JAMAICA – Jamaica’s dairy sector is set for a major expansion, with plans to double milk production within the next three to five years.
This effort is being led by two major dairy producers, Serge Island Farms in St Thomas and Trade Winds Citrus in St Catherine, both of which have announced significant investments to boost output.
A report by the Financial Gleaner indicated that the Jamaican government is also playing a role in increasing production by importing high-yielding heifers.
The Ministry of Agriculture, Fisheries and Mining, through the Jamaica Dairy Development Board, is procuring 250 heifers at a cost of approximately US$400 million.
Dairy Board Chairman Dr. Derrick Deslandes stated that most of the animals will likely come from the United States, though Canada is also being considered due to concerns over bird flu in the U.S.
He emphasized that the industry is highly regulated, and suppliers must meet specific criteria.
Richard Pandohie, CEO of Seprod Group, which owns Serge Island Farms, reported that his company is committed to revitalizing the dairy industry.
He recalled that Jamaica once had a strong milk production sector, but the liberalization of the milk powder market in the early 1990s led to a decline from 38 million litres per year to the current 13 million litres.
While he does not expect production to return to previous levels, he suggested that reaching 25 million litres annually is an attainable goal.
According to Pandohie, the potential for dairy farming extends beyond Jamaica’s domestic market, as no other English-speaking Caribbean nation has a substantial dairy industry.
He pointed out that this presents an opportunity for Jamaican farmers to supply milk to the wider CARICOM region.
He also noted that Serge Island currently has a herd of about 4,840 animals and sources additional milk from Rusal in Manchester and small farmers, who contribute about 10 per cent of its supply.
Reports indicated that Rusal, a Russian mining company that owns Windalco in Jamaica, also operates dairy farms in Manchester and St Ann with technical support from the Jamaica Dairy Development Board.
The company supplies all its milk to Serge Island, reportedly accounting for 19 per cent of the dairy processor’s total volumes.
However, Pandohie acknowledged that Serge Island’s farm operations have been experiencing financial losses, amounting to over US$290 million last year.
He expressed optimism that losses will be reduced by 50 per cent in 2025, with the farm expected to break even by 2026. One of the strategies being pursued is the planting of sorghum, in collaboration with a team from India, to be used as cattle feed.
Trade Winds Citrus Limited is also expanding its dairy business under the Tru-Milk brand. Managing Director Peter McConnell reported that the company’s current herd stands at 750 animals, with plans to increase it to 1,500 within the next three years.
He stated that the decision to invest in dairy farming was driven by the fact that over 75 per cent of the milk solids consumed in Jamaica are imported as milk powder for various products.
He reaffirmed the company’s commitment to food security, stating that their goal is to help Jamaica achieve self-sufficiency in milk production.
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