Camel Milk Value Chain DevelopmentSNV and Partners experience
Agriculture Sector Working Group Meeting,
By Morgan Siloma, Economic Development Advisor
April 13, 2015
What will be covered!
• Introduction to SNV
• Understanding the Camel Milk Value Chain
• Challenges faced by the CMVC
• Tapping the potential of the Chain
• What is happening? Who is doing what?
• Preliminary results
• Future investments
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SNV-Who are we?
• A Dutch based development organization, working
in 33 developing countries worldwide.
Mission
• ‘SNV is dedicated to a society where all people enjoy the
freedom to pursue their own development. We contribute
to this by strengthening the capacity of local actors.’
Goal
• ‘To support local actors to strengthen their performance
in effectively realising poverty reduction and good
governance’
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SNV contd
• Eliminating poverty is also about strengthening peoples
ability to provide solutions to their problems and make
informed choices( empowerment).
• We align our strategy to local intentions to catalyze local
capacities thro:
– Supply of advisory services to Gov, CSO, Private sector
– Building capacities of Local Capacity builders to sustain
the capacity services
– Catalyzing Local mechanisms for support to capacity
development( LCDF)
– Developing and brokering knowledge relevant for
poverty reduction
– Facilitating international level advocacy
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SNV Contd
SNV capacity development services aim at
improving the lives and livelihoods of
disadvantaged men and women thro:
– Economic development aimed at increasing
production, incomes and employment (VCD,
Agric and Livestock)
– Access to basic services aimed at increasing
efficiency, effectiveness, accountability and
responsiveness in the delivery of basic
services( WaSH, EDUC, RE)
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SNV and Dry lands
• SNV has a long history in ASALs (significance in land
mass, over 75%, poverty prevalence, 70% of popn live
below poverty level)
• SNV implemented several projects then (PADEP/SARDEP,
PEDDEP) and now capacity development in Basic
Services and Economic Development
• Livestock as key economic resource- up to 71% of meat
from ASALs ( also 100% of camel population in ASAL)
• ASAL accounts for all camel milk production in Kenya-
SNV VCA study(2008) puts camel milk industry value at
Ksh 8 billion
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The Camel Milk VC
•19 million camels in the World, 15
million in Africa; 4 million in Asia
•Kenya 5th camel herd in the world
- 1.06 million
•Camel milk production in 2007;
340 million litres valued at about
Kshs 8 billion (100Million USD)
•Isiolo - 7th in camel pop in Kenya;
40,460 in 2007; 12% of camel milk
reaches terminal market i.e. 5,000
lts
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unavailability of
appropriate
processing
methods
Lack of market
orientation
among camel
keepers
Challenges for
commercializatio
n
Poor
hygienic
practices
Public
health risks
Inefficient
transport and
storage
Lack of
standards and
quality measures
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Synopsis of Camel milk Supply chain
Camel milk
Producer
Anolei
Women
group
Isiolo and
its
environs
Wholesaler
Retailers
Consumers
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Nairobi
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Camel Milk characteristics
High Camel milk price in the informal milk
market
Superior keeping quality (shelf life) - allows
it to be supplied to distant urban markets.
Medicinal qualities of camel milk- on
diabeties, autism; immunity, stomach
cleansing; infectious diseases e.g. tuberculosis
Unhygienic milk handling practices along the
chain result into spoilage of milk and lower
income.
Traditional consumers who don’t mind the
quality
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Uniqueness/importance of camel milk chain
• Food security
-“second god”
•Medicinal value: Juvenile diabetes; autism
•The chain is highly informal; trading between family; clan
relationships
April 13, 2015
•Trading in raw camel milk
•The chain is dominated by women
Isiolo camel
milk Value
Chain
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Tapping the Camel Milk potential!
• Camel milk hygiene – trainings, investment in
RE cooling systems, transport
• Camel milk health and production – feeds,
vaccines
• Enterprise development – turning groups into
enterprises
• Marketing – tapping into the BOP, demand?,
nutrition value of camel milk, Kenya CMVC
analysis
• Knowledge development – Research and
sharing what is working, inform Policy
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SNV and Camel milk
• SNV started off with VCA of camel milk in 2008
UNIQUE SELLING POINT: Its Medicinal Value!
key issues highlighted in the VC analysis:
– Fluctuating/seasonality in milk productivity
– Low hygiene practices and quality of milk
– Poor business orientation of camel producers
– Limited market development
– Limited infrastructure and almost absence of
policy space.
– Limited collaboration between chain actors
SNV’s Focus has been on enhancing efficiency in the
supply and marketing of the camel milk value chain.
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Camel milk strategies
•Commercialization of the camel milk chain i.e.
organize traders groups into a cooperative; linking
with private sector (processor; financial entities
etc)
•Enterprise development i.e. strengthening Anolei
cooperative manage business entity; enhance
efficiency of the chain e.g. bulking; support to
management of the camel milk bar
What is happening?
There are pilots in various counties e.g.
• KCA –Strategic plan - national, producer group
strengtheing, identifying new markets etc
• Camel milk Value chain - Isiolo
• CARE, KLMC etc in Garrissa
• SNV, VSG-S, PACIDA, FHK in Isiolo, Marsabit
• Research i.e. KARI- innovative transportation,
VSF-Suisse – hygiene along the chain
• Next move - CONSOLIDATION
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Market trends in the chain
• Supply 3,000-6,000lts i.e. about 12-15% of
prod; new - 1,000 to 2000lts coming from
south – Kajiado; creates competition
• Price: Average 60-80 ksh per lt
• Women “engage in trading not production”
3 market segments:
a) Traditional market – Anolei cooperative
b) High-end – Vital camel (500lts)
c) Emerging segment (BOP) – ; Halleeb, UCP
Preliminary Results
• Camel milk recognized through government policy
• Hygiene risk analysis along the chain (KARI, VSF-SWISS)
• Develop training program on hygiene practices, testing of
quality and grading system along supply lines to end
market (with VSF Swiss, FAO)
• Formation of a women camel milk cooperative
• Increased supply of camel milk e.g. 5,000-6,000lts
supplied from Isiolo, milk from Kajiado
• A camel milk bar opened in Isiolo
• New small scale processors – Vital, Haleeb, UCP
• Use of aluminium cans – 50% adoption
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Future investments
• Government – MOLD
• FAO ICDRR – SNV, VSF-Suisse
• EU KRDP – SNV, KLMC, ILRI ????
• EAAP – KCA
• USAID – CARE, CNFA KLMC
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Key lessons and challenges
• Highly socially organized value chain, need time to
find entry points
• There is overwhelming potential for incomesappropriate business models, structural challenges
of pastoral production systems
• Need to collaborate with other partners to add
value (High interest)
• Requires time investments/ consistency/nurturing
to understand VC, build relations and reap
benefits.
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Future vision
• Processing of camel milk
Brookside dairy camel milk partnership
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Thank You!!!
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