Fan Milk Plc has revealed its collaboration with Obasanjo Farms Nigeria Limited to enhance dairy production in Nigeria. The partnership aims to drive dairy farming expansion and promote local sourcing initiatives.
The joint venture will operate on a farm in Iseyin, Oyo State. It plans to produce 300 heifers within the first year and double that figure by 2026. Fan Milk will import 100 pregnant heifers from Egypt to kickstart the project.
Under the terms of the 5-year partnership agreement, Fan Milk will purchase the fresh milk produced and provide training and technical capacity building for personnel. The collaboration is expected to generate employment opportunities, particularly in rural areas.
Prof. Abdullahi Mustapha, the Director-General and CEO of the National Biotechnology Development Agency, previously revealed that Nigeria spends $1.5 billion annually on dairy product imports.
Both companies underscored their commitment to engaging with local communities, addressing social concerns, and promoting responsible corporate citizenship. Olusegun Obasanjo, the Chairman of Obasanjo Farms Limited, emphasized that the partnership would empower communities and contribute to Nigeria’s agricultural sector.
Herve Barrere, the General Manager of Danone Sub-Saharan Africa, expressed confidence that the collaboration would enhance local sourcing, empower farmers, and foster agricultural sector growth.
The partnership signifies Fan Milk’s dedication to backward integration following establishing its model dairy farm in Odeda, Ogun State, and training for local dairy farmers at the Odeda Dairy Training Institute in 2022.
Olusegun Ariyo, the Project Lead for Obasanjo Farms Nigeria Limited, highlighted the companies’ efforts toward creating a more efficient and economically sustainable environment for dairy farming in Nigeria.
Kayode Adebiyi, the Managing Director of Fan Milk PLC, emphasized the strategic nature of the partnership, aiming to boost local dairy production, reduce import dependency, and promote sustainable agricultural practices.
