📋 Tender Overview
Contract partner: ARGE – GAIN
Country: Tanzania Contract type: Economic partnership Project start: 01.07.2025 Funding amount: € 724.689,00 End: 30.06.2028
SHORT DESCRIPTION:
Overall goal
The project aims to improve nutrition, alleviate poverty, and promote environmental sustainability by transforming Tanzania's dairy sector. Specifically, the project will expand the production and market availability of fortified yogurt using whey permeate, an innovative and eco-friendly ingredient. Through capacity building for smallholder dairy farmers, the adoption of renewable energy in milk collection centers, and strengthened collaboration with key government and private sector stakeholders, the initiative seeks to boost the dairy industry’s contribution to food security, economic growth, and environmental sustainability.
Expected results
- Local dairy processors will increase production of fortified yogurt, enabling affordable and nutritious dairy products to reach over 1 million Tanzanians, including school children through the school milk program.
- Over 5,000 smallholder farmers will benefit from improved milk quality and increased incomes due to better food safety practices and access to expanded market opportunities through Galaxy Foods and Beverages Ltd.
- Renewable energy solutions, such as solar-powered milk collection centers, will be implemented to reduce carbon emissions and improve energy efficiency in the dairy supply chain.
- Policies supporting fortified food production and environmentally sustainable practices will be developed and implemented in collaboration with Tanzanian government agencies and private sector partners.
Target group / Beneficiaries
The project targets 7,000 dairy farmers and their families, benefiting 7,000 households through increased incomes, while 300 farmers will receive training on sustainable practices. It supports 11 local dairy processors, including Galaxy Foods, to scale production of fortified yogurt, benefiting 128,553 school children through the school milk program. Renewable energy will be integrated with solar panels at 22 milk collection centers, generating 800,000 kWh/year, creating 20 new jobs in processing and distribution, and improving resource efficiency, saving 31,500 liters of milk monthly. Key partners include Galaxy Foods, Arla Foods Ingredients, and the Tanzanian government, ensuring alignment with national goals and regional knowledge sharing.
Activities
- Expanding production and market distribution of affordable, nutrient-rich yogurt fortified with whey permeate.
- Providing training on food safety, milk handling, and sustainable farming practices to increase milk quality and supply.
- Supporting the installation of solar-powered milk collection centers to reduce environmental impact and improve supply chain efficiency.
- Partnering with the government to develop and implement policies for fortified food production and to align with the school milk program and su