The Social Impact of Dairy Hubs in Bangladesh
PRAN Dairy Limited had a vision to transform Bangladesh from a net milk importer to a milk surplus country, which is why PRAN, with support from De Laval and Tetra Pak, introduced the dairy hub model there in 2010.
A dairy hub is a concentrated and focused service that aims to create a closer link to dairy processors with the goal of improving milk quality and creating loyal milk suppliers. It enables dairy farmers to make livestock farming more profitable. Additionally, it shortens the supply chain and makes milk collection more efficient, while saving time for the farmers.
The first dairy hub, established by PRAN in Bangladesh, has been up and running since September 2010 in the Pabna district, and collects milk from around 7,000 farmers. The fourth and fifth hubs are planned to open soon in the Sirajgonj district.
These dairy hubs not only improve milk quality in the country, but they also create employment opportunities. During its first year of operation, PRAN reported that only 139 farmers of about 5,000 had listed dairy farming as their primary source of income. That number rose to 890 by the end of 2014.
The dairy hubs also strive to empower women in this field, encouraging them to register as lead farmers.
PRAN’s future plan is to expand their hub model gradually. The expectation is to replace the country’s milk powder imports completely with locally produced milk by 2025.