Peruvian government invests $19m in dairy technology

By Jim Cornall contact

- Last updated on GMT

Peruvian Minister of Agriculture and Irrigation Fabiola Muñoz attended an event to celebrate World Milk Day; a breakfast with 200 children from various hostels in Huamanga.
Peruvian Minister of Agriculture and Irrigation Fabiola Muñoz attended an event to celebrate World Milk Day; a breakfast with 200 children from various hostels in Huamanga.

Related tags: Peru, Dairy

MINAGRI, the Peruvian Ministry of Agriculture and Irrigation, through its AGROIDEAS program (Compensation Program for Competitiveness), has co-financed business plans related to the adoption of technology for 6,167 small and medium dairy farms.

The S64.2m ($19.2m) investment prioritized the execution of 200 technology plans in 17 regions, with Puno being the region with the largest number of plans (59) with S20.7m ($6.2m) of investment, followed by Cajamarca and Junín regions.

The funding consists of the co-financing of pasteurization plants, construction of collection centers, acquisition of milking machines, kettles, trucks and tractors, which allows farmers to not only increase their production and productivity, but also to generate added value through the creation of dairy products such as cheese and yogurt.

One dairy cooperative, Cooperativa Agraria de Trabajadores 9 de Octubre in Caylloma - Arequipa, has produced artisanal Andean organic cheese that is used in the preparation of typical Arequipa dishes.

The cooperative agreed to a business plan for the improvement of production and commercialization of organic dairy products that included technical assistance and technological adoption for S143,239 ($43,000) for equipment for a dairy processing plant, which has allowed the farmers to move from artisanal production to a greater capacity.

Boost to milk consumption

The move comes as Peruvian Minister of Agriculture and Irrigation Fabiola Muñoz is pushing Peruvians to increase milk consumption to 96 liters per capita by 2021.

In Peru per capita milk consumption is currently 87 liters per person per year.

At an event to celebrate World Milk Day, the minister participated in a breakfast with 200 children from various hostels in Huamanga.

National production of fresh milk in 2018 was 2,066,125 tons, an increase in production of 2.6% compared to 2017.

The most productive dairy regions are Cajamarca (17.76%), Arequipa (17.61%) and Lima (17.52%); However, the regions with the highest annual rates of increase, in the last 10 years, are Ica (11.65%), Cusco (10.54%) and Junín (10.46%).

Related topics: Markets, Emerging Markets, Fresh Milk

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