Evaluation of the USAID-Kosovo SME and Agriculture - Economic ...

Development Associates, Inc.COMPETITIVE MARKETING OF MILK PRODUCTION PROJECT - CAREBACKGROUNDThe dairy industry in Kosovo was nearly wiped out during the war. At least half of the cowswere killed and many processing facilities were destroyed and looted. The former state-ownedenterprises that produced dairy products remain idle and the process of commercialization isstalled in the adjudication of prior claims. Most of the milk products consumed in Kosovo arenow imported from neighboring countries with viable and subsidized dairy industries. Theseimported products represent an import substitution market target for Kosovo farmers and foodprocessors and are indeed the rationale for this project.USAID approved the Competitive Marketing of Milk Production Project in 2002. CARE is asub-grantee under the Save-the-Children umbrella grant for the Small Farm Support (SFS)initiative to increase agricultural production, rural employment and income. The CARE projectis: “LINK’s Competitive Marketing of Milk Production Enabling Trade and Enterprise Success”(LINK COMMPETES). The CARE team has been working directly with farmers in Kosovosince 1999 and possesses extensive experience in agriculture and business development.CARE’s goal in the dairy sub-sector is to increase productivity and incomes of small dairyproducers through appropriate production technology, support to milk collection centers anddairy processors. The project began implementation in January 2003.OBJECTIVESIncrease commercial milk production, income and employment along the dairyproduction chain;Increase good quality meat production, processing and marketing;Establish training and advisory services with local technicians to prepare selected dairyfarmers on milk production hygiene, animal health and nutrition and general herdmanagement.Introduce a silage program with maize to increase the supply and reduce costs of yeararoundhigh quality feed.Establish milk collection centers with progressive producers.Assist establishment of producer and processor associations.Establish demonstration plots for livestock feed.Train in simple record keeping system, business plan preparation and loan applications.Train in the preparation and use of forward supply contracts through associations and/orprivate processors.Evaluation of the USAID/Kosovo SME 99 May 2004and Agriculture/Agribusiness ProgramsVolume I