The manufacturer of dairy products, Capital Dairy Industries Limited (CDIL), has promised small loans to dairy farmers and set milk prices at K210 per litre to motivate farmers to increase production.
During a contract signing ceremony with Milk Bulking Groups (MBDGs), CDIL Managing Director Umar Aboo said that the demand for milk products on both the domestic and international markets has increased enormously, and therefore they need to double their efforts.
He said CDIL collects only about 300 thousand litres of milk per month from its machine capacity of one million litres of milk per month.
During the ceremony which took place at its new state of the art factory situated at Chiwembe Industrial Park, Aboo, therefore, promised to offer the company’s dairy farmers loans for them to improve their dairy farming.
He further disclosed that currently, CDIL is the first milk Processor on the market to raise the price for local farmers to the current 210 kwacha per litre.
“As one way of rewarding the unwavering loyalty of our dairy farmers, we have ensured that we maintain the highest prices for our dairy farmers on the market.
“Soon we shall a start disbursing some small loans to our local farmers for them to improve their dairy farming and grow their capacity.
“Our objective is to see to it that dairy farmers in the country improve their livelihoods as they do business with us,” said Aboo.
On his part, Fides Masauli, a milk farmer who represented Orama bulking group from bvumbwe in Thyolo district, commended Capital Dairy Industries for its interest in improving dairy farming saying the move will help local farmers in the country to increase their capacity.
Speaking during a separate interview, Philimon Madukani who is the vice-chairperson for Farmers Milk Processors Association (FAMPA) said dairy farming requires many inputs hence dairy farmers ought to be offered better prices.
He then commended capital dairy industries for paying milk farmers on time and also offering them other technical support.
Capital Dairy industries is a subsidiary of Pacific group of companies and has been operating in Lilongwe since 2018. The company started operations in Blantyre in an expansion drive.