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Milk powder

1. Product Description: Milk powder is a dairy product produced from cow milk. Cow milk basically contains water, fats, protein, sugar and ash. About 87% of cow milk is water by weight. Milk powder is prepared by skimming the milk whereby a considerable but proportional cream substance is extracted before it is powdered. The processed milk powder, after some vitamins are added is packed in full galvanized metal cans or plastic bags whose standard sizes are 240, 500, 1000 and 3000 grams.


2. Market Potential: The major users of powdered milk are households, institutions like hospitals, schools, hotels restaurants, cafeterias, canteens, etc. The types of milk powder used by consumers differ on the type of direct consumer such as age, sex, job and also by the type of institutions. In most cases, powder milk is produced in advanced countries and is mostly exported to developing countries. The main advantage of powder milk is it loses the water component of the raw milk and contains a concentrate of protein, vitamin and other nutrition substances which are needed by the consumer. Powder milk is easy to transport and that is why countries export milk powder instead of raw milk.


In Ethiopia, there is no domestic production of powder milk. All the demand for the product is met by imports and grants in the form of food-aid. For example, between 1984 and 1990, the average annual import of powder milk was about 18000 tons. Based on growth rates of imports, the demand for milk powder is projected to be about 34,000 tons in 2008. The share of the Amhara region will be about 10,000 tons or 10 million kgs. This demand quantity for the region could justify the establishment of a small power milk processing plant.


3. Source of raw material: The main raw material is raw cow milk. Some additives and packing materials will also be needed. The inputs will be obtained from local sources.


4. Process and Technology: Raw milk from surrounding areas is first collected either by milk cans or road tankers. it is then stored and filtered. The filtered milk is then cooled to 6oc. The product is then pasteurized and recooked and sugar is added after cooling. This regeneration and evaporation takes place where the skimmed milk is concentrated to 47% total solid. It is then spray dried and cooled.


Finally it is packed in standard containers and ready for delivery. The main machinery and equipment needed include skimming machine, pasteurizing, evaporator, spray dryer, shaking fluid bed CIP center, packing machine, boiler, compressor, cooling plant, etc..


5. Estimated Investment: For a plant which can produce 20,000 tons of milk powder per year, the estimated investment will be:-


§  Buildings/shade    ……    = Birr   32,500,000

§  Machinery ................        = Birr     40,000000

§  Working capital.........        = Birr      3,000,000

                                                      Total    = Birr    75,500,000


6. Benefits: Similar to other projects. 


7. Location:  Bahir Dahr  and Debre Birhan.