Embed Size (px)
Citation preview
National Dairy Authority 2012 Annual Report
Public –Private Partnerships
Dairy Multiplier Farms (DMFs)
I
m i l k f r e s h
Contents
Administrator’s Message 2 Mandate, Vision, Mission 3 Commitments to Legitimizing Authorities 4 Dairy Industry Board 5 Dairy Situationer 6 Industry Features 9 2012 Accomplishments 10 The Dairy Farm Sector 18 Major Programs 19 Herd Build up 19 Massive Cattle Upgrading Program 21 Quarantine and Distribution of Batch13 Animals 22 Dairy Enterprise Development Program 23 Milk Quality Assurance 24 Milk Feeding Program 25 Dairy Multiplier Farms (DMFs) 26 Aljuron Farm 26 3JM Farm 26 Orchard Dairy Farm 27 Toreja Farm 28 Albano Farm 30 Ubay DMF 31
Trainings Conducted 33 Trade Fairs & Exhibitions 37 Features / Stories 38 Dairy Activities 42 Foreign Linkages 43 Financial Matters 44
Message
Amidst the emerging challenges of the local dairy industry, the NDA is focusing its dairy herd build-up efforts
on an innovative and strategic approach by utilizing and maximizing private sector participation through the
Dairy Multiplier Farm (DMF) Program.
The DMF Program enables the NDA to muster its resources and identify measures to combine both the public
and private strategic assets and core competencies to create new growth opportunities in the rapidly developing
local dairy industry.
With the Public-Private Partnership (PPP) approach, the NDA is able to tap substantial incremental improve-
ments and better production methods of the private farmers leading to improved and faster production of dairy
animals. This would result in more animals available at very competitively less expensive prices for distribu-
tion to smallhold dairy farmers.
In 2012, 34 DMFs were established involving the distribution of 930 imported animals. These DMFs are tangi-
ble manifestation of NDA’s relentless drive to fast track the development of the local industry through the ac-
tive involvement of the private sector in the breeding and production of good quality dairy animals. The NDA is
exerting more efforts to establish more DMFs which could be the vital change agents in establishing the future
sustainable source of quality dairy animals.
The NDA is moving forward in improving its technical competence to provide efficient and timely services to
its partners and clients.
The active participation of the Board of Directors in guiding the management and staff contributed significantly
towards the achievement of NDA’s corporate targets and goals.
I would like to give due recognition to the essential contribution of the dairy farmers in the steady and solid
growth of the dairy industry.
As the horizon of Philippine Dairy Industry broadens with emerging possibilities, we extend our invitation to all
dairy stakeholders to share the NDA’s vision of “A vibrant local dairy industry, providing wholesome, afford-
able milk to delighted consumers, building a nation of healthier children and wealthier farmers.”
Grace J. Cenas
Administrator
Mandate, Vision and Mission
Mandate Created by the National Dairy Development Act of 1995 (otherwise known as Republic Act #7884), the National Dairy Authority is mandated to ensure the accelerated de-velopment of the Philippine dairy industry through policy direction and program implementation. It is an agency at-tached to the Department of Agriculture.
Vision A vibrant local dairy industry providing wholesome, afford-able milk to delighted consumers, building a nation of healthier children and wealthier farmers.
Mission Accelerate dairy herd build-up and milk production. Enhance dairy business through the delivery of excellent technical services at farm and enterprise levels. Increase the coverage of milk feeding programs and help reduce malnutrition. Mobilize broad support for local milk.
Commitments to our Legitimizing Authorities
NDA acknowledges various sectors as its legitimizing authorities. Our performance is measured by our delivery of commitments and services to them.
Dairy Farmers
Maximum profitability
Children
Improved nutrition
Filipino Consumers
Good value for money spent on local milk and dairy products
National Government
Good food for all at affordable prices
Local Government Units
Livelihood opportunities in the delivery of basic services
Civil Society
Dairy as a model for asset creation, job generation and in-creased incomes
NDA Personnel
Professional growth and incentives for excellent service
Dairy Industry Board
PROCESO J. ALCALA
Secretary of Agriculture Chairperson
MEMBERS
FORTUNATO T. DE LA PEŇA
Undersecretary, Department of Science and Technology
JERRY E. PACTURAN Undersecretary, Department of Agrarian Reform
ZENAIDA C. MAGLAYA
Undersecretary, Department of Trade and Industry
NICOLAS B. LUTERO III Assistant Secretary, Department of Health
REYNALDO D. LAGUDA
Assistant Secretary & Chief of Staff Department of Education
CESAR C. SEVILLA
Director, Animal and Dairy Sciences Cluster University of the Philippines at Los Baños
TEODORO V. PANALIGAN
Representative, Dairy Cooperative / Federation from Luzon
MINERVA S. YUVIENCO Representative, Dairy Cooperative / Federation from Visayas
ROBERT M. ENERIO
Representative, Dairy Cooperative / Federation from Mindanao
JULIUS M. MIGRASO Representative, Commercial Milk Processors
GRACE J. CENAS
Administrator, Ex-officio Member
Dairy Situationer
PHILIPPINE DAIRY UPDATE January – December 2012
The dairy supply situation for 2012 is characterized by increasing local milk production and imports and decreasing exports of milk and dairy products. The net supply stood at 305.80 million kgs., 10% higher than the previous year’s net supply of 278.17 million kgs. Local production and imports grew by 12 % and around 2%, respectively, while exports declined by 53%. For 2012, imports of milk and dairy products increased by 2% (from 300.68 million kgs. to 305.45 million kgs.). In terms of value, it went down by 10% (from total dairy import bill of US$847.68 million in 2011 to US$763.84 million) indicating a decline in unit import cost of 11% in dollar terms and 13% in pesos (due to appreciation of the peso by 2%). Milk powder constitutes the bulk of imports contributing more than 66% to the total milk and dairy products imports. Skimmed milk powder that comprised 34% of milk imports showed a downtrend of 5% of total milk imports this year. However, whole milk, whey and buttermilk posted an increase of 13%, 7% and 22% respectively. According to Food and Agriculture Organization (FAO), international prices of dairy products began to strengthen in mid-2012, reversing the steady decline that had characterized the previous 12 months. The change in trend resulted from a tightening of supplies in the world market. Availabilities are anticipated to be finely balanced until at least the end of the year, as output in the Northern Hemisphere is now trending seasonally downwards and only limited growth is anticipated during the new produc-tion year in the Southern Hemisphere. World trade in dairy products continues to expand in 2012. Demand remains firm and imports have reached 53.7 million tons of milk equivalents, up by 8.04% from 2011. Asia will continue to be the main market for dairy products, accounting for some 51% of world imports. This year, significant additional demand came from China, Saudi Arabia, Indonesia, Japan, Singapore, the United Arab Emirates, Malaysia, Vietnam and Sri Lanka. Elsewhere in Asia, the Philippines’ supplies from the main exporting countries were finely balanced for the remainder of 2012 and perhaps into the first part of 2013. Of the total dairy product imports, 88% are milk and cream products. Only skimmed milk powder (5%), liquid milk (23%), con-densed milk (16%), butter and butterfat (12%) and curd (40%) recorded decreases in import levels. Evaporated milk recorded the highest increase among imported dairy products at 177% with buttermilk powder, cheese, cream, whole milk powder, whey and other dairy products comprising the remaining dairy imports that likewise recorded an increase in volume. Ready to drink milk is lower by 23% in volume and 28% in value. It accounted for 12% of the total dairy import volume. The in-crease in local production of 12% accompanied by a decrease in imports of liquid milk by 24%, resulted in 35% share of local production to total liquid milk supply (higher than the previous year’s level of 26% share). Hence, local production now contrib-utes more than one glass out of three glasses of liquid milk supply. In terms of sources and value share, New Zealand is still the leading source of imported dairy products, accounting for 44% to total dairy import bill. USA ranked as second supplier, followed by Australia and France with 28%, 11% and 2% shares, respec-tively. The volume of exports reached 18.10 million kilograms, lower by 53% compared to last year’s volume of 38.96 million kilo-grams. More than 88% of the total dairy exports is whole milk powder (recording a decrease of 3 percentage points from 91%
share in 2011). On the other hand, ice cream/mixes, cheese, liquid milk and other dairy products were the big export items during the period. Malaysia was the top market of Philippine dairy products, accounting for 29% and 26% of the entire export volume and value respec-tively. Next was Indonesia that took 16% of the total value. Bangladesh was included and ranked third with other countries of destina-tion that include Thailand and Yemen with shares of 15%, 14% and 4%, respectively. The dairy sector produced 12% more output due to the recorded increase in animal productivity and the increasing number of milking animals particularly in the National Dairy Authority assisted cattle dairy farms and cooperatives. Among the agri-livestock sectors, only the dairy sector registered a double digit increase both in volume and value of production in 2012. Local milk production comes from the dairy animal inventory that had increased by 7% (40,696 head). Of this inventory, dairy cattle registered an increase of 9% (to 21,067 head), followed by a 7% increase in the number of dairy carabaos (to 15,677 head). Goat inventory totaled to 3,952 head. By animal source, 65% of the total volume of milk produced came from dairy cattle, 33% from cara-bao and 2% from goat. Of the total milk output of 18.45 million liters, production from NDA-assisted dairy farms accounted for 73% or a total of 13.50 million liters. Milk production increased from 45.07 MT per day to 50.55 MT or a daily production of 50,500 liters of milk. Gross earnings in the dairy sector recorded a 12.23% increase from P498.93 million in 2011 to P559.96 million this year. The dairy sector accounted for 0.04% and 0.26% of the total agricultural and livestock production value (at current prices) or Php1,416.24 billion and Php214.32 billion, respectively.
