Dairy Farms’ Transformation
Nestlé Pakistan is supporting small and medium sized farmers to improve their efficiencies by improving milk production and minimize losses from dairy farming operations. The ultimate objective of our dairy development activities is to make farms profitable and sustainable in Operations.
High Efficient Cows
As part of Nestlé’s continuous effort, to enhance farms profitability and quality of raw milk, our Agriculture Services has come out with various schemes, including import of superior cows and assisting farmers to install on farm milk chilling facilities. These initiatives paid off through induction of more than 9,000 cows with superior genetic potential contributing to significant growth in direct farm milk with marked improvement in milk quality and traceability.
Capacity Building Of Farmers
With a drive of transforming traditional dairy farmers into professionals, Nestlé has developed a comprehensive dairy farming extension program to implement advanced farming practices at supplier’s dairy farms. Nestlé Pakistan conducted on farm trainings by local experts as well as international trainers in collaboration with International Finance Corporation (IFC). Nestlé together with IFC has jointly published a comprehensive guide on dairy farming. Nestlé Agriculture team also helped their farmers to improve managerial and entrepreneurial skills resulting in better farm operational efficiency. Based on success of modernised pilot farms which served as lighthouses of dairy farming, the model was replicated in other dairy farms which not only enhanced the entrepreneurial skills of dairy farmers but also improved profitability of their farms.
Since its existence, Agriculture Services has played a dynamic role towards mechanization and adaptation of emerging trends in the industry. To support Nestlé’s professional fresh milk suppliers, standard farm shed designs were developed with the consultation of international experts. Acting as a light house for medium sized farms, Agriculture services installed digital heat detection & health management system for cows at Nestlé training farm with the purpose to educate progressive farmers on importance and benefits of technology in farming. Nestlé Agriculture team is also equipped with velocity meters and thermal imaging cameras to improve cow comfort through heat abatement in the shed.
Farm Development Schemes
In 2018, seven commercial banks partnered with us to finance farmers on market competitive interest rates for their farm infrastructure improvement, cow purchase and farm mechanization. Till 2018, PKR 634 million have been disbursed through this facility. At Nestlé, we strive to provide our farmers with effective solutions to their financial needs. Under arrangements with various banks, farmers have availed financing of PKR 634 million out of which PKR 507 million for cow financing and PKR 127 million for farm infrastructure and running finance to build and upgrade their farms. This includes small digital loans availed through mobile wallet.
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