Presentation by Desalegn B/medhin at the National dairy forum, Addis Ababa, Ethiopia, 23-24 November 2010.

1. CAPACITY BUILDING INITIATIVES ON DAIRY DEVELOPMENT DESALEGN G/MEDHIN ETHIOPIAN MEAT AND DAIRY TECHNOLOGY DE DESALEGN G/MEDHIN ETHIOPIAN MEAT AND DAIRY TECHNOLOGY INSTITUTE NATIONAL DAIRY FORUM November 23 to 24, 2010 GHION HOTEL, ADDIS ABABA, ETHIOPIA

2. OUTLINE OF THE PRESENTATION INTRODUCTION DAIRY DEVELOPMENT endeavors UNDERTAKEN SO FAR LESSONS LEARNT FROM PAST EXPERIENCES CURRNT STATUS OF DAIRYING STATUS OF MILK AND MILK PRODUCTS IMPORTATION CHALLENGES OF DAIRY DEVELOPMENT IN ETHIOPIA RECENT DEVELOMENTS PLANS OF THE ETHIOPIAN MEAT AND DAIRY TECHNOLOGY INSTITUTE ON CAPACITY BUILDING IN THE SECTOR CONCLUSSION AND RECOMMENDATIONS 11/24/2010 2 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT

3. INTRODUCTION Ethiopia is endowed with various agro-ecological zones and Milk is produced in all parts of the country It is believed that Ethiopia possesses the highest cattle population in Africa with a total cattle heads of about 52 million(About 55.48 percent are females) Ninety eight percent of the total milk produced comes from the rural dairy system while only 2% percent is contributed by the commercial dairy Ninety-seven percent of the total milk produced from cattle is obtained from indigenous breeds while the remaining 3% comes from exotic-crosses and pure-grade cattle 11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 3

4. INTRODUCTION, CONT… Ethiopia’s dairy development history dates back to more than six decades before. Various structural changes, adjustments, and development endeavors in dairying have been taking place since then The sector, however, didn’t grow and the country is not benefiting from the sector properly To address the issue of dairy and meat production, the Ethiopian Meat and Dairy Technology Institute (EMDTI) was established in January 2008 with the major objectives of capacity building, investment promotion, and market facilitation The institute is located 45 km South East of Addis Ababa, the capital city 11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 4

5. 11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 5 Lake Babogaya, Bordering EMDTI from the East

8. Shola processing plant in 1960

9. Chilalo Agricultural Development Unit (CADU) later named as Arsi Rural Development Unit (ARDU) in 1967

10. Dairy Development Agency (DDA) in 1971

11. Addis Ababa Dairy Development Project (AADDP) in 197111/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 7

13. Welaita Agricultural Unit (WADU) in 1973

14. Minimum Package Programme(MPP) in 1972/73

15. National Artificial Insemination Center (NAIC) in 1981

16. Dairy Rehabilitation and Development Project (DRDP) in 198611/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 8

18. Different crossbred heifers production ranches were also established in the 1940s and 1950’s(Milk production in Ethiopia had increased significantly during the 1960s with an average annual growth rate of 1.63%) 11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 9

20. Moreover, the involvement of nongovernmental organizations have been contributing a lot in the attempts for the development of the sector11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 10

21. LESSONS LEARNT FROM PAST EXPERIENCES Failure in sustainability of the dairy development projects and programmes Development of the sector at large remained much unsatisfactory The huge cattle population and the potentials for dairy development are still underutilized 11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 11

22. CURRNT STATUS OF DAIRYING Out of the total quantity of milk produced in the country only less than 2% is processed at industrial level Annual per capita consumption of milk is declining: some documents put it as 17kgs while others indicate 20 kgs Importation of milk and milk products is increasing from year to year 11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 12

23. CURRENT STATUS, Cont… Taking the case of Addis Ababa as an example, the total annual quantity of milk available for a population of about 4 million is less than 65,000 tones out of which about 15,000 tones is industrially processed or pasteurized while the remaining 50, 000 is sold out to consumers directly by producers_ but this is highly supported by imported milk and milk products 11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 13

24. STATUS OF MILK AND MILK PRODUCTS IMPORTATION 11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 14

25. IMPORTATION, Cont… 11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 15

27. Lack of reliable supply of improved dairy breeds

28. Uncontrolled crossbreeding along with inefficient artificial insemination services

29. Shortage of animal feeds

30. Poor animal health services

31. Absence of well-organized milk collection and processing plants and lack of cold storage facilities

32. Lack of milk quality standards and regulations11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 16

33. CHALLENGES, cont… Unavailability of remunerative and reliable milk marketing systems Lack of appropriate promotion work to develop the inclusion of dairy products in the daily diet of the society Suspicion of consumers in the quality of milk and milk products produced domestically 11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 17

34. RECENT DEVELOMENTS To alleviate the problems associated with the sector, the Government has started taking different measures including the establishment of the EMDTI Governmental and nongovernmental organizations who have stakes in dairy development of the country have began working in close collaborations more than any time before Currently, various projects are being undertaken aimed at establishing large dairy industries and commercial dairy farms which are believed to contribute much to the development of the sector 11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 18

36. Consultancy

37. Support and facilitation of investments in dairying

38. Marketing facilitationsWork collaboratively with partner government and also nongovernment organizations who directly or indirectly have stakes in supporting the dairy development of the country and addressing the challenges of the sector 11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 19

40. Dairy production in the country is currently encompassed by serious challenges which need urgent collaborative solutions

41. The emphasis given to sector currently is in a good start, however, it needs to be strengthened in a way to alleviate the existing setbacks11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 20

43. Special support need to be given for investments in crossbred heifers production to alleviate the problem of source of genetic materials

44. Encourage the establishment of dairy processing industries and strengthen the existing ones in order to guarantee remunerative domestic and export markets 11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 21

46. All relevant stakeholders in the sector need to strengthen collaborations and join efforts in order to bring about significant improvements in dairy development_ set plans and strategies together and go into action11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 22

48. Regulations need to be set to monitor the quality standards of milk and milk products so that consumers could feel safety to consume domestic products11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 23

50. Build the capacity of the EMDTI in order to effectively address and lead the development of the sector

51. Encourage and support the establishment of Ethiopian Dairy Board11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 24

52. 11/24/2010 CAPACITY BUILDING INITIATIVE ON DAIRY DEVELOPMENT 25 THANK YOU!!