Philippine Dairy Industry, CY 2011-2012
Basic Sources: NSO Foreign Trade Statistics 2012, BAS 2012 statistics, NDA-PMSD Philippine Dairy Update 2012
# - includes cattle, carabao and goats Note: LME – liquid milk equivalent
(Livestock population/inventory -as of Dec. 31 MT – metric tons)
* - revised by BAS/NDA; 2012 figures - ** prelim.
NDA-PMSD4/15/13
CY 2011 CY 2012
Livestock population # 9,172,365 9,104,775
Total dairy herd 37,891 40,696
Total dams and does 17,578 19,159
Producers
Number of farm families
Number of primary cooperatives and institutions
26,113
343
31,161
391
In million
kilograms
In Million Liters
or ‘000MT(LME)
In million
kilograms
In Million Liters or
‘000MT(LME)
Net Supply of Milk Products 278.17 1,624.05 305.80 1,842.10
Local milk production 16.45 16.45 18.45 18.45
Net imports of milk products 261.72 1,607.60 287.35 1,823.65
Exports of milk products 38.96 295.81 18.10 131.76
Total imports 300.68 1,903.41 305.45 1,955.41
Volume of skim milk powder imports 109.43 877.63 103.88 833.10
Volume of other imports in powder form 87.25 685.79 98.26 772.63
Volume of UHT imports 47.08 45.80 36.06 34.73
Volume of other dairy imports 56.92 294.19 67.25 314.95
% Share of Supply
Net Supply of Milk Products 100 100 100 100
Local milk production 6 1 6 1
Net imports of milk products 94 99 94 99
Number of dairy processors and importers 94 131
Volume of imports accounted for by top three proces-sors
57% 46%
Volume of imports supplied by top two country sources 62% 63%
Industry Features
•Augmented by importation, we have today a dairy animal inventory of 40,696 and our milk production stands at 18.45 million liters, higher by 33% of our milk output five years ago. •In the livestock sector, our average national dairy production of 16 million liters, is higher by 33% of our milk output five years ago, as well as posted the highest growth of 7%. For year 2012, again, only dairy posted a double digit increase of 12%. •Our local producers captured a growing share of liquid milk market which grew at an annual average of 7% in the last five years compared to a negative 3% annual average growth of imported liquid milk. •Today, on the average, one out of three glasses of liquid milk we drink , is now produced locally. •The current 43 dairy multiplier farms operating nationwide with more than 3,900 dairy animals on the ground would have pro-duced at least a boatload of offsprings next year. •Today, we have about 18 dairy zones with processing plants that can absorb local production; each serving the local communities
with wholesome, affordable local fresh milk and dairy products.
131Importers
TradersProcessors
RP LIQUID MILK SUPPLY2008-2012
13.81 14.4118.4516.4515.86
0
10
20
30
40
50
60
70
Mil
lio
n L
ite
rs
TOTAL 50.44 53.41 64.34 62.25 53.18
LOCAL 13.81 14.41 15.86 16.45 18.45
RTD IMPORTS 36.63 39.00 48.48 45.80 34.73
2008 2009 2010 2011 2012
Our milk production is
now at
18.45 million liters,
higher by 34% of our milk
output 5 years ago.
11.00
13.67
16.28
19.19
21.6723.34
25.4026.48
28.01
30.5231.66
36.99
0
5
10
15
20
25
30
35
40
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
TONS/DAY
24%
19%18%
13%
8%9%
4%
6%
9%
4%
16%
TONS/DAY
29.59 30.14 30.82 31.8133.81 35.04
36.79 37.8439.48
43.4545.07
50.55
0.00
10.00
20.00
30.00
40.00
50.00
60.00
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
6.00%
2% 2%
3%
6%
4%
5%
3%
4%
10%
4%
12%
Industry NDA- Assisted
0.00
500.00
1,000.00
1,500.00
2,000.00
2,500.00
MIL
LIO
N U
S$
Wheat and Meslin 724.37 816.45 547.18 961.62 974.33
Soya bean oil cake/meal 506.58 422.16 402.35 576.62 686.78
Milk and Cream Products 618.43 385.68 592.27 688.79 643.98
Rice 1956.78 1,039.64 1652.52 383.15 424.02
Fertilizer, manufactured 402.00 168.88 270.46 327.13 377.64
2008 2009 2010 2011 2012
2012 Accomplishments
1. PERFORMANCE OF PHILIPPINE DAIRY PRODUCTION Based on the year-end report of the Bureau of Agricultural Statistics (BAS), among the livestock sector, dairy posted a double digit increase of 12.16% in production and 12.23% in value.
Performance of Philippine Agriculture 2012
Source: Bureau of Agricultural Statistics (BAS) as gathered and processed by NDA-PMSD 1/21/13
The increase in dairy production and gross value of output was brought about by the increase in animal productivity and the
number of milking animals particularly in the National Dairy Authority (NDA) assisted dairy farms and cooperatives. Total dairy
production reached more than 18 thousand MT-level and grossed more than P550 million-mark at current prices.
Dairy production of 18.45MLiters (or 51 tons/day) in 2012 was the highest level attained in the last five years.
Livestock
Sector
Volume- ‘000 MT Value – million Pesos
2011 2012 %
Change 2011 2012
%
Change
Carabao 147.52 142.73 -3.25% 10,080.40 10,013.94 -0.66%
Cattle 256.26 253.98 -0.89% 21,461.78 21,547.66 0.40%
Hog 1,940.35 1,973.62 1.71% 172,574.73 174,507.48 1.12%
Goat 78.20 75.66 -3.25% 7,710.52 7,689.33 -0.27%
Dairy 16.45 18.45 12.16% 498.93 559.96 12.23%
Carabao Cattle Hog Goat Dairy
Growth Rate '11-'12 -3.25 -0.89 1.71 -3.25 12.16
-5.00
0.00
5.00
10.00
15.00
Volume of Production(Percent Change)
Carabao Cattle Hog Goat Dairy
Growth Rate '11-'12 -0.66 0.40 1.12 -0.27 12.23
-5.00
0.00
5.00
10.00
15.00
Value of Production(Percent Change)
Production 2008 2009 2010 2011 2012
Annual (MLiters) 13.81 14.41 15.86 16.45 18.45
Daily (Tons) 37.84 39.48 43.45 45.07 50.55
% Change 3% 4% 10% 4% 12%
2. PERFORMANCE OF NDA-ASSISTED DAIRY AREAS
NDA SCORECARD 2012
*This constitutes more than 70% of the national production.
3. IMPLEMENTATION OF THE BUY-BACK PROGRAM The Dairy Herd Build-Up Program of NDA includes the crossbreeding and upgrading program to produce local dairy animals. To support the program, the buy-back scheme was introduced wherein the offspring produced are collected and procured by NDA. To date, some 134 heads worth around Php7 million were already procured under the Buy-Back Program. The balance has been committed for the dairy animal requirement under our partnership with Heifer International-Philippines.
4. ESTABLISHMENT OF THREE (3) NEW DAIRY AREAS IN REGION 8 AND REGION 13 (CARAGA) IN PARTNERSHIP WITH HEIFER INTERNATIONAL-PHILIPPINES Three new dairy areas; Leyte-Ormoc City, Agusan del Norte-Buenavista and Butuan City and Agusan del Sur-Sibagat and Ba-yugan City were established as a result of the partnership with Heifer International-Philippines. Some 800 dairy cows and 41,600 dairy goats are to be infused in the areas and 400 farmers are now organized to form dairy organizations.
5. TURNOVER OF THREE (3) NEW DAIRY ZONES INITIATED BY LAND O’ LAKES PHILIPPINES Three new dairy zones established by the Land O’ Lakes Philippines thru the US Food For Progress Program were turned over to NDA; Davao del Norte Dairy Zone in New Corella, Saranggani Dairy Zone in Malungon and North Cotabato in Makilala, Alamada and President Roxas. These new dairy zones were formed thru the able support of NDA Mindanao Field Office.
