Ten-year Dairy4Development project in Indonesia successfully completed

Together with six partners Frisian Flag Indonesia, a subsidiary of FrieslandCampina, has successfully completed the ten-year ‘Dairy4Development’ project in Pangalengan and Lembang, Indonesia. The project started in 2013 aimed to boost local production of high-quality milk. The successful completion of this project marks an important milestone in fostering economic growth and independence for dairy farmers in Indonesia. A total of 3,500 local dairy farmers participated in the project.

The Frisian Flag Indonesia-led Dairy4Development project also involved Agriterra, Bles Dairies, FrieslandCampina, Wageningen University & Research (WUR) and the local cooperatives KPSBU Lembang and KPBS Pangalengan. The project was supported by a grant of four million euros from the Dutch Ministry of Foreign Affairs under the Facility for Sustainable Entrepreneurship and Food Security (FDOV) grant programme, which is executed by the Netherlands Enterprise Agency (RVO).

Jan Paul van Aken, senior advisor RVO: “The Dairy4Development project is an example of system change in the food value chain in Indonesia. It started already twelve years ago demonstrating effective business cases for smallholders in the dairy sector, quick return on investment, improved animal welfare and higher milk quality and production. I was impressed by the Dairy Village, a unique concept of cooperative dairy farming based on the Dutch innovative experience. This shows the sustainable effectiveness of dairy farming at a larger scale, circular development and business development. The project stimulated women empowerment and entrepreneurship and mitigated waste products like manure utilised for organic fertiliser.”

Akhmad Sawaldi, project manager Dairy Development Frisian Flag Indonesia: “We are immensely proud to have been a part of the successful completion of the Dairy4Development project. At FrieslandCampina, we believe in the power of collaboration and sustainable development to create lasting positive impact. This project exemplifies our commitment to empowering dairy farmers and communities, and we are excited to see the continued benefits for years to come.”

Increase local high quality milk production


Commencing in 2013, the project aimed to increase local production of high-quality milk, focusing on three pillars: ‘Less & Better’, ‘Simple & Effective’, and ‘Sustainable Welfare’.

Under the ‘Less & Better’ pillar, efforts were made to optimise milk quality through infrastructure upgrades and farm-level practices, resulting in the operation of seven milk collection points. The ‘Simple and effective’ pillar focused on improving the knowledge and skills of dairy farmers, particularly through programmes such as ‘Kartini Peternak Indonesia’ to strengthen the role of women in dairy farming, ‘Farmer2Farmer’ training initiatives and barn renovation projects. The ‘Sustainable Welfare’ pillar introduced the Dairy Village concept, where village farmers collectively own modern dairy farms. This included establishing robust feed supply systems and enhancing productivity and sustainability at the farm level.

Improvement of knowledge and skills


Throughout the project, significant achievements were made, including enhancements in the knowledge and skills of dairy farmers, improvements in cooperative services, and increased milk productivity and quality. Despite challenges like COVID-19 delays and foot-and-mouth disease outbreaks, the project persisted and proved successful.

Valuable lessons were learned regarding improvement opportunities in areas such as barn renovation strategies, involving young farmers, and financial literacy training. Minor adjustments to the original Dairy Village concept were also implemented to ensure long-term sustainability.

Impact continues


Analysis of various sustainability aspects indicates that the knowledge, skills, practices, and benefits of the project will endure into the future and can serve as a blueprint for replication in other dairy centers in Indonesia.

While the project has concluded, its impact continues as activities are expanded sustainably, thanks to the support of the FDOV programme. This marks the beginning of a new phase in empowering dairy communities across Indonesia.

About FDOV subsidy programme

The Facility for Sustainable Entrepreneurship and Food Security (FDOV) subsidy programme is designed to support public-private partnerships that contribute to sustainable development goals, particularly in the food and agriculture sector. The programme is executed by the Netherlands Enterprise Agency (RVO) on behalf of the Dutch Ministry of Foreign Affairs.