PROJECT  

DAIRY FARMING DEVELOPMENT PROJECT, VIETNAM

ASSIGNMENT

Developing small scale dairy farming around Ho Chi Min City and establishing a milk collection scheme.

CLIENT

Dutch Lady Vietnam Food and Beverage Company

SERVICES FINANCED BY

Client

STAFF INVOLVED

Dairy farming Specialist (long term) and short term experts in animal husbandry, artificial insemination and veterinary support services

PERIOD OF ASSIGNMENT

1995-2007

BACKGROUND OF PROJECT

On the request of the client, HVA International conducted a feasibility study for the establishment of a dairy development program in the Provinces around Ho Chi Minh City in 1993. Based on the outcome of this study, the Dairy Development Program (DDP) was started in 1995. The aim of the DDP is to increase local milk production and improve milk quality. The Increased local milk production generates additional income for the local farmers and furthermore helps to  reduce the import of milk powder which has to be paid for in foreign currency. The milk collected through the scheme is processed in a dairy plant owned and operated by the client.

SCOPE OF WORK

HVA has set up and managed the Dairy Development and Extension Centers (DDECs). Some 800 smallholder  farmers bring their milk to nearby collection points from where it is collected and delivered to chilling centers. The milk is transported daily from the chilling centers to the milk factory.

A clear payment system with bonuses and penalties related to milk quality has been introduced to stimulate the production of high quality milk.

The DDEC staff has been trained to run the milk collection scheme. In addition they provide artificial inseminations,  veterinary services and advise farmers on general animal husbandry aspects.

In addition to training the project staff, both private and government veterinary workers are encouraged to  participate in the  DDP training programs.  

HVA International has designed an improved stable, optimized for the typical zero-grazing smallholder production system in the region. This stable is used in the small demonstration farm which is part of the project and an increasing number of farmers has decided to construct a copy of this unit.

In co-operation with a local bank the project has introduced  a credit scheme for small-scale dairy farmers. This credit scheme gives them the opportunity to obtain a loan for buying a dairy cow. The total sum to be repaid is recovered by deducting an amount from the milk payments.