6. PROGRESS REPORT ON FOREIGN-FUNDED PROJECTS A. Milk Feed Plus Project (US PL 480 Funded)
Target: 24,800 children Accomplishment: 50,209 children 300 dairy animals 229 dairy animals 1 mpp established Completed 1 mpp upgraded Awaiting final completion
Indicators 2012 2011 % Change
Milk production (Million liters) 13.50* 11.56 17%
Milk production/day (Tons) 36.89* 31.67 17%
Total Number of dairy animals 28,014 26,014 7%
Number of milking animals 6,862 5,861 16%
Terminal Report was already submitted to NAFC. A total of 50,209 children beneficiaries completed 120 milk feeding days. Some 92.47% of the total beneficiaries experienced nutrition and weight improvement.
The milk processing plant building of the Sta. Maria Dairy Farmers Multipurpose Cooperative is 100% complete and opera-tional.
The upgrading of the Baguio milk processing plant is still on-going with minor finishing touches on the building but the proc-essing equipment is fully installed.
Dairy herd doubled to 550 heads from the original 229 imports in 2009 contributing 1.7 million liters to the national produc-tion.
B. Multi-Year Dairy Animal Procurement and Breeding Program to Upscale Heifer Production for the Local Dairy Indus-
try (MYDAP) (US PL480 Funded)
1. Animal Infusion BATCH 1 The 561 head of dairy cattle which arrived May of 2011 now stands at 942 with 420 animals on the milk line that produced 729,978.56 litres of milk. Total calves produced were 438 heads. BATCH 2 - Arrival of new set of animals Some 800 pregnant heifers and 405 breedable heifers of the Holstein x Sahiwal breeds arrived from New Zealand. All of the 800 pregnant animals were subjected to NDA evaluation, 792 heads were accepted of which 775 were delivered to DMF recipients in Luzon, Visayas and Mindanao.
The 405 breedable heifers have been be impregnated and readied for distribution to recipient Dairy Multiplier Farms (DMF).
Total animals procured by the project for 2012 are 1,197 Holstein x Sahiwal from New Zealand.
2. Breeding Materials Procurement First Procurement Some 4,390 semen straws were purchased and delivered last June 2011 of which 3,934 were distributed to dairy farmers. Some 951 animals were bred and upgraded with aforesaid semen. Second Procurement Some 3,990 semen straws were delivered last August 31, 2012 and tested for motility at the Dairy Training Institute- Ani-
mal and Dairy Science Cluster (DTRI-ADSC) at UPLB and at the National Artificial Breeding Center (NABC) in Mindanao. All semen straws passed the motility testing.
7. PROGRESS REPORT ON DAIRY MULTIPLIER FARMS (DMF) To date, there are 43 dairy multiplier farms operating nationwide managing some 3,967 dairy animals and expecting 1,080 animals for harvest distributed below.
8. MILK FEEDING INITIATIVES
A. Dairy Enterprise Development Program -“MILKSHOT” Project. The Project intends to milk feed more than 140,000 children nationwide in collaboration with the social and health thrusts of the various congressional districts. The amount of some P230Million was issued by the DBM to NDA in December 2011. First tranche release amounted to P167Mil-lion to cover more than 113,000 children nationwide..
AREA #DMFs Current Dairy
Animals
Animals for Harvest
NORTH LUZON 6 527 166
SOUTH LUZON 6 642 254
VISAYAS 11 1,793 426
MINDANAO 20 1,005 234
TOTAL 43 3,967 1,080
B. Partnership with the Philippine Charity Sweepstakes Office (PCSO) The Philippine Charity Sweepstakes Office (PCSO) together with the Na-tional Dairy Authority launched the PCSO Milk Feeding Programs at Sitio Alltop, Merville, Paranaque City with 743 target beneficiaries and at Bahay Toro, Quezon City with 650 children beneficiaries.
C. Partnership with the ASSISI Development Foundation
The NDA, and the ASSISI Development Foundation forged a public-private
partnership through a Milk Feeding Program in support of the foundation’s
HAPAG-ASA Integrated Nutrition Program. The Milk Feeding Program will
benefit 54,000 malnourished children in the poorest and remotest provinces
in the country. The program was launched in various sites in Luzon,
Visayas and Mindanao.
9. NATIONAL DAIRY AWARDS FOR OUTSTANDING DAIRY FARMER The National Dairy Authority launched the “National Search for Outstanding
Dairy Farmer and Outstanding Dairy Cooperative” to promote dairy as a
sustainable and profitable business venture and to recognize the efforts,
best practices and overall contribution of individual dairy farmers and dairy
cooperatives. Ms. Gemma Chavez, member of the PalCon Dairy Farmers
Cooperative was chosen as the Most Outstanding Dairy Farmer for her ex-
ceptional dairy farm in Sariaya, Quezon.
10. NEW LINKAGES ESTABLISHED A. NDA Partnership with Central Bicol State University for Agriculture (CBSUA) and the Bicol Federation of Dairy Cooperatives (BFDC)
The NDA, Central Bicol State University for Agriculture (CBSUA) and the Bicol Federation of Dairy Cooperatives (BFDC) signed the tripartite memorandum of agreement entitled “Bicol Dairy Development Program” which aims to sustain and enhance the operation of the Cama-rines Sur Dairy Processing Plant.
It was agreed that the Central Bicol State University for Agriculture shall develop a curriculum in dairy; provide technical assistance to the project and allow the free use of land and build-ing wherein the existing milk processing plant is located and provide additional areas, if nec-essary. The Bicol Federation of Dairy Cooperatives, on the other hand, will handle the day to day operations of the plant and allow the facility to be used for students’ practicum. The Na-tional Dairy Authority will provide the necessary technical assistance, training, logistical sup-port in animal breeding for BFDC, its member cooperatives and the dairy farmers.
B. NDA Partnership with Heifer International - Philippines (HI-P)
The Heifer International - Philippines (HI-P) and the NDA forged an agreement to jointly implement the project entitled: Increasing smallholder farmers’ income and nutrition through the development of the “Farmer-managed Dairy Cooperative Enterprises” and “Establishment of Dairy Zones” in HI-P’s Northern, Central and Southern Philippines project areas. NDA and HI-P will jointly undertake programs and services including animal loan financing and herd build-up, dairy business enhance-ment, dairy quality assurance, technical assistance, and in establishing and managing dairy zones within HI-P’s areas of coverage and where it plans to work with its network of allied NGOs and organ-ized smallholder farmers who wants to go into dairy production.
C. NDA Collaboration with DAR NDA partnership with DAR paved the way for the realization of a dairy project in Mulao, Liloan, Cebu with the provision of P3
million worth of milk collection centers, milking machines and other dairy facilities.
11. INTERNATIONAL COLLABORATION NDA & IDF (International Dairy Federation) jointly held a seminar
“The Role of IDF in the Development of the Philippine Dairy Indus-try” last March 27, 2012 at the Torre Venezia Suites, Quezon City. This was held during the visit of the IDF Director General, Dr. Chris-tian Roberts, where he likewise made a courtesy call on Agriculture Secretary Proceso J. Alcala. The DA and its livestock agencies and food groups (Nestle, Magnolia and Fonterra) including the DepEd, the Dairy Confederation of the Philippines and other private dairy organizations, practitioners, NGO’s and dairy multiplier farm part-ners were present during the event.
12. THE PHILIPPINE-NEW ZEALAND DAIRY PROJECT (PNZDP) A Project design was crafted by New Zealand and a draft results frame-
work was presented with the following components: 1. Animal Infusion – comprising 20-25% of the total budget (approximately NZ$1.2 million).
2. Support to Focus Farms - improved feed and forage systems and improved on-farm recording systems.
3. Improved Modular on-farm recording systems that will include infor-mation such as pedigree.
4. Farmer and service provider training on agribusiness skills, analyti-cal/testing support services, processing particularly on HACCP (Hazard Analysis and Critical Control Point) which will add value in terms of developing food safety programs among processors. The project will also support the industry in terms of getting good ac-cess to soil testing and feed analysis.
5. Funding facility that will allow the project to be flexible, demand-driven and responsive to prevailing needs over the life of
the project. It should be able to give support to sector analysis, long-term breed improvement system, and small-scale
equipment, among others, that will support a specific need and create a positive impact. A set of criteria on what type of
sub-projects can be supported will be drafted by the project management unit and approved by the Governance Group.
