Identifying Barriers for the Development of the Dairy Supply Chain in Malawi

Fractured supply chains have been identified as a barrier to growth for the agricultural sector. Dairy is a key investment sector for the Government of Malawi, donors such USA, Japan and Belgium have focused part of their development aid on the sector. Despite this, domestic production response is unimpressive. This is not surprising several factors hamper the sector development. This case study presents some of the results of an analysis of the dairy supply chain in Malawi. The methodology used consisted of a combination of surveys, semi-structure interviews and secondary information from farmers to consumers. Highlights of the results are: efficiency heterogeneity in dairy production and lack of cows constraining the pass-on programme; infrastructure constraints at the milk bulking group level; prices paid to farmers are sporadically adjusted in an inflationary context; low milk quality standards due to lack of enforcement; high margins for mass consumption milk in supermarkets..

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 Record created 2017-04-01, last modified 2020-10-28

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