In Thailand, the dairy industry has been promoted by the government according to the National Economic and Social Development Plan No. 4 (1977–1981) and the National Economic and Social Development Plan current No. 11 (2012– 2016). The Royal Thai government aimed to enhance Thai people’s health by having them consume milk and to support the cow milk farmer to serve the domestic demand (Food Intelligence Center, 2014). However, the statistics showed that the average milk consumption of Thai people is much lower than that of the world consumption. Hence, the Royal Thai government established a school milk project in 1992 to encourage kindergarten and primary students to drink milk due to malnutrition in children. In addition, the milk project supported the domestic milk supply chain, which could not compete with imported dairy products (School Milk Programs, 1992). In fact, 40% of domestic raw milk production is dedicated to the
school milk via either UHT or pasteurized milk. Therefore, the milk farmers have sufficient domestic demand to support raw milk production. From 2009 to 2013, the consumption of milk products increased, on average, 3.4% annually, while the yield of raw milk increased by 7.66% annually. Raw milk prices determined by the milk board remained high enough to encourage the cow milk farmers to sustain their career. Recently, farmers have had the ability to efficiently manage farms, especially on animal feed and cow breed standards. As a result, raw milk production has increased, and quality is high. In 2014, the production of raw milk in Thailand increased due to the natural expansion of cows. At present, the number of medium and largesized farms has increased, while that of small-sized farms has decreased. The demand for raw milk was divided into school milk and commercial market milk. Although, the demand for school milk is quite stable, the demand for commercial market milk is likely to increase (Office of Agricultural Economics, 2013).
In Thailand, the dairy industry has been promoted by the government according to the National Economic and Social Development Plan No. 4 (1977–1981) and the National Economic and Social Development Plan current No. 11 (2012– 2016). The Royal Thai government aimed to enhance Thai people’s health by having them consume milk and to support the cow milk farmer to serve the domestic demand (Food Intelligence Center, 2014). However, the statistics showed that the average milk consumption of Thai people is much lower than that of the world consumption. Hence, the Royal Thai government established a school milk project in 1992 to encourage kindergarten and primary students to drink milk due to malnutrition in children. In addition, the milk project supported the domestic milk supply chain, which could not compete with imported dairy products (School Milk Programs, 1992). In fact, 40% of domestic raw milk production is dedicated to the school milk via either UHT or pasteurized milk. Therefore, the milk farmers have sufficient domestic demand to support raw milk production. From 2009 to 2013, the consumption of milk products increased, on average, 3.4% annually, while the yield of raw milk increased by 7.66% annually. Raw milk prices determined by the milk board remained high enough to encourage the cow milk farmers to sustain their career. Recently, farmers have had the ability to efficiently manage farms, especially on animal feed and cow breed standards. As a result, raw milk production has increased, and quality is high. In 2014, the production of raw milk in Thailand increased due to the natural expansion of cows. At present, the number of medium and largesized farms has increased, while that of small-sized farms has decreased. The demand for raw milk was divided into school milk and commercial market milk. Although, the demand for school milk is quite stable, the demand for commercial market milk is likely to increase (Office of Agricultural Economics, 2013).
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