Namibia Dairies has confirmed the relocation of the production and packaging of its Nammilk Full Cream and Low-Fat Ultra-high temperature (UHT) milk ranges.
The production will be relocated from South Africa to the company’s Avis factory in Windhoek as of this month.
Namibia Dairies managing director Leonie Prinsloo noted the decision to outsource production of its UHT milk to South Africa in November 2020 had been mainly due to the reduction in the local raw milk supply that compelled the business to fill the shortfall that threatened its sustainability.
Said Prinsloo: “As a result of the good rains and increased raw milk supply locally, we are excited to bring our hormone-free, high-quality UHT products home again. As a proud O&L subsidiary that has been in existence since 1997, our objective is to ensure that the business can profitably produce, package and distribute UHT milk to the highest standards and the best quality, with no change in the current cost to the consumer. Consumers should note that in line with this move, the current brick packaging will be phased out and the Prisma packaging reintroduced”.
Namibia Dairies, including the !Aimab Superfarm, is one of Namibia’s biggest dairy producers and has been severely impacted by the ripple effects of the Covid-19 pandemic and the ailing economy.
Increased input costs had put severe strain on the business and further encouraged the need for rationalisation and restructuring to ensure its sustainability.
The improved circumstances, along with the continued objective to maximise the capacity of the local plant and focus on quality throughout the value chain, positively impacted the decision to move the UHT milk production back to Namibia and ensure the full capitalisation of the value chain.
“We thank our loyal consumers, who have stood by our brands through these challenging times, and we want to assure you that we continue to keep your best interests, through our emphasis on quality throughout the supply chain, and the interests of our farmers and dairy community at heart. Your continued support is our lifeline,” said Prinsloo.