Ethiopia Dairy and Livestock Sector Development

Ethiopia’s dairy sector has significant growth potential but faces structural challenges, including low productivity, fragmented value chains and limited formal market participation. Prime Consulting’s work has focused on identifying practical, market driven pathways to strengthen sector performance while improving incomes for smallholder producers.

Prime Consulting investigated a range of intervention options proposed under a five year dairy development programme known as the Ethiopia Dairy Development Activity. The programme aimed to support the growth of a commercially viable national dairy sector while strengthening participation by smallholder farmers.

Scoping work was undertaken on behalf of the New Zealand Ministry of Foreign Affairs and Trade and included comprehensive market research across the Ethiopian dairy industry. This work was delivered in close collaboration with the Ministry of Livestock and Fisheries and potential programme partners, including the Bill and Melinda Gates Foundation.

Interventions assessed through the Ethiopia Dairy Development Activity included industry strategy development, establishment of a national dairy board, technical and vocational education and training, market development, milk quality improvement, institutional capacity building for extension services, feed and fodder production and conservation practices.

Scoping activities were delivered in partnership with local subsidiaries of NIRAS and SNV Netherlands Development Organisation, ensuring strong alignment with local systems and development priorities.

As part of the programme design process, Prime Consulting organised and delivered a dairy industry study tour to New Zealand for Ethiopian sector representatives. The tour focused on commercial dairy systems, cooperative structures, extension models and market integration, supporting practical learning and relationship building.

Prime Consulting has also undertaken livestock investment feasibility work in Ethiopia, assessing commercial potential, market access and implementation considerations. This included completing an investment feasibility study for livestock sector investments on behalf of a private client, providing clear, evidence based insight to support informed investment decisions.