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This report focuses on the manufacture of dairy products in South Africa and includes information on the volume of products sold and market share per product, developments, trends and corporate actions, regulation and other influencing factors.
Manufacture of Dairy Products:
There has been considerable consolidation in the dairy industry at production level over the last 20 years, and large farms account for 80% of South Africa's total milk production. Rising production costs, imports, less producers, drought, changing consumer preferences, regulation and competition from international companies have created challenges, especially for small producers.
While the number of milk producers has continued to decline, milk production has increased, indicating fewer commercial farms with larger herds. Large farms producing more than 5,000 litres per day supply 80% of South Africa's total milk production.