A strategic alliance between Fan Milk Plc and Obasanjo Farms Nigeria Limited aims to advance the growth of dairy farming and encourage local sourcing in Nigeria.
The farm, which is located in Iseyin, Oyo State, is anticipated to produce 300 heifers during the project’s first year and to treble that number by the end of December 2026. Fan Milk plans to import 100 pregnant heifers from Egypt.
In accordance with the conditions of the five-year collaboration agreement, Fan Milk would off-take the fresh milk produced and offer staff training and technical capacity enhancement.
Employment possibilities are anticipated as a result of the partnership, especially in rural areas, and both businesses pledge to actively engage with local communities in order to build strong bonds, address social issues, and advance responsible corporate citizenship.
Speaking about the collaboration, former president Olusegun Obasanjo, who also serves as chairman of Obasanjo Farms Limited, expressed enthusiasm, claiming that it will advance efforts to source locally and expand dairy farms.
Obasanjo declared, “We will empower communities, enhance productivity, and contribute to the development of Nigeria’s agricultural sector by investing in training and capacity-building programs for local farmers.”
Herve Barrere, general manager of Danone Sub-Saharan Africa, stated that the cooperation placed a strong emphasis on the value of obtaining raw materials locally, empowering local farmers, enhancing their standard of living, and fostering the expansion of the agricultural industry.
Fan Milk Plc’s dedication to backward integration has reached a major turning point with this agreement, which comes after the establishment of its model dairy farm in Odeda, Ogun state, and the training of local dairy farmers at the Odeda Dairy Training Institute in 2022.
Additionally, it supports a few of the eight points of the current administration’s goal, which include eradicating poverty, fostering economic growth and job creation, and guaranteeing food security.
Speaking as well, Dr. Olusegun Ariyo, the Project Lead for Obasanjo Farms Nigeria Limited, stated, “We are thrilled to be working with Fan Milk Plc (A Danone Company) on this incredible adventure. Without a doubt, this is crucial to realizing our goals for the Nigerian dairy business, and both companies are working to create a more productive and financially stable environment for Nigerian dairy farmers.
In addition, Fan Milk Plc’s managing director, Kayode Adebiyi, commented on the development and stated that the goal of the strategic partnership between Fan Milk Plc and Obasanjo Farms Nigeria Limited is to maximize the strengths of both businesses in order to improve local dairy production, lessen reliance on imports, and promote sustainable agricultural practices.