Tetra Pak launches Dairy Hub Handbook paving the way for a more resilient dairy value chain

Lausanne, Switzerland, 27th May 2025 – Tetra Pak announced the launch of the Dairy Hub Handbook, ahead of World Milk Day on 1 June. The handbook is a detailed guide to Tetra Pak’s Dairy Hub model, explaining its necessity, set-up and benefits for individuals and communities as a practical solution to address food security and nutrition challenges. It showcases the company’s commitment to supporting local customers, as well as collaborating with non-government organisations (NGOs) and international development aid agencies to build resilient dairy value chains.

A Dairy Hub project connects smallholder farmers to a dedicated dairy processor in a selected region. By providing farmers with “hands-on” practical training and setting up appropriate milk collection infrastructure and technology, it boosts the supply of locally produced quality milk and cuts down food loss. As a result, the dairy processor gains a stable milk supply, while smallholder farmers access formal markets, boosting their productivity, profitability and livelihoods.

Lars Holmquist, Executive Vice President at Tetra Pak, comments: “Access to adequate food is a basic human right and is of crucial importance for the enjoyment of other rights, as stated by the United Nations.¹ With the global population expected to reach nearly 10 billion by 2050,² the dairy industry plays an important role in global nutrition. At the same time, the livelihoods of one billion people are directly or indirectly connected to the dairy industry.³ In low-income countries, for instance, the FAO estimates that there are 238 dairy farms for every 10,000 people.⁴

That's why Tetra Pak, as a provider of advanced systems for food processing and packaging, initiated the Dairy Hub projects in 2011. These projects contribute to achieving the United Nations Sustainable Development Goals,⁵ as the improved profitability in subsistence milk farming brings socioeconomic benefits to farmers, communities and countries. As we approach World Milk Day, we call on more customers, NGOs and development aid agencies to join us in these projects and build a resilient dairy value chain together.”

The number of Dairy Hub projects has been increasing year-on-year. Since its launch in 2011, 29 Dairy Hub projects around the world have been established, benefiting over 84,500 smallholder farmers.

Notable success stories include:

• Kenya: Tetra Pak supported its customer, Githunguri Dairy Farmers Co-operative Society, in increasing milk production and profitability. As a result, smallholder farmers achieved a 17% increase in production per cow, a 26% rise in farm profitability and a 92% increase in total milk sold at the farm level.⁶ Also in Kenya, Tetra Pak supported farmers connected to the KEMDAP7 hub to achieve a 65% increase in overall production, with one region achieving an 85% uplift.⁸
• Bangladesh: In collaboration with Sida (Swedish International Development Agency) and UNIDO (United Nations Industrial Development Organisation), Tetra Pak has assisted its customer, PRAN Dairy, to establish five Dairy Hubs that now involve more than 12,800 farmers. Between 2021 and 2024, milk collection increased from 3,600 to 19,000 litres per day, a 42% increase in average milk production that led to a 56% increase in average income.⁹
• Colombia: Tetra Pak is working with its customers - local dairy processors Alival and Alpina - in collaboration with Sida and the FAO, to boost productivity in the Cauca Department by 20%. Among the 338 smallholder dairy farms involved, 51% are owned by indigenous families and 42% are led by women.¹⁰ Farmers’ income has risen from US$242 to US$379 per month, representing a 57% increase. 

Tatiana Liceti, Market Operations Executive Vice President at Tetra Pak, comments: "Every day, billions of people receive essential nutrition from consuming milk and dairy products, making dairy one of the basic building blocks of sustainable diets in most countries. A strong dairy sector can also support economic growth by improving the nutrition of the local population, creating jobs and contributing to Gross Domestic Product (GDP). By establishing a strong connection between smallholder dairy farmers and local dairy processors, Dairy Hubs can be crucial in nurturing a sustainable dairy value chain in countries where a formalised dairy industry is still developing.”

The Dairy Hub Handbook is available online now.

Read press release Tetra Pak launches Dairy Hub Handbook paving the way for a more resilient dairy value chain

¹https://www.ohchr.org/en/special-procedures/sr-food/about-right-food-and-human-rights
https://docs.un.org/en/E/C.12/1999/5
²United Nations (2019). World population prospects 2019: Highlights
³https://globaldairyplatform.com/
⁴GASL, Dairy and Socio-economic Development – What evidence does the data hold? Rome (2024) https://www.livestockdialogue.org/fileadmin/templates/res_livestock/docs/2024_Impact_Report_no_crops.pdf
⁵Dairy Hubs address SDG 2 (hunger and food security), 8 (decent work and economic growth), 12 (responsible consumption and production) and 17 (partnership for goals); https://sdgs.un.org/goals
⁶Reference farms
⁷The Kenya Market-Led Dairy Value Chain Supply project (KEMDAP) is a four-year project funded by the Swedish International Development Cooperation Agency (SIDA) with implementation handled by Heifer International - https://www.tetrapak.com/en-gb/insights/cases-articles/improving-livelihoods-in-Kenya
⁸KEMDAP: 65% increase in overall milk production, from a baseline of 5.4 to 8.9 litres per cow per day (total farms). Upper Eastern region: 85% increase, from 5.9 to 10.9 litres per cow per day. Northern Rift region: 61% increase, from 4.5 to 7.2 litres per cow per day.
⁹2021-2024: Milk collection: increase from 3,600 to 19,000 litres per day (total farms). 42% increase in average milk production, from 27 to 38 litres per farm per day (reference farms). 56% increase in average income (reference farms).
¹⁰https://www.tetrapak.com/insights/cases-articles/launch-of-dairy-hub-project-in-colombia