The Rwanda Dairy Development Project II (RDDP II) will invest $138 million to transform Rwanda’s dairy sector, benefiting over 175,000 farmers. The project, launched by the Ministry of Agriculture and IFAD, focuses on modernizing dairy production, including new breeding centers, improved milk collection infrastructure, and enhanced financial services. Over six years, RDDP II will expand milk storage and processing facilities and equip collection centers with digital systems, aiming to boost income and job creation for dairy farming households.
The Rwandan dairy sector is set for a transformative boost with the launch of the Rwanda Dairy Development Project II (RDDP II), an ambitious initiative worth $138 million. This major project, a collaboration between Rwanda’s Ministry of Agriculture and the International Fund for Agricultural Development (IFAD), aims to modernize and expand the dairy industry across the country, benefiting over 175,000 smallholder farmers in 27 districts.
Key Objectives and Investments:
Building on the successes of its predecessor, which concluded two months ago, RDDP II is poised to significantly enhance Rwanda’s dairy production, which reached one billion liters in 2023. The project’s primary goals include the establishment of a new dairy breeding center to supply quality breeds, improvements in milk collection and cold chain infrastructure, and the adoption of advanced fodder management practices. Furthermore, RDDP II aims to improve farmers’ access to financial services, enabling them to scale and modernize their operations.
Olivier Kamana, Permanent Secretary at the Ministry of Agriculture, highlighted the project’s emphasis on improving the cold value chain, crucial for maintaining milk quality. “The project will focus on enhancing the cold value chain and providing farmers with high-quality dairy breeds. A new breeding center will support the Isonga breeding hub,” Kamana stated. With a budget of $100 million and an additional $25 million expected by the end of the year, RDDP II plans to expand its reach from the 100,000 farmers supported in the first phase to over 175,000.
Infrastructure Expansion and Impact:
Over the next six years, RDDP II will construct or rehabilitate 164 milk storage and processing facilities and equip 95 milk collection centers with a digitalized transaction management system. The expansion will cover 13 new districts, aiming to boost the dairy sector nationwide.
The project is expected to profoundly impact the livelihoods of dairy farming households. Officials estimate that 80% of participating households will see a 30% increase in income, with 3,400 new jobs created. Additionally, 45% of these households are anticipated to improve their nutritional security. The initiative will support 85,000 households, with a focus on empowering women and youth, targeting 45% and 25% participation, respectively.
Floride Nyirangirababyeyi, a smallholder farmer from Nyarugenge Sector in Bugesera District, expressed optimism about the project, noting the significant benefits it could bring to smallholder farmers.
RDDP II marks a significant advancement in Rwanda’s dairy industry, setting the stage for a more prosperous and sustainable future for the nation’s smallholder farmers.
