of local fodder production, and support programmes.

The development and implementation of a National Dairy Master Plan, informed by the study’s outcomes, is anticipated to help stabilise the industry, increase local milk production, and strengthen food security.