Namibia Dairies on Monday announced that the production and packaging of its Nammilk full cream and low-fat ultra-high temperature (UHT) milk ranges will be relocated from South Africa to its Avis factory in Windhoek, this month.

Namibia Dairies Managing Director, Leonie Prinsloo told Nampa the decision to outsource production of its UHT milk to South Africa in November 2020 was primarily due to a reduction in the local raw milk supply, which compelled the business to fill the shortfall that threatened its sustainability.

“As a proud Ohlthaver and List (OandL) Group subsidiary that has been in operation since 1997, our goal is to ensure that the business can profitably produce, package, and distribute UHT milk to the highest standards and quality while maintaining the current cost to the consumer,” she said.

She added that consumers should be aware that, as part of this transition, the current brick packaging will be phased out and the Prisma packaging will be reintroduced.

According to Prinsloo, Namibia Dairies, which includes the !Aimab Superfarm, is one of Namibia’s largest dairy producers which has been severely impacted by the COVID-19 pandemic and the ailing economy.

Increased input costs has put a severe strain on the business, and the need for rationalisation and restructuring to ensure its sustainability, she added.

She also said the improved circumstances, combined with the continued goal of maximising the capacity of the local plant and focusing on quality throughout the value chain, influenced the decision to relocate the UHT milk production back to Namibia and ensure full capitalisation of the value chain.

“We thank our loyal consumers who have supported our brands during these difficult times, and we want to assure you that we will continue to prioritise your best interests, as well as the interests of our farmers and dairy community, through our emphasis on quality throughout the supply chain. Your continued assistance is our lifeline,” Prinsloo stated.

Source: The Namibian Press Agency