13. NEW PROPOSALS IN THE PIPELINE A. MINDANAO COLD CHAIN PROJECT Project Cost Estimate: US$ 1.0 Milllion
Submitted for USDA funding under the Commodity Monetization Project, the Mindanao Cold Chain Project aims to increase dairy farmers’ income through the reduction of post harvest losses and the establishment of a systematized milk collection, processing and marketing activities. It also entails the establishment of six (6) Milk Collection and Processing Facilities in Southern and Northern Mindanao.
B. CROSSBREEDING AND UPGRADING PROJECT
Project Cost Estimate: P773 M The proposal seeks to enhance the existing dairy upgrading program implemented by the National Dairy Authority with the objectives of ensuring a steady supply of dairy animals and increasing the dairy herd and local milk production.
The traditional upgrading program involves the breeding of the native and/or local stocks of cattle through natural breeding and through synchronized artificial insemination with genetically superior dairy sires. The new and distinct feature of the program is the provision of financial incentives to program participants (farmers/owners of native animals, artificial insemination techni-cians and Local government units) that is seen to accelerate the rate of animal turnover.
Program coverage will include provinces in Luzon, Visayas and Mindanao where selected dairy cattle exist based on results of survey and evaluation made.
14. NDA SUPPORT TO 15TH DAIRY CONGRESS The 15th Dairy Congress was held at Hotel Supreme
Convention Plaza, Baguio City on May 16-18, 2012 with
the theme “Gatas Pinoy: Paunlarin, Tangkilikin,
Palaganapin!.” The dairy congress is an annual gather-
ing of various dairy stakeholders to share knowledge and
ideas on dairying and to drum up support and consolidate
efforts to accelerate the development of the local dairy
industry. This year’s focus was on how to firm up the
market for local milk to have a wider reach and increased
patronage. This year’s congress was well attended by
more than 500 people nationwide and international sup-
porters from the USA, Korea and New Zealand.
Less than 10 million head of livestock
More than 40,000 dairy animal inventory
More than 19,100 dams
Philippine Dairy Farm Sector
This program aims to ensure and accelerate the increase in both local dairy stocks and local milk production. Increase in local dairy herd may be realized through the importation of dairy animals and dairy breeding materials, upgrading of existing local animals to dairy breed, production of replacement stocks through dairy breeding programs like artificial insemination programs and multiplier farm establishment, and the pres-ervation of existing stocks. Increasing the number of milking animals will significantly boost overall local milk production in the country.
The following strategies concretize the herd build-up program. Improved Breeding Efficiency Breeding is a primary concern not only in building up the dairy herd but also in producing the right genetic mix that will produce significant volumes and augment the present milk production. Breeding services are regularly provided to maximize the reproduc-tive capacity of dairy animals either through artificial insemination or bull breeding. To keep track of these services and validate efficiency, computer-based monitoring of NDA-assisted herds, regular reporting on the ratio of pregnant animals to total breedable herd and tracking calving intervals are being done.
Major Programs Herd Build-Up Program
5,868
7,818
9,893
11,58012,874
16,77117,933
20,438
23,610 24,211
26,014
28,014
0
5,000
10,000
15,000
20,000
25,000
30,000
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
MAJOR ACCOMPLISHMENTS
NDA-Assisted Total Dairy Sector
Dairy Animal Inventory 28,014 40,696
Animals on the Milkline 6,862 10,748
Milk Production Total (million liters) 13.50 18.45
Milk Production per day (liters) 36,890 50,550
MAJOR ACCOMPLISHMENTS
Total no. of animals bred 6,525 heads
Total no. of pregnant animals 4,896 heads
Total no. of calves dropped from regular breeding 4,899 heads
Herd Infusion This involves distribution of dairy animals acquired through importation and local pro-curement of dairy animals. Two thousand one hundred fifteen (2,115) dairy heifers were imported under the PL480 project entitled “Multi-Year Dairy Animal Procurement and Breeding Program to Upscale Heifer Production for the Local Dairy Industry.” 752 heads were distributed to 25 Dairy Multiplier Farms and the rest were subjected to breeding activities and will be distributed to DMFs in 2013. To date, some 134 heads worth P7 million were procured locally and distributed to farmers.
Upgrading of Local Animals Another strategy used to increase the number of dairy animals is through upgrading. This is done by artificially inseminating local cattle with 100% purebred Holstein-Friesian or Jersey semen. Calves born from upgrading programs are distributed to new farmers inter-ested in dairying. Despite the longer waiting period to earn money from upgrading, other farmers, LGUs and private organizations still prefer such approach to dairying because of the readily available native animals in their localities. At the end of 2012, there were 4,502 heads upgraded (mostly Brahman crosses) and 895 calves were harvested.
Breeding / Multiplier Farm Operations The NDA engages and encourages private-public partnerships in producing local born dairy animals and become major sources of affordable good quality dairy animals for distribution to dairy farmers. For 2012, there were 25 Dairy Multiplier Farms established.
Massive Cattle Upgrading
In an effort to develop a Philippine Breed of Dairy Cattle, a Balik-Scientist Awardee, Dr. Johnny P. Abilay, graciously offered his ser-vices to assist in the implementation of the Project “Massive Cattle Upgrading Towards Development of Genetically Superior Philippine Breeds of Dairy Cattle: the Philstein and the Philsey”. Dr. Abilay shall be utilizing the KESHOEE TM SYSTEM of Su-
perior Dairy Cattle Engineering and Polled Dairy Cattle Engineering. KESHOEE System is anchored on the following values: Knowledge, Experience, Sincerity, Honesty, Organized, Effective and Efficient. The project’s objective is to develop genetically superior Philippine dairy breeds of cattle and help fast-track and revolutionize the de-velopment of a progressive and sustainable national dairy industry. In a nutshell, the project’s objective could be summarized as “Breed the Best with the Very Best and Multiply the Rest!” - which also serves as the motto of the dairy cattle breeding program. Selection criteria of dairy cattle for the breeding program are: environmental adaptability, high milk production, beautiful cows, devel-oped udders and hornless. The project aims to develop a dairy cattle breed that can highly adapt to the Philippine climate. It will likewise serve as a genetic pool of upgrades, from where island born animals may be sourced for distribution to farmers. Dr. Abilay’s stint in the Philippines started in 2006 under the auspices of the DOST Balik Scientist Program (BSP).
This year’s importation of 2,115 dairy animals which are of multi-dairy breed type from New Zealand and Australia, marks the biggest num-ber in NDA’s animal procurement program. The animals arrived in three shipments. The inclusion of dairy bulls in the animal importation will help to sustain semen collection and processing at the National Artificial Breeding Center (NABC) in Dalwangan, Malaybalay City in Bukidnon. The main recipients of the Batch 13 animals are the Dairy Multiplier Farms (DMF) organized by NDA in the different regions. The DMF partners are individuals, coops, institutions, state colleges and universities and local government units (LGUs) which are capable of managing an aver-
age of 25 to 50 dairy animals which eventually can be the source of local dairy stocks in the future.
Blood sampling & tick fever vaccination
Quarantine and Distribution of Batch 13 Animal Importation
In the dairy program, productivity is the main concern and for dairy farmers to be successful, their businesses must be profitable. Encouraging, developing and sus-taining an entrepreneurial spirit among dairy producers is the key to sustainability. This program is done by equipping participants in the industry through installation of production monitoring and evaluation systems, continuous education, technical trainings and infrastructure development. Efforts to gain market access in both com-mercial and social markets were pursued. Milk processing plants, collection centers and processing equipment will be established and installed while existing ones will be upgraded and efficiently maintained to ensure the flow of the dairy products to the market. Dairy entrepreneurs are also encouraged to develop new milk products and to discover for themselves other market niches or farm to market chains, more suitable to their areas and which will bring them profit.
Strategies employed are:
Expanding Share of Local Milk in the Liquid Milk Market Metro Manila and major population centers are key targets for commercial market expansion. On a parallel effort, institutional markets like schools, offices and factories were developed through existing and new distribution networks. With local government partners, the promotion of pockets of self sufficiency in milk were aggressively pursued at household and village levels.
Dairy Zone Installation The minimum requirement for a dairy zone consists of 100 farmers with three hundred dairy animals and located in adjacent vil lages within a 30-kilometer radius of a milk processing plant. The dairy zone should be accessible to an urban market which has the capac-ity to absorb its milk production. The farmers own the animals, the primary cooperative operates the collection center, a federation or private entrepreneur operates a processing plant and undertakes marketing. In this process, the NDA identifies local partners who shall invest and put up the counterpart resources needed to startup a dairy zone.
Training of Dairy Managers and Entrepreneurs For dairy development, intensive training in dairy enterprise management and entrepreneurship is conducted among managers and entrepreneurs.
