February 15, 2013
New Zealand pledges US$5.1 million for Myanmar's model dairy farm
While New Zealand's aid contribution to Myanmar is modest compared to major donors such as the UK and Australia, Ambassador Lynch says his island nation will make their mark by sticking to what they do best—exporting their dairy and agribusiness expertise to assist local farmers improve production.
Dairy farming is New Zealand's largest export earner, with dairy products accounting for a solid 21% of merchandise in 2009, surpassing wool exports. The country's largest company, Fonterra, controls almost one-third of the international dairy trade, and recently appointed a permanent country manager for Myanmar to help the Group explore the potential opportunities amongst Myanmar's untapped market of some 60 million people.
Popular New Zealand dairy brands such as Fonterra's flagship Anchor brand of butter line the shelves of Yangon's supermarkets and as the purchasing power of Myanmar's consumer market increases, New Zealand can expect demand for its high quality calcium-rich dairy products to grow.
Over the coming five years, their flagship project in Myanmar will be the model dairy farm, which aims to engage 20-25 local farmers, each with around 10 dairy cows, in a small-scale cooperative farming basis. New Zealand dairy experts will assist with quality control, feedstock, milk processing and development and general expertise and guidance on the cattle's upkeep.
"A study completed last year identified that dairy was the area where we should concentrate on in Myanmar," Campbell said.
"The feedback from Myanmar side is they want help on improving the quality of the livestock and gaining better understanding on feeding programmes, such as different types of grass and fertilisers and the collection and processing and development of milk products," she said.
The latest Rabobank monthly survey has named New Zealand as the top global milk supplier along with the EU. Rabobank senior analyst Hayley Moynihan says New Zealand is in a strong position, despite a fall in production and that New Zealand's milk production should remain ahead throughout the rest of the dairy season.
