The National Dairy Authority (NDA) reported that the dairy sub-sector, which includes carabao/buffalo, dairy cattle and dairy goat, contributed 16.8% to the total Philippine agricultural value.
In 2021 alone, PSA reported the total dairy production of 26.3 thousand MT which is grossed at current prices amounting to Php 1.408 billion, as the dairy sub-sector recorded an uptrend in gross earning with 16.7% growth. The increases in value were 22.1%, 18.5%, and 14.6% for buffalo, cattle, and goat, respectively.
However, the Philippines only produces 1% of its 2.5 billion liter milk demand, as reported by NSA, which leads the country to import 99% of the dairy products. And with the vast opportunity, it is vital that our country starts developing our dairy industry.
And hearing the clamor of the Filipinos as if they are asking the famous dairy campaign “Got Milk?”, at least three French companies are interested in developing the country’s dairy industry, while two more submitted proposals for aviation and infrastructure projects in the Philippines, according to the Department of Trade and Industry.
During the 10th Joint Economic Cooperation (JEC), French Minister Delegate for foreign trade, economic attractiveness and French nationals abroad Olivier Becht presented three letters of intent to Trade Secretary Alfredo Pascual extending French expertise and technical support in developing the Philippines’ dairy industry.
Apart from the three letters of intent, Becht also presented concrete proposals of Aéroports de Paris (ADP) on aviation and the French Treasury and Matière on road bridges in the Philippines.
The Philippines is a big importer of dairy products, particularly milk powder. Majority of the country’s annual dairy requirement is supplied by importers and processors.
In 2020, the Philippine dairy industry marked an increase in local milk production alongside a decrease in imports and exports of milk and dairy products.
A report from Philippine Statistics Authority (PSA) shows local milk production with an uptick of 9.5 percent from 24.38 million liters in 2019 to 26.71 million liters in 2020. This is attributed to the increase of dairy animals in milkline including cattle (64%), buffalo (31%), and goat (5%). The lead milk-producing provinces are Davao, Laguna, Bulacan, Bukidnon and Batangas.
The JEC event where French companies showed interest in improving our dairy industry is a welcome sight. If and when this will push through, France have committed to facilitate links between dairy producers and associations, agricultural and agri-food companies, and importers and distributors.
A developed dairy industry for the Philippines will not only solve our demand for dairy products, but it will provide livelihood opportunities for our local dairy farmers and cooperatives, creating sustainable markets for them.
With additional reports: The Philippine Star, Catherine Talavera