Cost-efficient Milk Handling and Processing Facilities A major breakthrough has been achieved in recent years allowing local processors to install facilities without resorting to expensive turn-key plants. This was achieved in several ways through the support of the Department of Science and Technology (DOST) in the design and local fabrication of equipment; the diversification of equipment suppliers; and, the development of dairy engineering skills.
DAIRY ENTERPRISE DEVELOPMENT PROGRAM (DEDP)
No. of Milk Processing Plants Existing 30
No. of Milk Collection Centers Existing 15
No. of Dairy Zones established 18
Share of Local Milk in the Liquid Milk Market 35%
No. of farmers trained (as program participants) 819
Extension Personnel trained 90
MAJOR ACCOMPLISHMENTS
At the start of the dairy business, many farmers see themselves simply as producers, not realizing that milk also needs to be of good quality before this can be sold. The milk produce that passes the quality and control tests gets sold, finding its way to the best hotels and restaurants or coffee shops and even beauty salons. It is the certainty that locally produced milk can meet international quality standards, that make even global companies go for local milk. Thus the Milk Quality Assurance Program of the NDA focuses on the installation of quality-based milk test and payment systems in some of the NDA-assisted cooperatives. The farmers are paid based on volume and quality of their milk produce. These milk payment schemes are changing the dairy producers’ outlook and many had benefited from these incentives for them to produce good quality and wholesome milk. Program services include regular testing of raw milk and finished dairy products and conduct of farm and plant audits.
Farm and Plant Audit Pursuant to DA Administrative Order No. 9 (S-2006), the NDA started to undertake farm and plant audit to ensure the observance of appropriate milk safety and quality protocols.
Installation of Quality Control Systems (QCS) The establishment of an in-house laboratory capacity to conduct regular milk tests and generate recommendations to improve the proc-essing facilities and farm practices are important activities in this field. Starting 2004, some milk plants have initiated quality-based milk payment systems.
2012 Milk Quality Monitoring Targets for TA, Butterfat,
Specific Gravity, and MBRT/TPC
Island Office
Target 2012 Accomplishments
# of Tests Jan. February March April May June
Luzon
Visayas 6088 269 466 246 82 84 141
Mindanao 9181 1900 1792 2324 1606 1808 2680
CO Lab 1937 16 1064 256 543
TOTAL 17206 2185 3322 2570 1688 2148 3364
Island Office
Accomplishments
July August Sept. October Nov. December
TOTAL
Jan. to
Dec.
Luzon
Visayas 218 105 54 12
Mindanao 228 2002 1752 1954 1812 1844
CO Lab 338 264 376 291 140
TOTAL 784 2371 2182 2245 1824 1984
MILK QUALITY ASSURANCE
Malnutrition remains a serious problem, affecting an increasing number of Filipino children. NDA’s Milk Feeding Program covers the two main objec-tives of improving the nutritional status of the children beneficiaries and providing additional income to local dairy farmers who are tapped as the main suppliers of milk for the program. In this program, children are identified and selected from areas with high prevalence of malnutrition. Each child-beneficiary receives a pack of 180 ml. of either fresh milk or choco-flavored milk per day, five (5) times a week from Monday to Friday for a duration of 120 feeding days. To monitor the nutritional progress of the beneficiaries, weight and height measurements are reguarly conducted through out the program. Its is a great reward for NDA milk feeding coordinators to hear teachers and parents express their thanks at the end of the program and express great pleasure over the boundless energy and alertness their children have gained in six months. A cost-sharing scheme with national, regional, provincial and municipal government units, socio-civic organizations and other related organizations allows the program to expand its coverage even up to the far-flung areas. Local government units share the cost of the program through an allocation of the local nutrition budget. This cost-sharing scheme can include senators, congressmen, governors, other gov-ernment agencies and socio-civic organizations/NGOs who can contribute as much as 50% of the cost to co-sponsor a feeding program. The Department of Budget and Management (DBM)-approved the Milk Shot Program that covers 119,790 beneficiaries and with the daily cost of P16 to feed one child, for a duration of 120 days.
MILK FEEDING PROGRAM
MAJOR ACCOMPLSHMENTS
Number of Beneficiaries fed from
1995 to December 2012
974,330 children
Number of farmers who supplied milk to the project
>11,000 farmers
Volume of milk used in the program
23.38MLiters
MF Program Cost (979,595 kids x P12.00/kid x 120 days)
P 1.403B
Contribution to Farmer-Producers’ Income
(23.51M liters x P22/liter) P 0.467B
Contribution to Farmer-Processors’ Income
(117,551,400 pouches x P12/pouch) P 1.403B
TOTAL CONTIBUTION TO RURAL INCOME P 1.870B
ALJURON Farms, Gamu, Isabela
JESSNOR Farms in Caypombo, Sta. Maria, Bulacan
Focus on
THE DAIRY MULTIPLIER FARMS (DMFs)
Orchard Valley Dairy Farm in Iloilo City
Mr. Johnny Que’s office in Iloilo is lined with shelves of books on home decorating, interior design and architecture, being an archi-tect by profession. But what is an architect like Mr. Johnny Que doing in an organic farm? The answer is: over and above his love for designing buildings, he loves to eat and to eat the healthiest food available.
Johnny Que may be the “Johnny come lately” farmer of the dairy industry in Iloilo, but already, his Orchard Valley Dairy Farm, lo-cated in Bgy. Tigum, Pavia, Iloilo is already producing organic fresh milk.
Since his family owns the Iloilo Supermarket chain of grocery stores, they are very sensitive towards their customers’ growing needs for organic food. This urged Johnny to transform the fam-ily’s 22 hectare farm into an organic vegetable farm, which has been certified as a truly organic farm by the Negros Island Certifi-cation Services, a recognized third party certification agency. The making of an organic farm and the expense involved often makes people give up. But if one is true to his desire of eating healthy food and serving good produce to his customers, the expense does not really matter. It was not long before customers asked for organic milk.
In the Que dairy farm, they do not use urea as fertilizer. Unsold vegetables are recycled either as food or as fertilizer. Johnny Que’s 39 dairy animals are fed with forages such as napier, para-grass, signal grass, centrosema and stylosanthes. The cows are also fed malunggay and kakawate which are rich in calcium and protein. Cows are not given any antibiotics, but are treated with herbs. The abundance of legumes and other forages in the farm makes the cows yield as much as 16 liters/per cow.
Mastitic animals, are isolated and are massaged with warm com-press and cows are only vaccinated when there is a disease out-break and only when it is absolutely necessary. An NDA veteri-narian’s opinion is that the vaccination of animals helps maintain
the organic nature of the farm and to prevent diseases thus re-quiring no chemical –based medicines or antibiotics.
Perhaps the name of the animals also help as they are not named after movie stars but after saints, as based on a Catholic calendar which indicates which saint was born on a certain date; one might say that each cow has an “intercessor.”
Cows are also fed with fermented fruit juice from bananas, mixed with molasses. Animal grazing is practiced in a pasture area with abundant shady trees, and nonstop flowing water. The animals are confined to their pastures by electric fences. The farm has a mango orchard which will soon be utilized as an additional graz-ing area for the dairy cows, while the cow shed is under construc-tion.
Seven hectares of the farm is planted to forages and the remain-ing area is used for growing vegetables such as lettuce, Chinese kangkong, mint, okra, papaya, eggplants, garden tomatoes, pep-per and malunggay as well as other medicinal herbs.
Milk produce is brought to the Que restaurants’ commissary, proc-essed and bottled and distributed to the various food outlets owned by the family like Waffle Time, Green Mango Restaurant, Days Hotel, and Iloilo Supermarkets , among others. Que’s com-pany also has a Research and Development division which is now looking into the possibility of producing pastillas de leche and various cheeses.
Mr. Que envisions to develop a medium size dairy farm which is easier to manage. A maximum of fifty dairy animals would be manageable. Male calves are castrated and fattened for organic beef.
There may indeed be significant competition from other milk brands in the local market, but Johnny is confident of his market niche that Orchard Valley organic milk and vegetables has al-ready carved for themselves. A niche, so well entrenched that it can withstand and outlast competition, and greatly contributes to the development of the local dairy industry at the same time.
Toreja Farms at Ibaan, Batangas
Milking Time
Assorted leguminous seeds ready for planting in time for the onset of the rainy season.
Chopped napier grasses Healthy month old calves
DMF couple Arnel and Eileen Toreja of Dayapan, Ibaan , Batangas share light moments with Dr. Gabby Lagamayo as they discuss the status of the dairy animals which have recently calved.
Being new in the industry, the Toreja couple believes that persistence, being hands on by actively partici-pating in their dairy farm, and continuous learning are essential elements in this new venture.
They also read a lot of references and research, as well as listen to and practice proper dairy husbandry management. They are also sugar planters, which gives them an advantage as they have an abundant supply of sugar cane tops as forage crops, adding to the napier which they also plant in their pasture.
