Modern dairy plant in Terjola provided customers with top quality industrial cheese

FROM THE REDACTION

Imereti region – On October 5th , 2007 the USAID-supported AgVANTAGE project, together with local company GeoLacte Ltd. will celebrate the opening of a modern, medium-size cheese processing plant in the village of Kveda Simoneti, Terjola District.

After the collapse of the Soviet Union, cheese production shifted from state-owned industrial plants to farm-based cheese production. However, the quality of the raw milk produced on a farm level is low due to inappropriate sanitary, milking and storage practices. Today, in the Imereti region, most milk is produced by small farmers who convert approximately 70 percent of their milk into cheese, which is sold either locally or in Tbilisi.
In an effort to support the development of the dairy sector in the region, which offers locals the greatest opportunity for income and employment, AgVANTAGE teamed up with a local processor GeoLacte Ltd. located in Terjola district and helped acquire a modern medium-size cheese processing plant. The plant is capable of processing up to 5 tons of raw milk per day and will produce 500 kg of cheese per day, resulting in annual sales of GEL 0,5 million. The plant will provide a stable source of income for more than 400 smallholder farmers in the region and direct employment for 20 individuals.
The primary objectives of this activity are to create precedence for industrial cheese production and to have this company become supplier of safe, high quality cheese products on the market. AgVANTAGE also seeks to enable the company to command higher prices and diversify their product range to include a number of hard types of European cheese. The proposed technology will enable GeoLacte Ltd. to produce a competitive product and replace the large quantities of imported hard cheese from Russia, Ukraine and the EU.
As part of a comprehensive assistance package designed to demonstrate how to develop a complete dairy product production chain, AgVANTAGE assisted with the construction of four milk collection centers in four villages of the Terjola District (Sviri, Siktarva, Sazano, Telefa) and acquisition of chilling tanks and laboratory equipment for each center that are necessary for preservation of collected raw milk.
The proposed activity will help improve the economic situation in the district as it is oriented at creating new job opportunities, boosting smallholder dairy farmers’ income and producing high value import substitution product. It will boost smallholder dairy farmers’ income and produce high value import substitution products. Of equal importance, these farms and factories can serve as model businesses for other farmers and entrepreneurs interested in accessing higher-end markets.
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About USAID in Georgia: During the past 15 years, American people, through USAID, have invested more than $800 million in Georgia. More than 20 projects worth $44 million a year are currently being implemented. These projects are designed to support Georgia’s transition to a free and prosperous democracy. They include initiatives to quicken economic growth, develop democratic institutions, and improve health and education. USAID provides economic and humanitarian assistance in more than 100 countries. For more information, please visit http://georgia.usaid.gov