Zim milk output rises 8pc despite slower on-farm processing growth

Tapiwanashe Mangwiro Zimpapers Business Hub

ZIMBABWE’S dairy sector recorded an eight percent increase in milk production in the first quarter of 2026, signalling continued recovery despite slower growth of on-farm processing.

Official figures show milk production rose to 30,14 million litres between January and March, up from 28,03 million litres during the same period last year. Milk processor intake followed the same trajectory, climbing eight percent to 27,81 million litres from 25,74 million litres in 2025.

However, retail milk output, which is milk processed by farmers, grew at a significantly slower pace, increasing by just two percent to 2,32 million litres, compared to 2,29 million litres in the prior year. The slower growth rate is seen as an impediment to rural industrialisation.

Industry officials said the sector remained on course to expand further this year, supported by improved rainfall, growing herd numbers and ongoing support programmes.

Zimbabwe Association of Dairy Farmers national chairperson Edward Warambwa said the industry was targeting a 10 percent increase in output in 2026.

“Milk production is projected to continue its growth trajectory in 2026, targeting a 10 percent year-on-year increase to a total output of 134 million litres,” he said.

The first-quarter performance builds on a strong start to the year. In January alone, milk production rose nine percent to 10,6 million litres, while processor intake increased 10 percent to 9,81 million litres.

Despite the gains at production level, retail milk output declined by nine percent in January to 785,113 litres, highlighting ongoing supply chain and market constraints.

Mr Warambwa attributed the increase in output to a combination of structural and seasonal factors. “The increase in milk production in January can be attributed to a combination of these factors and other factors like genetics improvement and animal health, rather than any single factor driving the increase,” he said.

Zimbabwe’s dairy herd has expanded steadily in recent years, rising from about 60 000 in 2024 to approximately 67 000 in 2025. Industry players said improved breeding programmes and better animal health management had contributed to the increase. “There has been a noticeable rise in the number of dairy cows due to breeding programmes and improved genetics,” Mr Warambwa said.

However, he warned that productivity per animal remains a concern.

“Although our dairy herd is increasing, the actual productivity per cow has not been responding so well — an area that needs attention if we are to ensure long-term viability of the sector.”

Favourable rainfall during the current agricultural season has also improved pasture availability, supporting higher milk yields.

“The current agricultural practices and a good rainfall season have led to better pasture availability as well as forage production, which directly impacts milk yield,” he said.

Despite improved feed availability, high costs continue to weigh on farmers.

“Currently, feed is readily available on the market but very expensive, beyond the reach of many dairy farmers,” Mr Warambwa said.

Smallholder farmers are expected to play a central role in driving further growth, with industry leaders increasingly positioning them as key contributors to national output.

“Smallholder dairy farmers are pivotal to expanding milk production this year,” he said. “They can significantly increase dairy output by enhancing yields through improved extension services and the introduction of high-quality genetics.”

Support programmes such as the Dairy Revitalisation Programme and the iMoved Project are helping smallholders improve herd quality and maintain production standards, including through access to subsidised artificial insemination and vaccines. “To further boost productivity, smallholder farmers need to adopt on-farm feed production and preservation techniques,” Mr Warambwa said.

Infrastructure constraints remain a major challenge, particularly in rural areas where most milk is produced.

“The state of infrastructure, particularly farm roads, is not in good condition, affecting collection of milk as well as delivery of inputs,” he said.

The sector is also grappling with broader structural risks, including limited access to financing, erratic power supply and rising input costs.

“There is a need to address challenges related to rising input costs that do not align with producer prices, rising feed costs, limited access to dairy-specific financing, erratic power supply, deteriorating infrastructure and unpredictable weather patterns,” Mr Warambwa said.

To mitigate these risks, industry players are increasingly adopting sustainable practices, including diversifying feed sources and investing in renewable energy solutions.

“The sector is preparing to manage these risks by promoting sustainable practices, diversifying feed sources and investing in renewable energy solutions to mitigate power supply issues,” he said.

Zimbabwe’s dairy sector has recorded average annual growth of about 10 percent over the past six years. While the latest figures confirm continued expansion, analysts say aligning production, processing and retail supply will be critical to sustaining growth and achieving the 2026 output target.