What was then a plain hobby turned to be a gold mine as the Pure Anglo Nubian, produced not only good quality meat but also good quality milk. With the increased milk volume, the need to process these led to referrals. This is where the NDA came into the picture. Aside from learning Good Milking Practices, he also learned of NDA’s various dairy programs and became interested and applied for the Dairy Multiplier Farm (DMF) Scheme. On July 28, 2012, he became a NDA-DMF Partner and received 30 heads of Holstein-Sahiwal Pregnant Heifers from NDA. To provide the pasture requirement for the dairy animals, he had his 13 hectare land planted to napier and leguminous plants like indigofera and tricanthera. By November 2012, a second batch of 50 heads of Holstein-Sahiwal (HS) and Holstein-Jersey (HJ) dairy cattle was added to his herd. Production picked up with an average milk production of 16 to 21 liters and 11-17 liters for the HS crosses. The Federation of Davao Dairy Farmers Cooperative (FEDDAFC) and the dairy farmers cooperative in Corella, Davao Norte became his main market outlets. He will be using “Queen’s Milk” as his brand name. He got this name from the name of one of his daughters. At present he has a total production of 630 liters a day with some 100 to 120 liters fed to his calves. Prices of his milk range from P75.00 for a liter; P50.00 for 500 ml and P25-35 for 250 ml milk. For now, Toto Albano is contented with his new found hobby which he was able to turn into a mine of liquid white gold.
Drinking Spree paved the way to DairyBiz When guys get together, the common denominator would be “kwentuhan” to the max coupled with a case of beer and “pulutan.” And for pulutan, what would be a better treat than “papaitan and kaldereta” from goat’s meat which is also known as chevon. This is the story of Mr. Isidro “Toto” V. Albano, the general manager of Villanueva Construction who is now deep into dairy in Maragusan, Compos-tela Valley. Hobby of Raising Dairy Goats Three years ago, Mr. Albano bought 15 goats - Upgrades of Anglo Nubian from Gov. Manny Piñol to raise them in his farm in Tagum. His main objec-tive then was to have a delicious appetizer and cook the meat as “kaldereta” or goat stew and kilawin, a staple partner for beer drinkers.
DMF Partner in Compostella Valley -from goats to dairy cows
“Breed the Best with the very Best and Multiply the Rest” These words of Dr. Johnny Abilay, Filipino livestock geneticist, are now on top of the grand arch of the NDA owned Ubay Multi-plier Farm. Two years ago, what was a plain idle land in Calag-gaman, Ubay, Bohol, is now home to the first Dairy Multiplier Farm of the National Dairy Authority, where the best of the very best of local dairy cattle are envisioned to be bred, milked, and multiplied. The farm now has 321 dairy animals with 77 on the milk line. Farm structures now include an entrance gate, guard house, tire bath and a new milk laboratory. Where it used to be so dark, there are now electric posts in strategic areas to light the way to the farm at night. A simple worker’s lounge was also put to allow the farm workers a place to relax. Ubay also has a De Laval milking parlor, that can accommodate 20 animals per milking session. As it lacks water and is prone to El Nino, an earth dam was con-structed, courtesy of the Bureau of Soils and Water Management, and completed on 30 June 2013. This sizeable earth dam could collect run-off water from the UDMF Pastures and which could be used for irrigation, plus with a certain degree of purification, and filtration can also be used for herd drinking. The Ubay DMF attracts visitors from all over Bohol and from other areas, who find an added attraction in a town once known only as the site of the Department of Agriculture owned Ubay Stock Farm. Not only is there a new farm to see, but there is also milk to buy. Further, the idea of actually seeing dairy cows and how they are milked is an entirely new scene for most Boholanos and to the business-minded, a new entrepreneurial opportunity to explore.
The Ubay Dairy Multiplier Farm
Breed the Best with the Very Best and Multiply the Rest
The milk produce from the farm which may go to as high as 460 liters a day is sold to walk–in visitors, the Association of Dairy Farmers of Tubigon, (which processes the milk into their own brand of fresh or flavored milk labeled Lamian) and the Cantubod Association for the Rehabilitation of the Environment Cooperative (CARE), based in Danao, Bohol. The Philippine Carabao Center also buys some milk, while a huge bulk of the milk produce is bought by the Cebu Federation of Dairy Cooperatives.
The UDMF is the showcase for many interested investors who wish to go into the multiplier farm scheme. It focuses on four areas of management which are: Herd Build Up – where it breeds heifers in 16 months and achieves a 12 month calving interval.
The second area is on Milk Production and quality assurance. The UDMF works to produce 10 liters of milk from each milking cow, with 0% mastitis and at least 80% of cows being on the milk line. The third area of focus is animal nutrition where heifers must weigh 300 kgs. in 16 months. A dairy cow’s body condition is at 4 during calving and at 3 during breeding time. The last focal point is marketing. The UDMF sees to it that 100% of marketable offsprings are sold and 90% of marketable milk is sold. The UDMF still has a long way to go. A milk processing plant is in the making and once finished, will be able to accommodate milk from other farms in the province of Bohol. Breeding the best of the best and multiplying the rest can be a very tall order. But faith, hard work and focus can move mountains and even multiplier farms towards progress.
Among others, animal breeding remains to be one of the most important factors contributing to the success of various dairy projects in the country. To achieve this, breeding should be efficient, timely and inexpensive. Artificial insemination (AI) is an inexpensive method in pursuing genetic improvement. To achieve this, it is necessary to have skilled technicians who are available to provide the needed services for animal breeding. At present, there is a growing number of large and small ruminants in the dairy zones and emerging dairy assisted areas, but not enough skilled technicians who could render AI services .This year, NDA trained 12 additional Artificial Insemination (AI) and Preg-nancy Diagnostic Technicians to beef up the technical workforce of the agency. They have undergone a month long training at the Dairy Training and Research Institute (DTRI) at the Animal and Dairy Sciences Cluster (ADSC) at the University of the Philippines at Los Baños, Laguna from April 30 to May 29, 2012. The Basic Course on Artificial Insemination aims to develop the technicians’ knowledge and skills in AI to enable them to enhance and improve performance capability on pregnancy diagnosis, semen evaluation for field use, basic dairy animal management, nutri-tion and health and reinforce knowledge in recent advances in animal breeding and livestock improvement. These newly trained technicians will complement the rest of the Community Dairy Technicians (CDTs) who have been trained in the past.
Focus in ARTIFICIAL INSEMINATION: A cheap alternative for breeding
Trainings Conducted
Artificial Insemination and Pregnancy Diagnosis for Community Development Technicians
Demo / Capability building and team building exercises
Mr. Michael Buttiegig of AUSTREX Southern Region Livestock Manager in Victoria, Australia came to the Philippines and conducted seminars on proper dairy management for the recently imported Holstein-Jersey dairy animals. The seminars were held at the NDA offices in Cebu, Cagayan de Oro and the NDA Central Office in Quezon City. The seminars were attended by dairy farmers and NDA technical personnel. Michael, who is also a dairy farmer, shared his expertise and knowledge to our local dairy farmers. He stressed the importance of proper animal nutrition to maximize the potentials of the Holstein-Jersey breed. He em-phasized the vital role of genetic improvement and how to optimize the use of our hybrids in our breeding program. According to Buttiegig, Jer-
seys are not big cows physically but he assured the participants that these dairy cows are efficient in terms of milk produc-tion and butterfat content. Since they are smaller in size compared to Holsteins, they are cost efficient in terms of their feed requirements and need lesser space. He expounded on the several topics like mastitis and high cell somatic counts, proper milking practices during wet or muddy days and during the dry season. He mentioned the importance of having a strategic control program on proper han-dling of milking machines, pre- and post-calving requirements, feeds and feeding, mineral requirements, weaning and a host of other topics that may seem minute but when compounded will have a tremendous impact on the health and overall milk performance of the dairy cows. Farmers were encouraged to ask questions and to share their common practices in the field as well. Adm. Grace J. Cenas, capped the seminar by thanking the farmers for attending to learn from the experts, and AUSTREX for the support they have extended in conducting the seminars. She stressed that it is important to put these learnings at work on the ground and develop further knowledge through out the process.
