Zimbabwes dairy sector must urgently embrace cost-efficiency measures to unlock growth stay competitImage from Zimbabwes dairy sector must urgently embrace cost-efficiency measures to unlock growth stay competit

Zimbabwe’s dairy sector must urgently embrace cost-efficiency measures to unlock growth, stay competitive, and meet the national annual milk consumption requirement of 765 million litres, the Zimbabwe Dairy Industry Trust (ZDIT) chairman, Themba Mutsvairo, has said He emphasized that the sector’s sustainability hinges largely on addressing high production costs—particularly the soaring price of stock feed, which accounts for between 70% and 80% of overall production costs “The current milk production at primary, farm level is not adequate for our nation This indicates a pressing need to boost domestic output and enhance efficiencies,” Mutsvairo said in an interview withBusiness Times

He urged a strategic shift in how Zimbabwe approaches dairy production and consumption, stating, “Given the crucial role of milk and dairy products in food and nutrition security, we need a paradigm shift in Zimbabwe when we talk of milk consumption caps.”

While the dairy industry recorded a 14.9% increase in milk production last year—reaching 114.7 million litres—this remains far below the required 765 million litres needed annually to meet the nutritional needs of Zimbabwe’s estimated 17 million citizens Mutsvairo called for a move away from merely targeting higher aggregate production to a more people-centric approach “The focus should be on increasing milk consumption per capita, rather than just producing more milk,” he said, pointing to World Health Organization (WHO) guidelines which recommend an average milk consumption of 45 litres per person per year in upper-middle-income countries like Zimbabwe “This will not only improve nutrition but also create a sustainable market for our dairy products—if the milk is affordable to many,” he added

Mutsvairo warned that the sector’s high cost structure could render it uncompetitive in the face of cheaper imported dairy products flooding local markets “We are buying milk at the highest price compared to regional parity However, if we put our act together and deal with the elephant in the room—which is the cost of feed—we will be able to produce milk competitively,” he said He cautioned that with the African Continental Free Trade Area (AfCFTA) implementation on the horizon, Zimbabwe’s dairy industry could be overwhelmed by lower-priced imports unless immediate reforms are made

“One thing we should be asking ourselves as the dairy value chain is: are we ready for regional competition under AfCFTA?” he asked Mutsvairo also called for collective action and collaboration among all stakeholders in the dairy value chain—from farmers to processors and policymakers “We know the challenges, and we must work together as a value chain to find solutions By prioritizing cost-effectiveness, Zimbabwe’s dairy sector can unlock its growth potential and remain competitive in the regional market,” he said

Echoing Mutsvairo’s sentiments, Deputy Minister of Lands, Agriculture, Fisheries and Rural Development, Davis Marapira, acknowledged the growing concerns over ballooning production costs, particularly energy costs and outdated infrastructure Source: Business Times

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Source: Businesstimes

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