Following a request from the Minister for Agriculture, Irrigation and Livestock (MAIL) the World Bank, in partnership with bilateral donors (DfID, CIDA and Japan) agreed to finance the Emergency Horticulture and Livestock Project (HLP). The project aims to enhance productivity and stimulate livestock production marketable output at national and regional levels in order to contribute to poverty reduction, nutrition improvement and import substitution.
The specific objectives of the Dairy Component are to:
- enhance and improve livelihoods of the livestock farmers, over 70 per cent of the country's population, progressively increasing their household incomes and quality of life;
- help the national economy to progressively reduce the burden of ever increasing imports of milk solids for consumption; and
- satisfy the government's obligation to provide the urban consumer unrestricted access to wholesome and healthy fresh milk, processed and packaged, at affordable prices, at hundreds of vending outlets in residential areas throughout the city of Kabul.
An initial survey was conducted to form the basis for the selection of the villages and districts.
The survey covered some 300 villages and provided basic indicators for dairy cow population and the quantities and distribution patterns of marketable milk, asses the available farm support services. Baseline Survey conducted on:
- Actual demand and trends for specific dairy products,
- Identification of market outlets (existing shops and supermarkets),
- Quantities to be delivered and sold at these market outlets,
- Conditions for distribution (e.g. retail margins, risk assessment),
- Competition with existing supplies,
- Promotion and identification of consumer groups,
- Pricing and commercial aspects of production and marketing,
- Formulation of most attractive product mix in relation to conditions for milk supply, processing and distribution,
- Formulation of distribution and marketing system,
- Technical and financial recommendation for implementation.
The results of the survey provided information to formulate a complete plan for marketing and distribution, as well as the most appropriate phasing for the production of dairy products and investments in processing facilities.
- Baseline information collected on animal numbers, production levels, cow management practices and available services in the village
- Define the best product mix, distribution system and the quantities to be sold of the selected dairy products
- Determine best districts for dairy development in provinces Logar, Parwan, Wardak, Kapisa, Kabul, Laghman, Nangarhar and Ghazni
- Support to the existing dairy plants in Kabul, Mazar-i-Sharif, Kunduz and Baghlan determined and prioritized
- Most appropriate milk collection system was designed.
By the end of this project, in terms of additional production generated through the project activities, it is expected that:
- Providing a market outlet for milk to 15.000-20,000 households will result in a growing supply of locally produced (fresh) dairy products, which will reduce imports and increase the standards of living in the target areas.
- A basis established for dairy development in various provinces, districts and villages, which will make it easier to intensify the services and facilitate the growth of the dairy industry (e.g. more milk per cow, per farmer, and per village).