Energy for Resilience of Small Producers in the Milk Value Chain in Senegal
Energy for Resilience of Small Producers in the Milk Value Chain in Senegal
Project Approach
In Senegal, livestock farming is practiced by 30 % of households. The sector contributes a quarter to the total agricultural value added and more than 4 % to the national Gross Domestic Product (GDP). Dairy production is an important part of this agricultural sector. However, the seasonal nature of milk production does not allow for the development of a stable local milk market. On average, milk in the production basins is available three months of the year due to the seasonality of feed availability and its strong dependence on rainfall.
To address this challenge, the GBE “Milk Value Chain” project supports two large communal cooperatives “Mbar” and “Colobane” that bring together the interests of livestock farmers in the department of Mabr. The aim of the intervention is to prepare two irrigated areas for fodder production by providing solar powered irrigation systems (SPIS) to enable fodder crops to be grown outside the rainy season. This would allow for additional dairy production, as cows give more milk if they are well fed. Furthermore, the GBE-project intends to transform livestock farmers from traditional farmers to entrepreneurs, changing their mindset so that they see their livestock as a productive business rather than a source of savings. To this end, it provides training and capacity building for livestock farmers on organisational dynamics and supports the introduction of new management and administrative procedures. Farmers are also trained in the maintenance of the SPIS.
In addition, the project facilitates dialogue among the livestock farmers on current challenges and promotes cooperation among them. Apart from this focus on livestock farmers, the GBE project provides technical assistance to diversify incomes through the creation of a village business centre where community members practice sewing, multimedia services, milk and local cereals processing and the sale of ice and fresh produce and beverages.
This includes the provision of a solar system with a capacity of 20 KWp including batteries to power the business centre as well as the purchase of dozens of solar powered sewing machines and a refrigerator to preserve and cool milk and other drinks, and to produce ice water. Finally, the intervention also supports the promotion of solar kits (20-60 W) or GIE members’ households by setting up a revolving credit mechanism to finance these systems. Initially, GBE provides the GIE with a total of twenty solar kits, consisting of a mini-solar panel and a light bulb, free of charge. The GIE sells them to households, offering the costumers to pay for the solar kits in several instalments. Once the solar kits are fully paid for, the GIE uses this money to buy new solar kits to sell to its members through the same mechanism, thus multiplying access to electricity. The intervention takes on a social inclusion dimension by involving women and young people in the various project activities, particularly in income diversification and in solar sewing.
Methodology of Data Collection
The data for this case study report was collected through a review of project documents and six qualitative interviews with representatives of GIZ, solar companies, a microfinance institution, ENDA Energie, GIE “Téourou Boulal”, and a representative of the National Agency for Renewable Energy (ANER). A quantitative survey was also carried out among four households that had received solar kits. The case study was conducted between February and May 2023. At that time, some project activities were still underway, and their impact could not yet be fully captured.
Key Findings
Project Achievements
The intervention has prepared two irrigation areas of 5 hectares each for the members of the GIE. Each of the two areas has been equipped with an SPIS, which has resulted in the supply of irrigation water for fodder production beyond the rainy season, thereby extending the period of milk production from previously three months to nine to twelve months per year. This has led to an increase in milk production from tens of litres per day to 100 litres per day for the GIE.
In addition, the intervention has also initiated a dialogue among farmers on how to strengthen their cooperation and create synergies.
This has led to the centralised purchase of additional animal feed, which is needed to diversify the diet beyond their own production. This leads to greater collective negotiation power with suppliers, thereby reducing the cost of animal feed. The project has also created a village business centre, equipped with a solar system powering solar sewing machines, a multimedia area, a solar refrigerator, and a processing unit for milk and local cereals, which are used for income-generating activities by the local community, such as textile production and the sale of ice water and fresh produce.
Finally, the installed solar kits lead to an increase in household electrification. Three out of four households surveyed state that the solar kits provided access to electricity for the first time. In total, the GBE project has led to the installation of solar systems with an aggregated capacity of 20.8 kWp.
Intermediate Impact
The intervention has initiated a change in the attitude and
mind-set of the participating livestock farmers towards the dairy
value chain and cattle breeding. Whereas they used to consider
cattle as a savings capital or collateral, they are increasingly aware
of the opportunities to turn this activity into a productive and
lucrative
business and have acquired important skills to manage
it accordingly.
By increasing milk production, the intervention has also increased
the income of most farmers, as indicated by the GIE. In addition,
by extending milk production beyond the rainy season, incomes
are now much more stable throughout the year. In fact, the price
of the milk during the dry season is the double of the price during
the rainy season.
Access to irrigation water has enabled women to start vegetable
production, which they sell on the local market as a cash crop.
According to ENDA and GIE, this has empowered women and
reduced unemployment and poverty. However, this activity
remains seasonal, as it is only practised during the dry season, and
could lead to conflicts over water use with other members of the
GIE, who are mainly interested in fodder production.
Furthermore, interviewees reported that the intervention has
created employment opportunities for youth in solar sewing
activities,
helping to reduce youth unemployment in rural
areas. An estimated 15 people started working on solar sewing,
preparing
clothes, and selling them in the local market and to
residents
in the village.
The solar kits have given households access to a clean source of
lighting, allowing housework to be done and students and schoolchildren
to study and do their homework after sunset.
Climate Impacts
Following the calculation methodology of the United Nations
Framework Convention on Climate Change (UNFCCC), the installations
described above are estimated to mitigate 25.04 t CO2 e/a
in the year of installation by avoiding and/or replacing the use of
fossil fuels.
This is roughly equivalent to the annual CO2 emissions of more
than 18 medium-sized cars in Germany.