“Milk producers” are milk farmers. “Milk processors” buy milk from producers and process it for the retail market. Some role players, of course, are both, and the reader will find many of these listed under heading 5 (see the “Dairies and milk processors” subheading). In order to survive, many farmers have extended their activities beyond the farmgate and are involved in both the “field” and “fork” parts of the value chain.
This chapter covers the processing side, the dairy secondary industry: milk powder, flavoured milk, cheese, cottage cheese, feta cheese, maas (Amazi), yoghurt, evaporated and condensed milk, cheese powder, buttermilk, cream, sour cream, butter, and milk itself – pasteurised, long-life or ultra-high temperature treated (UHT).
2. International business environment
- www.fil-idf.org, website of the International Dairy Federation provides global dairy statistics.
- A sister website, www.dairy-sustainability-initiative.org provides “a global framework for a holistic approach to sustainability in the dairy value chain”.
- Find the current world production, market and trade reports at www.fas.usda.gov/commodities/dairy.
- Global Dairy Trade www.globaldairytrade.info/
- The annual Lacto Data and monthly Dairy Market Trends provide the latest statistics on the dairy industry, including breakdowns of imports and exports. Find it on www.mpo.co.za. The Quarterly Review, prepared by the MPO and SAMPRO (see heading 6), does the same. Find it at www.milksa.co.za.
- The Bureau for Food and Agricultural Policy (BFAP) Baseline 2018-2027 includes an overview of global milk and dairy products (see from page 75). Find the document at www.bfap.co.za.
3. Local business environment
- The South African milk market can be disaggregated into 2 segments: Liquid milk products (including pasteurised milk, UHT milk, yoghurt and buttermilk) account for just over 60% of total dairy consumption, while concentrated products (including cheese, butter, milk powders and condensed milk) make up the remaining 40%. The share of liquid milk products has increased consistently over the past decade, from 55% in 2007, to 61% in 2017.
- Over the next decade the market will continue to trade in a fine balance between supply and demand. Therefore, given the high sensitivity to climate and macroeconomic factors that influence demand, prices are likely to remain volatile going forward.
- Supported by rising income levels and swift urbanisation, cheese consumption increased by 81% over the past 10 years.
Source: Bureau for Food and Agricultural Policy (BFAP) Baseline 2018-2027
4. Notes on adding value to your milk
Milk is a “cash crop” and most people are users and cash buyers (including your neighbours!) The question is: should you sell fresh milk or add value by producing and selling fermented products (amasi, yoghurt, cream cheese)?
Adding value to your milk
You can nearly double your turnover on the same amount of milk with relatively little extra cost of pasteurising and additives, and definitely make money out of a small-scale dairy.
- There is also the cost of additives – culture medium, stabiliser, flavourant (like vanilla) and yellow colouring agent.
- Keep an eye on Eskom costs in future – pasteurizers chew power!
- Competition from the “Big boys” means that making milk-powder, long-life milk and butter is not recommended, even if you could afford the very expensive equipment.
What is needed for producing fermented products?
- Firstly a nearby market that will buy your product
- Electricity from Eskom – not generated off diesel or petrol power (too expensive)!
- A Batch Pasteurizer – say big enough for 1 or 2 days milk production
- A warm room (for Amasi) to mature the fermented product; (or your thermostatically controlled batch pasteurizer for other products like yoghurt).
5. National strategy and government contact
- The development of small-scale dairy processors features in the Department of Trade & Industry’s Industrial Policy Action Plans (IPAPs) for 2015/16 – 2017/18. It is the third of eight Key Action Plans. Find the document at www.thedti.gov.za.
- Find details of directorates and sub-directorates in the Department of Agriculture, Forestry and Fisheries (DAFF) at www.daff.gov.za.
- Documents relating to Market Requirements and Guidelines can be found on the Directorate Marketing’s web pages on the DAFF website.
- Find the presentation on “Regulations relating to the classification, packing & marking of dairy products & imitation dairy products (R. 260 of 27 March 2015): Agricultural Product Standards Act 1990 (Act No 119 of 1990)” at www.sasdt.co.za.