Australian Rural Exports (AUSTREX) Conducts 1-day seminar for Holstein-Jersey DMF Recipients
LIST OF TRAININGS CONDUCTED COURSE TITLE VENUE MALE FEMALE GRAND TOTAL
Orientation on PCIC Dairy Cattle Seminar Lubao Pampanga 33 21 54
Dairy Goat Production Management NDA Conference Rm. Q.C. 28 35 63
Basic Milk Processing NDA Conference Rm. Q.C. 27 33 60
Basic Dairy Husbandry Sariaya, Quezon 59 14 73
Basic Dairy Husbandry Sto. Tomas Batangas 0 0 0
DMF Forum Ubay, Bohol 34 8 42
AMDAFA Technical Farmers Forum Negros Oriental 11 14 25
BADAFCO Farmers Forum Negros Oriental 0 0 0
Coop Governance Conference Cagayan De Oro City 9 8 17
Capability Enhancement for Dairy Coops Dumaguete City 31 19 50
Capability Enhancement for Dairy Coops Tagbilaran City 0 0 0
Dairy Processing Training Barotac Viejo, Iloilo 6 9 15
Operations Info System NDA-Cagayan De Oro City 11 10 21
DMF Consultative Meeting Limketkai-Cagayan De Oro City 36 6 42
Cooperative Good Governance Cagayan De Oro City 60 28 88
Dairy Orientation Seminar Cagayan De Oro City 13 4 17
Workshop with NZ/Nimmo Bell, NDA, NMFDC Cagayan De Oro City 15 5 20
NDA-PCIC Orientation on Animal Insurance for DMF Mandaue City 67 21 88
Advances in Animal Health ATI-BSU, LA Trinidad, Benguet 18 5 23
On Site Farm Improvement Practices Goa, Camarines Sur 29 11 40
On Site Farm Improvement Practices Guinaban, Camarines Sur 0 0 0
Basic Artificial Insemination and Pregnancy Diagnosis (AIPD) ASDC UPLB, Los Banos, Laguna 12 0 12
Coop Strengthening Seminar/Workshop
CBSUA Training Center, Pili, Camarines Sur
21 7 29
NDA-PCIC Joint Orientation on various Programs especially on Batches 12-13 Dairy Cattle Importation 30 22 52
Dairy Male Fattening Project (DMCFP) Technical Seminar 16 9 25
Standard Dairy Husbandry Skills Training 17 3 20
Dairy Orientation Seminar and Lakbay Aral (Cebu and Surallah Farmers) Bernales , Jugador and Rosabal Farms 11 1 12
Artificial Insemination and Pregnancy Diagnosis (AIPD) Training Course PCC-Musuan, Maramag 15 0 15
Dairy Project Orientation MAFC, Talakag, Bukidnon 10 12 22
Milk Processing Plant Demo Igpit, Opol, Misamis Oriental 2 3 5
Artificial Inseminator's Forum Koronadal, South Cotabato 3 0 3
Dairy Business Planning/Orientation Surallah, South Cotabato 14 21 35
Dairy Caregiver Course South Cotabato 13 7 20
Dairy Congress 2012 Seminars Hotel Supreme, Baguio City 331 206 537
Standard Dairy Husbandry Skills Training DepED Applied Nutrition Center, Banilad Cebu City 20 7 27
DMF Management Training Course JCR Inn & Restaurant Ubay, Bohol 33 6 39
Farmers Field Day-STBF, Malunggay & Cassava Supplement Ayusan I, Tiaong Quezon 80 20 100
Dairy Production Mgt-Holstein Jersey (AUSTREX) NDA-Central Office 41 19 60
DairyCon Stakeholders Strategic Planning San Mateo Rizal 14 36 50
NEFEDACO Ownership Workshop New PCC , La Granja, La Carlota City 9 3 12
Feeding & Breeding Management La Granja Bgry. Hall La Carlota City 20 4 24
Capability Building PVO Training Center, La Granja , La Carlota City 10 3 13
Homebased Milk Processing & Calf Rearing Seminar Sure Cooperative Surallah, South Cotabato 12 10 22
Dairy Orientaion Seminar for DMF & DCG Farmers New Corella, Davao del Norte 9 2 11
Holstein Jersey Animal Management Seminar Pearlmont Inn, Limketkai Drive , Cagayan De Oro City 38 8 46
Business Planning DA-CAR/ Mt High Livestock Dairy MPC, Baguio City 22 8 30
Farm Improvement Practices Mindoro 10 7 17
Calf Rearing Ibajay , Aklan 22 5 27
Dairy Project Orientation in Southern Leyte Maasin, Southern Leyte 18 8 26
Basic Dairy Husbandry Jala Jala , Rizal 23 1 24
Business Planning Bongabong , Oriental Mindoro 25 9 34
Outreach Program on DMF Production and Management Bayambang, Pangasinan 9 1 10
On Site Milking Machine Operations Mallig, Isabela 15 13 28
El Nino Mitigation Seminar Applied and Nutrition Center, Cebu City 18 8 26
December Year end Assessment and Planning Sotto Grande Resort, Lapu-Lapu City, Cebu 42 18 60
On Site Milking Machine Operation and Maintenance 30 8 38
As of December 2012 1502 750 2252
TRAININGS FOR FARMERS & EXTENSION WORKERS 2012
Trade Fairs and Exhibitions Rep. Charlie O. Cojuangco of Pontevedra, Negros Occiden-tal and his assistant, listen intently as Ching M. Lumanta
discusses the merits of using a portable milking machine during the Makinasaka Expo 2012 and Exhibit held at the World Trade Center.
Sun Fresh Milk products stood out in the trade exhibit at the World Trade Center.
Congress Director, Cong. Mark O. Cojuangco, Dairycon Chair Danilo V. Fausto, Mr. Philipp Schull, UDA Councilor,
Sen. Leticia R. Shahani, Mr. Tony Manikan, Dairycon Vice-Chair; DA Asec. Dave Catbagan and NDA Adm. Grace J. Cenas during the 15th National Dairy Congress held at Hotel Supreme and Convention Center in Baguio City last
May 16-18, 2012.
Ching Lumanta , PDO IV Information Officer, during the DOH ISO 2012 launching at the Department of Health
grounds.
Fruit and Yogurt concoctions by dairy technologist entrepre-neur Erwin Geli from Mindanao.
Mr. Philip Schull of USDA, Sec. Procy Alcala and Dra. Ma. Linda Umali of Forum, Oriental Mindoro, during the Agrilink
2012 Exhibit at the World Trade Center last October 4-6, 2012.
Features / Stories
DA Sec. Alcala visits Cebu Dairy Farmers
Farmers of the Cebu Dairy Zone had a chance to meet with Department of Agriculture Secretary Proceso N. Alcala during
a forum held in the grounds of the Cebu Milk Processing Plant at Pitogo, Consolacion, Cebu, on 14 August 2012. He as-
sured the farmers that he would go to the PAGCOR and ask their help in allowing local milk products to be sold at the
PAGCOR.
The Secretary also said that he would issue a memo for DA Offices and attached agencies to use local dairy products dur-
ing official meetings and functions. The good secretary encouraged the farmers to engage in vermiculture as cow manure
is a very good medium and the worm castings can be sold and provide additional income to the farmers. The Department
of Agriculture can be tapped to train interested farmers on vermiculture.
The Cebu dairy farmers had a chance to air various issues and concerns hoping that the Honorable Secretary would be
able to address them. Among these issues was the request for help in asking the Cooperative Development Authority to
either lower the fees of their CDA Accredited Accountants or to accept the accountants which the coops are able to hire on
a much cheaper rate.
Also present to meet the farmers were NDA Administrator Grace J. Cenas and Consolacion Mayor Teresa Alegado.
Around 141 students-on-air from the provinces of Misamis Oriental and Bukidnon graduated from the 3 months SOA that covered topics on basic dairy husbandry, milk handling and processing, from June 4 to August 17 at DXCC-RMN.
The Northern Mindanao Federation of Dairy Cooperatives (NMFDC), a pioneering dairy coop assisted by NDA has been NDA’s partner in pushing for dairy development in the region. The NMFDC has supplied the chopped corn requirement of the Batch 13 dairy animals on quarantine. They also supplied the milk requirement in the milk feeding program in Ca-gayan de Oro City and the province of Misamis Oriental. At present, the NMFDC has established 2 dairy compact farms maintaining around 73 dairy animals. In 2012, NMFDC earned an income of P5M, with current assets of P29M.
Tie-up with DA-RFU for the School on the Air (SOA) on Good Animal Husbandry Practices
Graduates’ knowledge on dairy husbandry were validated through forage identification & quiz bee Pinoy Henyo style.
Self-Sufficient Dairy Federation supports Dairy Programs
DA-RFU X info Chief Mary Grace B. Sta Elena inter-
views NDA-MFO Info Officer Debbie U. de San Miguel
in one of the SOA session on basic dairy husbandry.
Cows eat jackfruit, increase milk production
“You are what you eat” a phrase commonly associated with people, also applies to
animals including our dairy cows. It is every dairy farmer’s goal to feed their animals
well to make them productive in terms of producing more milk and conceiving
healthier calves. This is what the couple—Rodrigo “Boy” and Magdalena “Inday”
Dumaluan, of Claveria, Misamis Oriental, wished for and, whereupon they acciden-
tally stumbled upon a feedstuff that is responsible for the significant increase in their
milk production volume.
