Dairy Hub modernizes farming in Punjab

Fakhra Hassan, for Spirit Magazine, Tetra Pak

The Pakistani livestock sector, world’s 3 rd largest milk producer is at a nerve-wrecking

crossroads with some bright prospects ahead, especially for Punjab – the country’s largest
contributor to the national milk production volume. According to the Livestock & Dairy
Development Board (LDDB), Punjab’s share of contribution to milk production is above 72 per
cent. However, the nerve-wrecking facts are that 95 per cent of the milk produced is in the
hands of the loose market which is not accounted for in the GDP that currently stands at a
miniscule 11 per cent. Only 3.5 per cent of the milk is being sold in packaged form. Additionally,
Pakistan has the world’s lowest yield per animal, high animal mortality rate as well as the
lowest number of animals per farm, says the Ministry of Food, Agriculture & Livestock
(MINFAL).

The question is: what is keeping the 3 rd largest milk producer from realizing its full economic
potential? According to a study conducted by Dr Jude Capper Dale Bauman of Cornell
University, and Roger Cady, former researcher for Monsanto, the comparison between modern
dairy farming and traditional dairy systems of the 1940s in the US lead to some thoughtful
answers to the dilemma in Pakistan.

For the comparison, researchers used a deterministic model based on the metabolism and
nutrient requirements of the dairy herd. Both the modern and traditional production systems
were modeled using characteristic management practices, herd population dynamics and
production data from the dairy farms.

The findings suggested that modern dairy practices require considerably fewer resources than
traditional dairy systems of the 1940s with 21 per cent of animals, 23 per cent of fodder, 35 per
cent of the water and only 10 per cent of the land required to produce the same one billion
litres of milk.

In the 1940s, the US dairy population totaled 26 million cows with an annual milk production of
53.6 billion litres. By contrast, researchers say the 2007 US herd population comprised of 9.2
million cows with an annual milk production of 83.2 billion litres.

The research says that modern dairy industry produced 59 per cent more milk using 64 per cent
fewer cows. One of the major reasons for this bright disparity is that in contrast to traditional
dairy farming, modern dairy farming is characterized by use of calculated proportions
formulated to fulfill nutrition requirements, herd health, management programmes and
facilities designed to minimize stress and maximize production.

Pakistan is home to 56 million cows and buffaloes with an annual milk production of 36.6 billion
litres. The country is transitioning from traditional to modern farming practices and the good
news is that some of the major industrial players in modern dairy technology have taken a bold
initiative to reach out to small farm owners across the rural areas.

“There is progress in some parts of the world, and in some parts there isn’t. The basic reasons
are lack of education, lack of new skills and awareness of new technology. If we know these
things, we can do tasks in a much more effective way and faster,” said Azhar Ali Syed, Managing
Director for Tetra Pak Pakistan at the inauguration ceremony of Community Veterinary Hospital
at the Dairy Hub at Kassowal in District Sahiwal, Punjab in late November this year. “We are
also citizens of this country and have a responsibility to share the knowledge acquired from
experience with our fellow country people.”

Tetra Pak has been working in Pakistan for the last 27 years promoting hygienic . The company,
in early 2009, came up with an excellent solution of establishing Dairy Hubs in the rural areas
where these problems could be addressed. It is worthwhile to therefore examine how far the
Dairy Hub has reached in modernizing the rural communities in dairy farming and help Pakistan
meet the milk supply-demand deficit by the year 2015. (For background, see White revolution
for greener businesses, Spirit magazine, Issue # ??, Pg ??)

The Dairy Hub is aimed at serving about 20-25 villages within its 15-20 km radius targeted
towards dairy farmers with a small herd size, i.e., approximately 5-6 animals per head. Engro
Dairy Hub commenced operations in 13 villages at the Hub vicinity. Within only six months of its
arrival in the small district of Sahiwal since July, the Engro Dairy Hub is already transforming
livelihoods of hundreds of farmers and their herds with its modern milking technology,
technical know-how and quality treatment. During this time period, about 2,000 farmers have
been trained in herd management and about 2,200 animals had been vaccinated. Experts from
Tetra Pak and Engro also held four silage-making demonstrations for the farmers and provided
them hands on training to conduct the Mastitis test.

The initial milk collection during the Engro Dairy Hub start up was 450 litres per day which has
now increased by 788 per cent to 4,000 litres per day in just five months – a milestone
achievement in the history of Punjab’s dairy sector.

“Pakistan has one of the best canal systems in the world,” said Saud Pasha, General Manager
Engro Foods at the Kassowal Veterinary Hospital inauguration ceremony. “We only need to
accept and acknowledge the livestock and dairy sector as an industry,“ he stressed. (See box)

Software to monitor milk development

The Dairy Hub comes with an excellent follow up tool in the form of software to measure and
monitor the impact of activities at the farm level. The local server is installed at the Dairy Hub
main office and field supervisors are coordinating with the farmers in collecting data on the
animals. The software is being used to generate reports that would include:

 Milk yield per animal per day

  Conception rate
 Calving interval
 Herd lactation %age
 Ratio of AI to Natural Service
 Abortion/Embryonic Loss %age
 Mortality Rate %age
 Milk production cost per litre
 Breeding and disease history
 Vaccination & De-worming history
 Free water access
 Ratio of AI to Natural Service

According to Engro, so far 12,000 animals have been tagged. The software will enable experts
to learn how each one of them is doing health and nutrition wise.

“Traditional farming is still very popular in Pakistan. There are protocols and procedures to
manage animals. We need to provide them with calculated feed according to their weight. Our
farmers need immense education and grassroots training on these things,” Dr Farrukh Saeed of
Engro Dairy Hub told Spirit Magazine.

Inauguration ceremony at Kassowal

The foundation laying ceremony at Kassowal was well-received by the hardworking farmers of
Kassowal, a rural area known for its clean roadways and Orange farms. Several farmers were
awarded prizes and certificates from Tetra Pak for best practices in modern farming which was
followed by folk performances and horse shows by the locals that added colour to the
inauguration ceremony.
Technology transfer at Engro Dairy Hub Kassowal on 24 November, 2009

 Tetra Pak awards silage machine

 Tetra Pak awards milking machine
 Tetra Pak inaugurates the Dairy Hub Community Hall
 Tetra Pak inaugurates Veterinary Hospital

In the last 5 months farmers have had hands-on training on

 Rural Sociology
 Crop Production & Storage
 Farm Machinery
 Farm Planning
 Cattle Housing
 Calf Rearing
 Ruminant Nutrition
 Genetics & Breeding
 Reproduction & Health
 Artificial Insemination
 Hand & Machine Milking
 Hoof Care
 Farm Business & Personnel Management