6. Associations involved
- Agri-Expo Tel: 021 975 4440 www.agriexpo.co.za This agricultural society runs dairy championships and the South African Cheese Festival – visit www.cheesefestival.co.za. Their website www.cheesesa.co.za is enormously informative about the cheese industry in South Africa.
- Milk SA Tel: 012 460 7312 www.milksa.co.za Milk SA represents the primary and secondary industries.
- South African Milk Processors Organisation (SAMPRO) Tel: 012 991 4164 www.sampro.co.za
- Dairy Standard Agency Tel: 012 665 4250 www.dairystandard.co.za “Monitoring dairy safety and quality”
- South African Society of Dairy Technology (SASDT) www.sasdt.co.za
7. Training and research
- Agricultural Colleges like GADI do dairy processing training. Find the list of these institutions in the “Agricultural education and training” chapter.
- Andrew Murray Consulting Tel: 028 312 3064 www.foodengineering.co.za Specialist fields include the processing of dairy products particularly where such unit operations as heat exchange, pasteurisation or evaporation take place.
- ARC-Animal Production (Irene) Department: Dairy Technology Tel: 012 672 9251 www.arc.agric.za Training and research is done on the processing of yoghurt, cheese, fresh milk and other milk products.
- Cheese Academy Tel: 084 626 4931 http://cheeseacademy.co.za
- Cheesemaking South Africa Tel: 084 952 4685 http://cheesemaking.co.za See also related websites http://cheesekits.co.za/ and http://cheeseconsultant.co.za/.
- Dairy Cheret Tel: 011 314 8612/7/8 http://dairycheret.com Dairy Cheret offers cheese and yoghurt manufacturing courses. They are also the sole supplier of Danisco products.
- FoodBev Tel: 011 253 7300 www.foodbev.co.za FoodBev is the Sector Education and Training Authority (SETA) responsible for facilitating education and training in the food and beverages manufacturing sector, which includes dairy manyfacturing.
- SAMPRO Training Tel: 012 991 4164 www.dairytraining.co.za Find lists of training aids and learning material on the website.
- Stellenbosch University Department of Food Science Tel: 021 808 3578 www.sun.ac.za/foodsci
- University of the Free State Department of Microbial, Biochemical and Food Biotechnology Division of Food Science Tel: 051 401 2692 / 3261 www.ufs.ac.za/biotech
8. Companies involved
Dairies and Milk Processors
For makers of goat and sheep milk cheese, see the “Goat and sheep dairy” chapter.
- Bandini Cheese Tel: 011 765 1462 www.mozzarella.co.za
- Berg River Cheese Factory Tel: 021 510 0679
- Bergen Cheese Tel: 013 254 0084
- Bosheuvel Dairy & Cheese Tel: 082 553 2846 www.bosheuvelestate.co.za
- Buffalo Ridge Cheese Tel: 082 375 0977 http://buffaloridge.co.za Buffalo cheese and dairy products
- Butlers Farmhouse Cheeses Tel: 044 878 0179
- Cairnbrogie Dairy Tel: 044 533 9162/3 www.cairnbrogie.co.za
- Caledon Food & Beverage / Dassiesfontein Tel: 028 212 2272 www.dassies.co.za/dairy.php
- Cape Cheese Tel: 021 551 3087 www.capecheese.co.za
- Chrissie's Country Cheese Tel: 031 781 1791
- Clover SA www.clover.co.za Find branch contact details on the website
- Coega Dairies Tel: 041 405 0000 www.coegadairy.com
- Creighton Dairies Tel: 039 833 1238
- Creighton Valley Cheese Tel: 039 833 9060
- Cremona Cheese Tel: 011 278 4300 www.cremonacheese.co.za
- Dairy Belle Tel: 021 507 9200
- Dairy Best Tel: 044 873 2293 www.dairy-best.com
- Dairy Corporation Tel: 051 523 3980 www.dairycorporation.co.za
- DairyDay Tel: 033 266 8300 http://dairyday.co.za/
- Dalewood Fromage Tel: 021 200 2580 http://dalewood.co.za
- Darling Romery Tel: 022 409 1000 www.darlingromery.co.za
