A Quality Based Milk Payment System in Uganda

Within the framework of the SNV lead The Inclusive Dairy Enterprise (TIDE) project in Western Uganda, Bles Dairies is engaged, through its consultancy company The Friesian, in the development and implementation of a Quality Based Milk Payment System (QBMPS).  This project aims to bring an incentive to the local farming communities to improve the quality of raw milk. Currently, farmers who are bringing their milk to a milk collection centre from their regional cooperative are only paid on volume. This way important aspects as milk composition (fat and protein) and milk quality (such as added water, freshness, presence of antibiotics) are not reflected in the price of the milk, whereas the processing plants are in need of good quality milk for being able to process it adequately.

After 18 months of training and coaching of farmers and operators at milk collection centres as well as the introduction of milk quality parameters and testing equipment, the pilot phase on QBMPS started a couple of weeks ago. The QBMPS is implemented in cooperation with three local milk-processing plants and 10 farmers cooperatives i.e. milk collection centres with more than 600 farmers engaged.

Based on the test results of the supplied milk during the period of the first half of May, five cooperatives met the set quality criteria. During a large seminar, two cooperatives were awarded and received from the MD of Pearl Dairy a bonus payment of more than 10.6 million Shilling (2.450 Euro). A great success for the work done by Bles Dairies, SNV and of course the concerned farmers and milk collection centres.

On the pictures one can see Bles Dairies’ expert Berend de Leeuw, addressing the audience. Also the MD of Pearl Dairy together with the chairman of the two awarded cooperatives are on the pictures.