Financial Support Missing in Thriving Uganda Dairy Sector

UGANDA - Dairy is one of the few sectors witnessing a positive response in recent years to the Uganda government policy to commercialize agriculture.
calendar icon 7 June 2019
clock icon 1 minute read

In the last four years, Uganda has witnessed an exponential growth in its dairy exports, with the estimated volume of dairy exports increasing from US$30m per annum in 2014 to $130m in 2017, making dairy the third highest agricultural export earner after coffee and tea.

Average annual farm gate prices of milk have also improved over the last three years from Ush600 per litre in 2016 to Ush850 per litre in 2018.

This is encouraging farmers to invest at an unprecedented level to increase production, with many recording doubling of milk sales within the last two years alone.

Some of the top farmers in Uganda now have production systems that rival leading dairy farms in Kenya, who for long were seen as the model dairy farmers for Ugandans to benchmark with.

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