- De Pekelaar Tel: 042 235 1790 www.depekelaar.co.za
- Denmar Dairies 058 303 2149
- Deneys Swiss Dairy Tel: 016 370 0988 / 083 297 5158 www.realmilk.co.za
- Dewfresh Tel: 011 736 7738/9 www.dewfresh.co.za
- Douglasdale Tel: 010 592 1020 www.douglasdale.co.za
- East Rand Milk Suppliers Tel: 011 740 9134 / 083 326 9076 www.eastrandmilk.co.za
- Fair Cape Tel: 0861 696 455 www.faircape.com
- Fairfield Dairy Tel: 033 239 9800 www.fairfielddairy.com
- Fairview Cheese Tel: 021 863 2450 www.fairview.co.za
- Forest Hill Cheesery / Anura Tel: 021 875 5360 www.anura.co.za/cheese.php
- Fynboshoek Cheese Tel: 042 280 3879 http://fynboshoek.co.za
- Ganzvlei Dairy Tel: 044 383 0035 http://ganzvlei.co.za/
- Gay's Guersney Dairy Tel: 023 541 1274 www.gaysguernseydairy.com
- Greenways Fine Cheese Tel: 011 466 2001
- Healey's Farmhouse Cheese Tel: 021 200 2661 www.healeys.co.za
- Hijke Cheeses Tel: 087 720 1274 www.hijke.co.za
- Hoekplaas Cheesery Tel: 071 218 0000 www.hoekplaascheesery.co.za
- Honeydew Dairies Tel: 033 266 8300 http://hdew.co.za
- Imbani Homsek Dairy Tel: 051 433 9368 www.homsek.co.za
- Indezi River Cheese Company Tel: 033 815 9580 www.indezi.co.za
- Irene Dairy Tel: 012 667 2326 www.irenefarm.co.za
- Jasmyn Plaasprodukte Tel: 012 259 1183
- Kasselshoop Cheese Tel: 074 819 4659 www.kasselshoop.co.za
- Klein River Cheese Tel: 028 341 0693 http://kleinrivercheese.co.za
- La Montanara Cheese Tel: 023 615 1929 www.lamontcheese.co.za
- La Petite France Tel: 033 383 0010 http://lapetitefrance.co.za
- Ladismith Cheese Company (Pty) Ltd Tel: 028 551 1613 www.ladismithcheese.co.za
- Lancewood Cheese (Pty) Ltd Tel: 021 914 3912 www.lancewood.co.za
- Langbaken Karoo Cheese Tel: 053 391 4161
- Langeberg Kaas Tel: 028 512 3523 www.langebergcheese.co.za
- Limpopo Dairy Tel: 015 519 5400 www.limpopodairy.co.za
- Marrakesh Cheese Farm Tel: 084 352 8911 @marrakeshcheese
- Melrose Cheese – see Parmalat SA
- Milkwood Dairy Tel: 046 653 0230 www.milkwoodfarm.co.za
- Montic Dairy Tel: 011 617 7200
- Mooi Vallei Suiwel Tel: 023 616 3912 www.mooivallei.co.za
- Morning Milk Tel: 028 722 1980 www.morningmilk.co.za
- Nestlé SA www.nestle.co.za
- Orange Grove Dairy Tel: 034 212 1144
- Parmalat Tel: 021 809 1400 www.parmalat.co.za, www.melrose.co.za and www.presidentcheese.co.za
- Portobello Cheese Tel: 021 870 4000 www.rhodesfoodgroup.com
- Puglia Cheese Tel: 021 556 7188 www.puglia.co.za
- River Glen Cheese Tel: 033 701 1926 www.riverglen.co.za
- Sonnendal Dairies Tel: 021 691 7481 www.sonnendal.co.za
- Southern African Milk Co-operative Ltd (SAMILCO) Tel: 021 975 4223 www.samelko.co.za
- Sundale Tel: 043 736 6310 http://sundale.co.za
- The Gourmet Greek/Blue Cow Deli Tel: 033 234 4338 www.thegourmetgreek.com/the-blue-cow-deli
- Transem Cheese Tel: 018 469 2275 www.transem.co.za
- Van Gaalen Kaasmakerij Tel: 012 207 1289 www.vangaalen.co.za
- Wegraakbosch Dairy Tel: 015 276 1811
- Woodlands Dairy Tel: 042 200 3400 www.woodlandsdairy.co.za
- Zandam Cheese Tel: 021 976 7850 www.zandamcheese.co.za
Ingredients, equipment & other
- AXXON/MILKING Tel: 011 837 7177/6/0 www.axxon.co.za
- BALIMI BONKE Tel: 083 736 2638 www.facebook.com/BalimiBonke/ Small scale pasteurisation and fermented products manufacture – amasi, yoghurt, cheeses
- Central Milk Tel: 013 246 1094 www.centralmilk.com
- CJP Chemicals Tel: 011 494 6700 www.cjpchemicals.co.za
- Dairy Cheret Tel: 011 314 8618 http://dairycheret.com
- Delta West Engineering Tel: 021 001 1611 www.deltawesteng.com Dairy vessels
- Dynamiko Food Ingredients Tel: 011 314 9302 Dairy cultures, emulsifiers, stabilisers, coagulants, milk powders, and preservatives.
