March 18, 2014

The Philippines' dairy industry was the fastest-growing component of the domestic livestock sector in 2013 as efforts to beef up the stock of dairy animals and pump up milk production are paying off.

According to the National Dairy Authority (NDA), milk output grew by 5.5% to 19.46 million litres in 2013. In terms of value, the dairy industry chalked up a 5.8% growth to PHP592.17 million (US$132 million).

The NDA said milk production had grown by 35% over the last five years from 14.41 million litres in 2009.

Similarly, the population of dairy animals increased by 30% to 44,374 heads in 2013. In 2009, the number was pegged at 34,217.

NDA documents show that the "modest growth" of the dairy industry was attributed to the increase in the number of milk-producing animals, including cows, carabao and goats, especially in NDA-assisted areas.

In such areas, the number of milking animals went up by 15% to 7,861 heads in 2013. This growth, in turn, led to a 7% increase in milk production, which reached 14.42 million litres last year.

The agency also added that commercial farms now participate in government programmes by supplying dairy producers with animals.

Based on the 2010-16 Dairy Road Map, the government wants to expand the dairy herd to 55,000 heads; create 22,000 jobs; and involve 100,000 families in dairying. The road map is aimed at enabling domestic producers to supply 43% of the demand for ready-to-drink milk.

Currently, local producers account for just 21% of the demand, which is pegged at 92.57 million litres.