The dairy industry in the Philippines faces challenges in the areas of grazing or cut-and-carry feeding, liquid milk, and Milk powder based sectors. These are all issues which need to be addressed if the country is to sustain its strong growth in the dairy sector.
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Milk powder-based sector
Milk production in the Philippines is a tad on the low end, but the beverage is certainly worthy of a mention. The best part about the product is that it is a regulated industry, and the likes can be easily obtained at a fraction of the price of their counterparts in the west. If you have the knack for locating a reputable distributor of this good stuff, you are well on your way to the dairy paradise that is the Philippines. Despite this, there are always going to be those unenlightened souls who can’t be bothered to get in there and do it themselves. That’s where powdered milk comes in.
It’s not all milk and cheese, and despite the best efforts of local farmers and manufacturers, the dairy industry in the Philippines has not quite hit its stride. This nexus of the nation’s agricultural arteries is in dire need of a major overhaul. A major problem is that the country’s leading dairy companies tend to be clone factories. In order to rectify this, a major re-branding exercise will hopefully be the first step in the right direction.
Liquid milk sector
The Philippines dairy sector is expanding. However, the industry faces a number of challenges. Its main challenge is finding a way to meet the country’s demand for dairy products.
The Philippines has a population of 102 million people and a growing economy. Its average milk yield is 30 liters per day.
Due to poor feeding practices and inadequate dairy infrastructure, the Philippines’ milk production remains low. Despite these constraints, the Philippine government continues to prioritize the development of the dairy sector.
The Philippine Department of Agriculture (DA) emphasizes the development of the dairy sector by increasing local production and supply. In order to do this, the DA is implementing programs and projects. One of the key programs is the Dairy Training and Development Program, which aims to increase milk productivity per cow.
Currently, the Philippines has four types of farms producing raw milk. These are commercial farms, government farms, smallholder producers and cooperatives. Commercial farms produce milk that is sold to commercial processors.
Grazing or cut-and-carry feeding
In the quest to outdo the competition, grazing or cut and carry cow feeding has taken a backseat. It is not surprising then that cattle fattening has emerged as a leading edge. Using the cheap and plentiful farm by-products to wit, a farmer can get his hands dirty year round and reap the rewards in the process. The best part? Cattle fattening is a low-cost, high-reward endeavor for the enlightened farmer. Compared to the conventional breeder, the fattening feisty is more than half the cost. For the average consumer, this means a better life for the family. A bonus is that a fattening operation offers an additional source of income for the family. There are many reasons to consider the practice, among them is the fact that the average fattening operation can produce up to two hundred pounds of fatty beef each month. On a family of four, this is a tidy profit. This yield is a big reason why the fattening industry is a winner in the long run.
Challenges facing the Philippines dairy sector
The dairy sector in the Philippines is not well developed. Most producers work on farms that are less than three hectares. Production is limited by low forage production, water scarcity, and poor mechanization.
In addition, the country has a fast growing population. This means a need for rural development. Dairy can be a valuable rural development niche.
The Philippine dairy industry is fragmented, with 80% of the businesses being operated by smallholders. Despite this, the National Dairy Authority oversees the development of the sector. It has been working to boost the industry through technical assistance and capacity building programs.
Among the major challenges facing the Philippine dairy sector are a lack of milk testing facilities, high input costs, and rising prices. These factors have resulted in the loss of many producers.
Another challenge to the dairy industry is climate change. Dairy farming is an eco-friendly business, as it can recharge natural resources and can be a hedge against climate change.