- Filmatic Packaging Systems (Pty) Limited Tel: 021 862 2192 www.filmatic.com
- Finest Kind Tel: 076 709 2565 www.finestkind.co.za Ingredients and equipment
- Lab-o-Mat Tel: 051 773 0068 www.labomat.co.za Sachet machines
- Marefa Tel: 021 868 0095 www.marefa.co.za Bottle filling equipment
- National Food Products Tel: 011 646 9022 http://thehomebrewshop.co.za Recipes and ingredients for making cheese
- Polyoak Packaging Group www.polyoak.com Regional head offices in Cape Town, Johannesburg, Durban and Roodepoort.
- Prime Pharma Tel: 021 852 0818 www.primepharma.co.za A wide range of products, including Preservatives, Valiren, Analytical Rapid Tests, Milk Analysers and Cultures
- RPC Astrapak Tel: 087 742 0710 https://rpc-astrapak.com Milk sachets
- SABS Tel: 012 428 7911 www.sabs.co.za Microbiological examination of foods
- Tetra Pak South Africa Tel: 011 570 3000 www.tetrapak.com Complete processing and packaging solutions
9. Websites and publications
Visit the websites of role players listed in this chapter.
- Role players like the ARC can advise with publications to do with dairy processing. The Dairy Technology department at ARC-Animal Production offers the following: (i) Dairy Product Manufacturing, a booklet for those interested in making their own cheese on kitchen scale (ii) The nutritional content of South African milk and liquid milk products and (iii) Nutritional content of South African cheeses. Call 012 672 9111.
- Call 012 842 4017 or email iaeinfo [at] arc.agric.za for the publication Processing of Dairy (Butter, cream, buttermilk, cheese, yogurt, milk and milk powder), available from ARC-Agricultural Engineering.
- Agricultural Research Council. 2018. "Agro-processing of dairy: getting to grips with basic terminology". Available at www.arc.agric.za/Agricultural%20Sector%20News/Agro-processing%20of%20dairy%20-%20Getting%20to%20grips%20with%20basic%20terminology.pdf
- The 6th in the Department of Agriculture, Forestry and Fisheries (DAFF)’s Agricultural Marketing Extension Training Papers is about marketing dairy products. Find the document on the under “Resource centre” and “General publications” at www.daff.gov.za.
- Cheese making kits can be ordered at www.cheesemaking.co.za
- Find certified Halaal establishments at www.sanha.org.za and www.halaal.org.za
- Buy the publication Dairy Processing which outlines traditional methods of processing milk (butter, cheese, yoghurt etc) from Practical Action Publishing at http://developmentbookshop.com/food-processing-and-packaging.
- The DAFF-NAMC TradeProbe occasionally looks at dairy products. Find issue 64 from 2016 which looked at the trade in whey at www.namc.co.za.
- Reporter. 2018, September 17. “Buttermilk and maas continues to increase in volume and value”. Bizcommunity. Available at www.bizcommunity.com/Article/196/168/181950.html
- Find news on the BMi Research into drinking yoghurt in the Bizcommunity article “Drinking yoghurt increases in volume, value” at www.bizcommunity.com/Article/196/162/164987.html.
- Find the Leon the Milkman blog at www.leonthemilkman.com.