MCDA Final Report Malawi - Standards and Trade Development ...

Table A3.12. Compliance with hygiene requirements for milk exports
Decision Criterion Value Details Confidence
Cost
Many of the required activities are underway with donor funding. These
include the development of a policy document and strategic plan for the
High
Up-front investment
US$500,000
dairy sector, training of small holder farmers, implementation of best
practices for milk collection and conservation, adoption of improved
animal feed practices, installation and upgrading of milk storage
facilities, upgrading of milk processing facilities and practices,
international certification, etc. The cost estimate here, therefore,
represents the additional investment required over and above existing
upgrading efforts.
On-going cost 1%
These costs include the maintenance of traceability and due
diligence systems estimated at 1% of the value of exports.
High
Ease of implementation 5
Difficult due to the prevalence of an under-developed milk supply chain.
Medium
Change in absolute value of exports
US$2.0 million
or
alternatively
US$ 19 million
Trade diversification +1
Agricultural/fisheries productivity +1
Domestic public health +1
Environmental protection -1
Trade impacts
Will significantly increase the value of exports due to an increased export
base. An alternative scenario envisages that milk and milk product
exports could rise to US$ 18-19 million annually by 2017
it will bring about trade diversification by facilitating access to markets in
the COMESA Region and the EU
Domestic agri-food impacts
Milk production will increase as a result of better livestock management,
improved prices for milk, etc.
Will enhance local access to better quality milk.
Increase in number of dairy cattle might result in overgrazing
Medium
High
High
Medium
Medium
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