In the rolling hills of Zimbabwe's Chipinge district in Manicaland Province, a remarkable agribusiness venture is transforming the lives of local dairy farmers,and contributing significantly to the country's economic growth.
The Rusitu Dairy Scheme, a community-driven initiative, has become a shining example of how group-based economic activities can drive sustainable development.
At the heart of the scheme are dairy farmers, who have banded together to leverage their collective strength and resources.
Established in 1984, membership in the scheme has grown steadily over the years, with 384 smallholder dairy farmers now participating.
"Being part of the Rusitu Dairy Scheme has been a game-changer for us," says David Hlokomaya, Rusitu Dairy Scheme chairperson and dairy farmer.
"Not only has it provided us with a reliable market for our milk, but it has also enabled us to access critical resources and support that have boosted our productivity and incomes."
Rusitu Dairy is one of many agriculture cooperatives in the country. The scheme, through a bank cattle facility, acquired 28 dairy heifers. In addition, the scheme has also received grants worth more than US$300 000.
The Zimbabwean economy is heavily driven by agriculture, with 67 percent of the country's 16 million people residing in rural areas dependent on one form of farming or another.
Dairy farming plays a critical economic and nutritional role in the lives of many smallholder farmers in Zimbabwe. But the country's small-scale dairy industry lacks quality service providers, as well as access to the necessary farming skills, inputs, technology, and electricity.
The performance of the dairy sub-sector is important for the growth of the national economy, job creation and food security in Zimbabwe. The country is progressively moving towards self-sufficiency in raw milk production.
Since 2009, annual milk production has increased from 37 million litres to 77 million litres in 2020, according to the Ministry
of Lands, Agriculture, Fisheries, Water and Rural Development, while the country produced 79.6 million litres in 2021, rising to 91.6 million litres in 2022, a jump of 14.3 percent.
Zimbabwe's milk production rose 9 percent to 99.8 million litres in 2023 from 91,4 million litres in 2022.
The country is confident of surpassing the national milk target of 150 million litres by 2025. It requires 130 million litres of milk annually.
The country was once a net exporter of milk and dairy products, producing over 260 million litres per year at peak in the early 1990s, according to Zimbabwe's Dairy Sector Strategic Plan(2021-2025).
However, the domestic milk production is still not meeting the local demand of 130 million litres per year, resulting in imports and a net-outflow of foreign currency.
The opportunities for growth of the sector are huge, and include high processing capacity, well-organised farmers and industry players, Government strategies aiming for increased milk-production, and several donor-funded programs supporting growth and advancement of small-scale dairy farming.
But, there are several challenges affecting the growth, viability and the competitiveness of the dairy sector, including low productivity, limited number of dairy animals and weak genetics in the dairy herd, high production, limited access to affordable finance and foreign currency, among others.
Rusitu Dairy Scheme is one initiative fighting the dairy sector challenges. For starters, the group-based approach has allowed the farmers to negotiate better prices for their milk, ensuring they receive a fair return on their labour and investment.
The scheme has set up dairy hubs in Chipinge, to address constraints at production level as well as strengthen milk marketing through cooperatives and self-help groups.
These hubs produced a combined total of 546 000 litres of milk last year, which was fed into the national dairy supply chain.
There are 4,528 registered small-scale dairy farmers in Zimbabwe of which 36 per cent are females. The average herd size is 4-5 dairy animals in the rural areas, and productivity is low with less than five litres of milk per cow per day.
Rusitu Dairy Scheme's forecast is to go beyond one million litres of milk annually. The scheme has increased its dairy cattle to 840, but members are milking 338 cattle at the moment.
"We want to increase our herd by 400 to surpass our dairy production of 1,2 million litres per year reached in the 1990s," Hlokomaya said.
The scheme plans to venture into value addition and start producing cheese, yoghurt and other dairy products.
"By working together, we have been able to leverage on collective bargaining power to secure more favourable deals with milk processors and distributors," explains Shadreck Garwi, the scheme secretary, adding, "Government supported us with inputs to grow silage and this has increased milk production in the past three years."
"Before, dairying was not profitable," he says. "It's no longer business as usual for me," he adds.
The hub concept gives farmers a platform from which they will be able to exude confidence. "It unlocks the potential of the rural economy through job creation, bringing service providers close to the people and making sure the farmers get the best services and good quality inputs," says Hlokomaya.
The financial performance of the Rusitu Dairy Scheme has been equally impressive. In the last fiscal year, the scheme recorded a revenue of US$800 000, a significant increase from the previous year.
This revenue has not only benefited the individual dairy farmers but has also contributed to the broader economic development of the province and the country as a whole.
To help revitalize the livestock sub sector, the government and its partners are providing support through funding farmers, offering climate proofing strategies such as grazing pasture establishment, silage production, training farmers and extension staff, dam construction, dip tank rehabilitation and mechanisation.
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"The Rusitu Dairy Scheme is a shining example of how community-driven agribusiness initiatives can drive economic growth and transform the lives of rural communities," said Misheck Mugadza, the Manicaland Minister of State for Provincial Afffairs and Devolution during a recent site visit to the scheme.
Players in the country's dairy sub sector have robust plans and initiatives to transform Zimbabwe's dairy value chain for the future, in line with the Livestock Growth Plan, which seeks to grow the industry to US$1.9 billion by 2025.
The Livestock Growth Plan is part of the Agriculture, Food Systems Transformation Strategy, which seeks to achieve a US$8.2 billion agriculture economy by 2025. For example, a European Union-funded initiative, Transforming Zimbabwe's
Dairy Value Chain for the Future has since 2019, worked with over 4,800 dairy farmers countrywide, creating more than 14,000 jobs.
These included small -scale, medium and large-scale dairy farmers. A nine per cent surge in national milk production, from 91.4 to 99.8 million litres in 2023, can be attributed to the activities carried out under the project and the government's Silage Inputs Scheme, benefiting small-to-medium-scale dairy farmers.
"The Government efforts should now focus on supporting farmers, investing in modern dairy infrastructure, promoting sustainable farming practices and ensuring an enabling policy environment," said Paidamoyo Chadoka, Zimbabwe Association of Dairy Farmers chief executive officer.- New Ziana
