Nigeria’s Kano state will spend $9m to establish 200 milk collection centres across the state over the next five years. The programme will build 40 centres annually from this year onwards and is designed to help reduce the country’s dependence on dairy imports.
The investment is part of a Nigerian federal policy to make the country self-sufficient in the production of milk. According to the Central Bank of Nigeria (CBN), Nigeria spends between $1.2bn and $1.5bn annually importing dairy products, which account for 60% of consumption.
In August 2019, the Central Bank of Nigeria (CBN) issued a new directive to commercial banks to stop providing loan facilities to milk importers in the country, before backing down in February.
Last month, Promasidor Nigeria invested $5m in the 1,000 hectares Ikun Dairy Farm Ekiti State.
In September 2019, Arla Foods signed an MoU with the Kaduna state government to develop dairy farming in the state. The scheme involved the state offering land to farmers while Arla Foods will buy, collect, process and market the milk products.
In September 2018 Royal FrieslandCampina invested $26.9m in an evaporated milk and ready-to-drink milk factory in Oyo State.
