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Denmark-based dairy major Arla Foods is to establish a new production facility in Nigeria.

The 200-hectare farm will be located in the state of Kaduna and is expected to open in 2022. The facility has room for 400 dairy cows, modern milking parlours and technology, grass areas and housing for 25 employees.

Arla said it is building its own farm to support local milk production. The facility will be used, among other things, to train and support up to 1,000 local milk producers.

“It is the next step in the cooperative’s long-term commitment to public-private partnerships supporting the development of the Nigerian dairy sector,” Arla said.

The farm will also function as a commercial milk production facility. Over time, it is expected to produce more than ten tonnes of milk a day, which will be processed at Arla’s dairy in Kaduna and sold to Nigerian consumers.

Simon Stevens, executive vice president and CEO of Arla Foods International, said: “There is a great need for nutritious food and dairy products to meet the growing demand of Nigeria’s rapidly growing population. The establishment of our own milk production is the next important step in our long-term commitment in Nigeria.”

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By GlobalData

In 2019, Arla expanded its commitment to the development of a sustainable dairy sector in Nigeria with a new public-private partnership with the state government of Kaduna. It offers permanent farmland to 1,000 nomadic milk producers. Arla is the commercial partner that buys, collects, processes and sells the local milk.

Jan Toft Nørgaard, Arla’s chairman, said: “Collaboration, knowledge sharing and support for local dairy sectors and farmers in many parts of the world is a vital part of our cooperative culture, and our farm in Nigeria is the next important step along the way.”