value chain development to reduce food losses by katarina eriksson, tetrapak
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siani.se
Collaboration-led Waste Reduction from Consumer to Producer
Mathilda Åberg –Ministry of Rural Affairs
Ulrika Francke – Swedish Board for Agriculture
Katarina Eriksson – Tetra Laval
Maina Gakuru – We effect
Mats Åberg – Sida Moderator : Madeleine Fogde SIANI
www.siani.se #sverigeivarlden
Tetra Laval FfDO October 2014
Value Chain Development
to Reduce Food Losses
CFS41 Side Event
Katarina Eriksson, Tetra Laval Food for Development Office
Tetra Laval FfDO October 2014
Tetra Laval Group
DeLaval Tetra Pak Sidel
> 170 länder
� DeLaval and Tetra Pak together cover the dairy value chain
� Aseptic packaging: � no refrigeration or preservatives needed� long shelf life
Tetra Laval FfDO October 2014
Tetra Laval Food for Development Officewww.tetrapak.com/ffdo
� Knowledge Centre� School Feeding� Dairy Development� Partnerships along the value chain� Focus on developing countries
School Feeding in Tetra Pak packaging (2013):
� > 50 year of experience� 64 million children� 63 countries� Government funded in most cases� Mainly milk programmes
Tetra Laval FfDO October 2014
Parallel value chains in developing countries
Dairy Farms
► Support for training of farmers
► Equipment financing
► Dairy Hubs
Small holder farmers
Consumer School Feeding
► Support for feeding programmes
► Consumer information
Consumers with low incomes
Informal tradeStreet Milk
Distributors Retailers
► Support for market development
Consumer School Feeding
► Support for feeding programmes
► Consumer information
Dairy plantFormal trade
RetailersMiddle & higher
income consumersMilk powder
imports
Tetra Laval FfDO October 2014
Challenges in informal milk value chain
► Food safety
� Adulteration of milk (dirty water, chemicals)
� High bacteria count, spread of diseases
► Losses
� As much as 25-30% of milk is lost before it reaches consumers in SSA
� Not all milk can be sold (evening milk, flush season excess milk)
� Lack of cooling spoils milk before it is consumed or processed
Tetra Laval FfDO October 2014
The Integrated Milk Value Chain
1. Development of Dairy Hubs linking smallholderfarmers to the industry
2. Development of School Milk programmes based on locally produced and processed milk
Tetra Laval FfDO October 2014
DairyHub
Village Milk collection centresSmallholder farmer
Dairy
The Dairy Hub Concept- links smallholder farmers to industrial/formal value chain
►Training
►Feeding
►Services
►Financing
►Mechanization
►Access to market
Tetra Laval FfDO October 2014
Bangladesh Dairy Hub Results after around 3 years
Milk collection/day: from 2 000 – 27,500 liter
Income per month for 1766 farmers:
from USD 100 - 223
Milk/cow/day: from 4,75 - 8,5 liter +80%
+1275%
+120%
Tetra Laval FfDO October 2014
Scaling up: Partnership developingthe milk value chain in Bangladesh
Smallholder farmers are linked to the dairy industry and the formal value chain through Dairy Hubs.
Tetra Laval FfDO October 2014
We Need Partners
► Customers
► Governments
► International Development Agencies
► UN Agencies
► NGOs
► Agriculture and Nutrition Alliances and Networks
Tetra Laval FfDO October 2014
How can the private sector contribute?
► Investments in sustainable value chains – not only through FDI, also by supporting local entrepreneurs
►As a partner in Private Public Development Partnerships
►Participate in sector/project development discussions with Governments and donors – also in early stages of planning
►Participate in the debate
Tetra Laval FfDO October 2014
Katarina M ErikssonSenior Project and Partnership Development ManagerTetra Laval Food for Development Office (Stockholm)Mob: +46 70 679 00 14Katarinam.eriksson@tetralaval.comwww.tetrapak.com/ffdo
THANK YOU FOR YOUR ATTENTION!
Tetra Laval FfDO October 2014
Value Chain Development
to Reduce Food Losses
CFS41 Side Event
Katarina Eriksson, Tetra Laval Food for Development Office
Tetra Laval FfDO October 2014
Tetra Laval Group
DeLaval Tetra Pak Sidel
> 170 länder
� DeLaval and Tetra Pak together cover the dairy value chain
� Aseptic packaging: � no refrigeration or preservatives needed� long shelf life
Tetra Laval FfDO October 2014
Tetra Laval Food for Development Officewww.tetrapak.com/ffdo
� Knowledge Centre� School Feeding� Dairy Development� Partnerships along the value chain� Focus on developing countries
School Feeding in Tetra Pak packaging (2013):
� > 50 year of experience� 64 million children� 63 countries� Government funded in most cases� Mainly milk programmes
Tetra Laval FfDO October 2014
Parallel value chains in developing countries
Dairy Farms
► Support for training of farmers
► Equipment financing
► Dairy Hubs
Small holder farmers
Consumer School Feeding
► Support for feeding programmes
► Consumer information
Consumers with low incomes
Informal tradeStreet Milk
Distributors Retailers
► Support for market development
Consumer School Feeding
► Support for feeding programmes
► Consumer information
Dairy plantFormal trade
RetailersMiddle & higher
income consumersMilk powder
imports
Tetra Laval FfDO October 2014
Challenges in informal milk value chain
► Food safety
� Adulteration of milk (dirty water, chemicals)
� High bacteria count, spread of diseases
► Losses
� As much as 25-30% of milk is lost before it reaches consumers in SSA
� Not all milk can be sold (evening milk, flush season excess milk)
� Lack of cooling spoils milk before it is consumed or processed
Tetra Laval FfDO October 2014
The Integrated Milk Value Chain
1. Development of Dairy Hubs linking smallholderfarmers to the industry
2. Development of School Milk programmes based on locally produced and processed milk
Tetra Laval FfDO October 2014
DairyHub
Village Milk collection centresSmallholder farmer
Dairy
The Dairy Hub Concept- links smallholder farmers to industrial/formal value chain
►Training
►Feeding
►Services
►Financing
►Mechanization
►Access to market
Tetra Laval FfDO October 2014
Bangladesh Dairy Hub Results after around 3 years
Milk collection/day: from 2 000 – 27,500 liter
Income per month for 1766 farmers:
from USD 100 - 223
Milk/cow/day: from 4,75 - 8,5 liter +80%
+1275%
+120%
Tetra Laval FfDO October 2014
Scaling up: Partnership developingthe milk value chain in Bangladesh
Smallholder farmers are linked to the dairy industry and the formal value chain through Dairy Hubs.
Tetra Laval FfDO October 2014
We Need Partners
► Customers
► Governments
► International Development Agencies
► UN Agencies
► NGOs
► Agriculture and Nutrition Alliances and Networks
Tetra Laval FfDO October 2014
How can the private sector contribute?
► Investments in sustainable value chains – not only through FDI, also by supporting local entrepreneurs
►As a partner in Private Public Development Partnerships
►Participate in sector/project development discussions with Governments and donors – also in early stages of planning
►Participate in the debate
Tetra Laval FfDO October 2014
Katarina M ErikssonSenior Project and Partnership Development ManagerTetra Laval Food for Development Office (Stockholm)Mob: +46 70 679 00 14Katarinam.eriksson@tetralaval.comwww.tetrapak.com/ffdo
THANK YOU FOR YOUR ATTENTION!
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