Malawian dairy farmers to benefit from launch of first milk powder processing firm in the country

MALAWI – Mach Milk Company, a Malawian dairy processing company is set to soon commence operations in the country’s second largest city, Blantyre.

The newly established factory which is currently under construction, expects to produce 144, 000 kilogrammes of milk powder annually.

The investment will offer direct market access to the over 5,000 dairy local farmers in the region and create employment opportunities for 200 people.

It will also provide Malawians a rare opportunity to contribute towards the development of their country through buying and consuming locally produced products.

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“I am particularly encouraged by the opening of this company because it is in line with the vision of the Tonse Alliance government to create more job opportunities our youths.”

Malawi Minister of Industry – Roy Kachale Banda

Despite Malawi having a promising dairy sector, milk output in the region has been declining over the years due to lack of a structured market for the small holder farmers’ raw milk.

The Minister of Industry Roy Kachale Banda, while visiting the site to appreciate the progress the company is making in preparation for the full operation of the company in August this year, assured the proprietors of the government’s commitment to creating a conducive environment for the thriving of the private sector.

“I am particularly encouraged by the opening of this company because it is in line with the vision of the Tonse Alliance government to create more job opportunities our youths.

“As such, the government is committed to supporting the creation of both large and small and medium enterprises in our collective pursuit for a sustainable social and economic development of our country,” said the minister.

Mach Milk Company Director Madalitso Phiri said they decided to venture into this business to complement efforts by the government to address the challenges dairy farmers are facing to access sustainable markets for their milk.

“Malawi does not have a company that produce milk powder from fresh milk. So, I thought of bringing a solution to these problems,” said Phiri.

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Mach Milk has joined the likes of Mzuzu Dairy, a dairy processing start-up in the country which commenced operations in November 2019, with a focus on streamlining the value chain by providing a farm-to-market pipeline for the smallholder farmers in the region, and availing locally produced dairy product in the market, competing side by side with the imported goods which are currently dominating the dairy aisles of Malawi.

Mzuzu Dairy recently received a long-term loan facility worth US$50,000 from the National Bank of Malawi, a development financial institution in the country.

The funding has been channelled towards procurement of additional machinery which will increase its daily processing capacity by 20,000 litres per day.

Other than boosting the company’s processing capacity, the investment will enable Mzuzu Dairy to expand its range of products to ice-creams, ghee and fresh cream, an addition to its current offerings which include fresh milk, bottled yoghurts and Chambiko – a traditional Malawian drink.

The company is also seeking to install a new yoghurt cup filler, to enable them avail its nutritious and tasty yoghurts in smaller tubs of 150ml, targeting children under the age of 5 years.

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