The husband and wife tandem shares the same interest not only in farming but also
in serving their town as elected councilors. Rodrigo is an animal science graduate
major in dairy from the Central Mindanao University while Magdalena is a commerce
graduate from Xavier University. The couple was already into crop production and
they only started dairying in 2006 when they took care of dairy animals from
neighboring farmers for rehabilitation. Magdalena became so interested in dairy
production because she grew up in a dairy farm where her father is one of the pio-
neering dairy farmers in Northern Mindanao. It was quite a challenge for them to
transform undernourished cows into healthy and productive ones. Rodrigo’s techni-
cal background on dairy production and Magdalena’ experience in dairy farming
coupled with their enthusiasm, pushed them to be good dairy caregivers for their
adopted animals until finally the animals’ body conditions gradually improved, push-
ing them to increase the number of their herd in the farm.
Both Boy and Inday are constantly innovating their farm management practices to improve the performance of their stocks and upgrade their
farm. Aside from their earnings from the sales of milk and male animals, raising animals also contribute much to their crop production par-
ticularly on corn farming by using the cow manure as organic fertilizer. The Dumaluan’s application of organic fertilizer from cow manure has
decreased their expenses by 50% as compared to using commercial fertilizers. Their shift to organic farming has called the attention of
other corn growers in the area to also try using organic fertilizer. Boy was chosen to lead in the corn cluster within his area.
The Department of Agriculture RFU-X awarded Boy as an outstanding organic corn farmer in 2007. He has been acknowledged for his
success in corn production and in the use of corn as one of the main ingredients to feed his dairy cattle.
Earning from dairy is easier said than done. It took the Dumaluans five years to finally gain from raising dairy cattle.
The major challenge from the start of their dairy farm was the poor health conditions of their first dairy stocks. But this did not deter the cou-
ple from proving that they can do something to improve the condition of their stocks. One of their first dairy cows is a 19 year old cow, which
came from the Batch 2 importation that arrived in the country in March 1991. Amazingly under the couples’ care, it now produces an aver-
age of 16 liters of milk daily with only 2 functional teats!
Adjacent to their dairy farm are their jackfruit trees mixed with other fruit trees. They noticed that the animals frequently stayed under the
jackfruit trees and started eating the leaves and fruits that they can reach and feed on fallen fruits on the ground. They thought that the ani-
mals may find the fruits delicious and started collecting the fruits, chopped them and fed the whole fruit including its rind or the spiky exterior
of the fruit. Jackfruit became an addition to their usual feeding regimen of chopped corn, roughage, and concentrates. They found out that
milk started to increase with constant supply of jackfruit in the feed stuff. They usu-
ally wait for their jackfruits to mature before they can sell them, but since they ob-
served that the animals feed on them even when the fruits are not yet ripe, plus the
added benefit of increased milk production, they prioritized to supply it as feedstuff
to their herd.
To date the Dumaluans are not sure what the ingredient is in the jackfruit that in-
creases milk production. Others may say that it is because of the protein found in
the seeds of the fruit or even the latex in the sap or the sweetness in the flesh that
contributed to the increase in milk production. Whatever it is, Boy and Inday con-
tinue feeding their animals with jackfruit and continuously produce a good volume
of milk. The Dumaluans have 15 dairy animals with 9 milking cows way past the peak of milk of production and ready to dry, yet it produces
an average of 80 liters of milk or 8.8 liters of milk per cow per day.
The couple enjoys taking care of the dairy animals especially now that their chil-
dren are all grown ups. Their concentration in dairy production is ever more fo-
cused than before when their children and social responsibilities need their atten-
tion. Boy attends to the farm in the early morning while Inday prepares breakfast.
But after the couple eat their first meal for the day, Inday takes her turn at the farm
while Boy delivers their milk to the plant and do other farming stuff. The couple
wishes that someday, one of their children or their grandchildren would be inter-
ested to continue what they enjoy best--- dairy farming.
Boy and Inday daily take turns in managing their farm.
Ms. Dang Manaois of the 5th District of Pangasinan MPC, Inc. and Ms. Rowena Bautista of DAIRYCON, during a breather to promote
SUNFRESH milk.
Filling and sealing of fresh milk products in a dairy assisted cooperative in Northern Mindanao.
Corn is one of the best forage crop feeds for dairy animals especially during its fruit bearing stage.
Debbie De San Miguel, Info Officer for Mindanao is a regular guest of RMN as her way of promoting the various programs of NDA.
DAIRY ACTIVITIES
Foreign Linkages
Mr. Robert L. Hedge, International Sales Manager of heritage seeds from Brisbane , Qld. Australia promoting quality pasture seeds for planting
materials.
NDA and PCC personnel during their Expository tour of ZONTA Dairy Village, dairy cooperatives in Ratchaburi, Thailand.
Dr. Roberts, President of International Dairy Federation calls on Sec. Alcala together with Sally M. Bulatao, DA-STAG, Administrator Grace J. Cenas,
Deputy Adm. Naomi K. Torreta and Judith Platero, NDA Laboratory head.
Roger Dagondon, PDO IV from NDA– Mindanao Field Office and Rene M. De Guzman, Planning Manager during their visit to PGG Wrightson, supplier
of Holstein-Friesian Sahiwal crosses in New Zealand .
Dr. Charito Gimeno of the North Luzon Field Office and Sulpicio C. Bayawa, Jr. Operations Manager, during the dairy animal inspection in Australia.
JICA Volunteers doing blood collection for TB testing in Cebu Field Office assisted areas.
National Dairy Authority
Comparative Balance Sheet CY 2011-2012
ASSETS 2012 2011
Cash Equivalents 541,128,011.97 585,611,348.62
Receivables 386,442,237.59 371,402,729.44
Inventories 4,573,517.04 4,009,690.11
Other Assets 200,405,362.94 57,848,526.25
Investment 46,206,864.55 45,643,962.64
Fixed Assets 56,019,539.13 55,068,233.66
TOTAL ASSETS 1,234,775,533.22 1,119,584,490.72
LIABILITIES
Current Liabilities 31,293,169.76 30,072,153.66
Other Payables/ Trust Liabilities 707,597,903.51 805,540,341.22
Miscellaneous & Deferred Credits 45,387,779.30 45,473,773.14
TOTAL LIABILITIES 784,278,852.57 881,086,268.02
CAPITAL
Capital & Surplus 450,496,680.65 238,498,222.70
TOTAL LIABILITIES, CAPITAL & SURPLUS 1,234,775,533.22 1,119,584,490.72
Comparative Statement of Income and Expenses Year Ended 2011-2012
REVENUES 2012 2011
Subsidies from National Gov't 337,911,877.00 85,022,000.00
Income from Operations 10,894,013.61 8,913,019.04
Other Business Income 8,512,417.49 10,537,047.48
TOTAL 357,318,308.10 104,472,066.52
EXPENSES
Personal Services 66,431,498.33 57,359,439.56
Maintenance & Other Operating Expenses 75,216,202.60 42,921,085.49
TOTAL 141,647,700.93 100,280,525.05
Excess of Revenues Over Expenses/Net Income 215,670,607.17 4,191,541.47
Financial Matters
NDA North Luzon Office Charito R. Gimeno, DVM OIC Regional Manager NDA North Luzon
NDA Bldg., BAI Compound Visayas Avenue, Diliman, Quezon City (044)641-3621 Telefax(044)641-4301 Email:[email protected] NDA South Luzon Office Gabriel L. Lagamayo, DVM OIC Regional Manager NDA South Luzon
NDA Bldg., BAI Compound Visayas Avenue, Diliman, Quezon City Phone: 926-0733 to 36 / 929-6755 Email: [email protected]
NDA Visayas Field Office Editha G. Bajenting OIC Regional Manager NDA Visayas Office
Dept. of Agriculture Mandaue Experimental Station Compound Maguikay, Mandaue City Phone: (032)344-0830 / (032)345-3612 Email: [email protected] NDA Mindanao Field Office Marilyn B. Mabale Regional Manager I NDA Mindanao
2/F Nuñez Building cor. Inabanga Street, Zone 1, Bulua Cagayan de Oro City Phone: (088) 855-1166 Telefax: (088) 233-3998 Email: [email protected]
GRACE J. CENAS Administrator
Department of Agriculture NATIONAL DAIRY AUTHORITY
Central Office NDA Building, BAI Compound
Visayas Avenue, Diliman, Quezon City Phone: 926-0733 to 36 / 929-6755
Telefax: 926-8847 Email: [email protected]
Website: http://www.nda.da.gov.ph
