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Reading: FG, Nestlé Forge Partnership to Boost Nigeria’s Dairy Productivity
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EconomyFarming

FG, Nestlé Forge Partnership to Boost Nigeria’s Dairy Productivity

Somon
Last updated: April 9, 2026 2:04 pm
Somon
3 Min Read
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By Simeon Shodimu
In a bold move to strengthen Nigeria’s dairy sector, the Federal Government has partnered with Nestlé Nigeria Plc to establish a Dairy Technical Skills Development Centre in the Federal Capital Territory. The initiative aims to bridge the country’s capacity gap and reduce its heavy dependence on imported dairy products.
The partnership, formalized through a memorandum of understanding, marks a shift towards skills-driven interventions in a sector long hampered by low productivity and fragmented value chains.
Structural Response to Sector Challenges
Idi Mukhtar Maiha, Minister of Livestock Development, described the initiative as a “structural response to inefficiencies” that have hindered domestic output despite Nigeria’s sizeable livestock population.
“Average milk yield remains between one and two litres per cow daily under traditional pastoral systems, far below the global benchmark,” he explained. “This is due to poor husbandry practices, weak feed systems, limited access to water, climate pressures, and low adoption of modern techniques such as artificial insemination and herd health management.”
According to the minister, these challenges have created a persistent supply deficit, pushing Nigeria’s annual dairy import bill to around $1.5 billion.
Hands-On Training for Dairy Professionals
The new centre will serve as a practical training hub, with programs designed to emphasize hands-on experience over theory. Trainees will undergo a 70% practical, 30% classroom-based curriculum aligned with international dairy standards.
The training will cover all aspects of the dairy value chain—from breeding and calf management to feed optimization, milk hygiene, and processing—with the goal of transforming the sector into a commercially viable and globally competitive industry.
Strengthening the Local Dairy Ecosystem
Wassim Elhusseini, Managing Director and CEO of Nestlé Nigeria Plc, said the centre reflects the company’s long-term investment in local sourcing and supply chain development.
Nestlé has invested over N1.8 billion in dairy clusters around key grazing reserves, with significant improvements in both producer income and output. Farmers participating in the program have seen their monthly earnings rise from N70,000 to N250,000 between 2021 and 2024, while cooperatives have aggregated over one million litres of raw milk.
Over 2,000 pastoralists have been trained, more than 36,000 cattle vaccinated, and critical infrastructure such as boreholes, milk collection centres, and cooling systems deployed to reduce post-harvest losses and improve product quality.
Policy Alignment and Economic Impact
Industry stakeholders note that the initiative aligns with the National Dairy Policy under the National Development Plan, which emphasizes private sector participation, local capacity building, and import substitution.
Analysts argue that if effectively implemented, the partnership could unlock significant value across the dairy ecosystem—boosting primary production, enhancing processing, and reducing foreign exchange pressures from imports.
The collaboration also underscores a growing trend of public-private partnerships in agriculture, aimed at de-risking the sector and positioning it as an attractive investment opportunity within Nigeria’s economy.

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