The actual use of crying over imported milk

Fairouz Gazdallah, Oxfam Belgium | September, 2024

At the annual market for local dairy products in Ouagadougou, I witnessed the significant role women play in sustaining the local dairy sector in West Africa. Through workshops, tastings, and exhibitions of locally produced dairy products, I gained a deeper understanding of the cultural, social, and political importance of this sector for many communities across the region. Women, in particular, are the driving force behind many of the stalls selling fresh milk and other dairy products made from cows, goats, sheep, and even camels. These women are farmers, processors, and marketeers, representing a vital yet often overlooked segment in the dairy product value chain.

Women are typically engaged in the transformation phase of the value chain, where they turn raw milk into a wide variety of dairy products. Despite facing challenges such as competition from milk powder imports and ongoing instability in the Sahel region, these women continue to persist, navigating the structural inequalities that have long shaped the dairy sector.

Gapal: keeping traditions alive

One of the products traditionally made by Fulani women is Gapal. Made from fermented local cow’s milk and millet, this creamy, grainy drink is a staple across Fulani communities. It’s not only rich in nutrients but also has a long shelf life. However, the traditions tied to local milk production are increasingly under threat from imported powdered milk, particularly from Europe. Flooding the market with cheaper, lower-quality alternatives, these imports are only possible due to subsidies given to wealthier countries’ dairy industries. As a result, local production is disrupted, making it difficult for small-scale dairy farmers to sustain their livelihoods. With more West African processors turning to imported products to meet demand, the authenticity of Gapal and other local dairy traditions is increasingly threatened.

What does the research say?

The structural causes behind this unfair competition—and possible solutions—are at the heart of our recent research. Gret and Cirad (two French research institutions) supported by Oxfam Belgium, Humundi & CFSI, all European NGOs with close collaboration with partners from West-African campaign “Mon Lait est Local” dived into the numbers. Our study reveals that imported milk powders, often blended with cheaper vegetable fats, are eroding the market for locally produced milk. This poses a significant threat to West African countries, including Burkina Faso, Senegal, and Nigeria, which import nearly 60% of their dairy products, with the European Union being the primary source.

Our research is rich with data that sheds light on the broader implications of global trade on local economies. For example, European milk powders undercut local milk by up to 30%, making it nearly impossible for West African farmers to compete on price. However, there are clear solutions that could reverse these trends. We propose increasing the Common External Tariff (CET)—a tax on goods imported from outside the region—from 5% to 35%. This would reduce the volume of imported milk powders and give local production the space it needs to grow. Additionally, policies like the one in Nigeria, where processors are required to source a minimum of 20% local milk, have proven effective in stimulating local dairy production. Removing VAT on fresh milk, as already done in Senegal, is another promising national strategy.

Farmer’s protest

The farmer protests in the European Union have sparked a renewed dialogue about the future of European agriculture, it is crucial not to overlook the parallel struggles of small-scale farmers and rural workers in West Africa. While the EU grapples with issues such as low farmer incomes and environmental sustainability, it must also take responsibility for the impact its heavily subsidized agricultural sector has on farmers outside its borders. Subsidized European milk powders, floods West African markets at prices local producers cannot match,. As the EU considers reforms to its €300 billion subsidy system, promising to support smaller farmers and encourage sustainable practices, it must also address the unintended consequences of these subsidies on the global majority. West African farmers are calling for a fair and coherent set of policies that protect their rights to fair incomes, food sovereignty, and economic dignity. It is essential that the EU recognizes its role in these structural imbalances and works towards trade policies that do not disproportionately harm small farmers in West Africa, while continuing to support sustainability and equity within its own borders.

Fairouz Gazdallah is a policy advisor of food justice at Oxfam Belgium