Pilot Market Driven Organic Dairy Production in Indonesia (MDOD)

The Indonesian government views the dairy industry as a driver for improvements of the welfare of the large number of low income and small holder farmers, primarily organised in cooperatives. Indonesia is experiencing an increasing consumer demand for organic dairy products, yet there is currently no local organic dairy production. Landbrug & Fødevarer F.m.b.A./SEGES and key commercial partner, Arla, in partnership with Bina Swadaya, seek to pilot a market driven and sustainable organic dairy production, whilst increasing milk productivity and the economic output of the dairy value chain in Indonesia. The interventions are designed to increase the number of decent jobs all along the dairy value chain, and increase revenues at farm, dairy, sale and distribution levels. Farmers converting to organic milk production, will be linked to commercially viable and “green” dairy value chain, increasing their net income post Covid-19.