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Sub-component 2.2 Dairy value chain

               A large portion of the dairy sector in Mongolia is based on nomadic dairy supply chain. There
               are 10 million litres of milk under-utilized throughout the country. The project identified non-
               conformities,  gaps  and  opportunities  for  the  dairy  value  chain  by  conducting  professional
               assessments and trainings on food safety management systems and standards compliance.
               Overall,  the  larger  scale  milk  factories  in  Ulaanbaatar  comply  with  required  standards  on
               processing, however, there is an acute lack of quality raw milk supply. In rural remote areas
               of Mongolia, the raw milk is under-utilized, and thus processing the milk by making exportable
               artisanal cheese is identified as one of the options for value addition and job creation.
               Table 6. Progress towards Outputs – Dairy value chain

                 Sub component 2.2        Results and Impact 2020
                 DAIRY VALUE CHAIN
                 Output 2.2.1: Improved milk production, collection, storage, processing and marketing
                 system
                                           ●  In terms of marketing, as a result of the technical trainings and
                                              on site check up visits and recommendations on international
                                              food  safety  standards  compliance  for  MACU  cheese  factory
                                              and further promotion of the cheese exports, rural enterprises
                                              from Khovd  and Dundgobi expressed interest  in establishing
                                              the  same  cheese  plants  in  their  provinces  based  on  MACU
                                              model.  UNIDO  SECiM  project  facilitated  linkages  between
                                              these enterprises with potential supporting institutions such as
                 Activity 2.2.1.3:  Provide   TIKA and MPs. Arvin Bayalag Tavan Erdene cooperative and
                 technical advice on          Governor’s  office  of  Dundgobi  applied  for  funding  support  to
                 improved milk collection,    TIKA  and  the  decision  will  be  made  in  early  2021.  MP  from
                 including dairy value        Khovd province agreed to support AUO cooperative to establish
                 chain SOPs based on          the  cheese  plant  and  the  final  decision  on  funding  will  be
                 GAPs, GMPs &                 confirmed also in 2021.
                                           ●  Impact of the technical training organized on “From packaging
                                              to marketing for food products” in August 2019 in cooperation
                                              with WPO, MoFALI and industry associations, MUPA became
                                              a  full  voting  member  of  WPO  during  its  Board  meeting  took
                                              place  in  November  2020.  It  opens  doors  for  Mongolia  to
                                              upgrade its packaging and labelling for food and non-food value
                                              chains commodities and innovative solutions of marketing and
                                              exports.
                                           ●  The project planned to organize advanced trainings on FSMS
                                              for dairy industry. Due to COVID 19 Nationwide All-out
                 Activity 2.2.1.4. Assist to
                 implement the improved       Emergency regime introduced from 11 November 2020 a
                 national food safety &       physical training activity has been banned. However, the
                                              FSMS interactive training course will be available by the end
                 animal health legal          of the project that would help the dairy industry to have
                 framework in large scale
                 dairy industry.              refreshment trainings. The interactive training modules will be
                                              handed over to local institutions, who would be able to provide
                                              further capacity building services.







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