Russia – Milk Production

(repaid)

Schweizer Milch

Projectdescription

The pilot project “Schweizer Milch”, which was supported by the Swiss Agency for Development and Cooperation (DEZA) from 1999 to 2002, established a dairy farm and introduced new production methods in the region of Kaluga, Russia.

After DEZA discontinued financial and expert support, three Swiss farmers decided to take over the farm. Due to the diminishing supply of milk in the Russian market and the increasing demand for high quality dairy products, the project was successful, achieving breakeven in its financial operations.
The operation of “Schweizer Milch” guarantees a sustainable production of fresh quality milk and other dairy products, such as curd and cream and secures the jobs of the farms’ employees. Thanks to the vertical integration of milk production - from cultivation of fodder to the packaging and delivery of the finished product - the farmers are able to minimize the risks.
The investors received a loan from the SECO Start-up Fund to finance part of the expenses for upgrading and expanding the farm.

Development Impact

Creation of 45 jobs