Leading dairy producer Marmum expects a herd expansion and infrastructure upgrade it completed recently will boost income as the region goes through another tough summer when demand usually climbs for dairy and fruit drinks.

The company recently increased its herd strength to 3,500, of which 2,000 are milch cows, and boosted its annual production capacity to 20 million litres of milk. The new arrivals include 175 high-yield heifers from Australia which Marmum Dairy Farm general manager SRK Raju said were imported for their “superior genetics, physical characteristics and milk-component traits.”
”The move to import heifers is also part of our strategy to improve milk volumes by investing in cows with high average milk production to offset rising feed costs,” Raju said.
For the infrastructure upgrade, the company implemented the advanced Korral Kool cow cooling system to ensure the cows enjoy a comfortable ambience during the hot summer months. Korral Kool is the world’s leading cow-cooling systems.

Demand going up
“With demand for high-quality dairy products in the UAE expected to go up considerably during the summer, Marmum is moving quickly to boost its production rate in order to adequately respond to market requirements, the official says.
The Marmum herd currently produces an average of 30 litres a day per cow, considered exceptional for this part of the world. Marmum says it adopts a feeding system entailing top-quality fodder and herd health is constantly governed through monitoring of blood metabolites.
The company points out that it is the only dairy farm of its kind in the UAE with a sewerage treatment plant that ensures pure, environmentally clean air.
The company, a subsidiary of Dubai Investments, claims it commands a near 12 per cent share of the UAE market making it an important player in the national dairy industry.
It recorded 27 per cent growth in 2008 with total revenues of Dh150 million ($40.8 million). Raju expects sales will rise 14 to 15 per cent this year to reach Dh170 million.
“Our main focus this year will be to consolidate our market position by building on our core strengths and increasing milk volumes. Reducing overheads is also a key priority, especially against the backdrop of rising production costs,” he says.
Founded in 1982, and acquired by Dubai Investments in 1996, Marmum has come a long way, adapting to changing market demands by producing innovative products to maintain and grow its customer base. The dairy farm and state-of-the-art processing unit are located in Lisailly, 30km from Dubai on the Al Ain Road.

Production
The company produces milk, laban, yoghurts and juices, and is planning to include desserts in its repertoire.
Marmum’s yogurt (full cream and low fat) is described as one of the fastest-selling products in the market and “an all-time consumer favourite.”  Riding on the wave of this success, the company recently introduced its latest offering, a 99.9 per cent fat-free, vitamin-enriched skimmed yogurt that is made from locally produced 100 per cent fresh cow milk.
Raju says the company has been making “continued investments” in high-quality breeding stock, cutting-edge technology and machinery.
Marmum has also been successful in the juice category with a varied range of fruit juices.  In long-life fruit juices, the flagship product is the ‘Modesh Superstar Nectars’ coming in orange, mixed fruit and mango flavours. “Over the past few years, Marmum has successfully evolved to be a household name and has gained a strong hold in the region as the third largest dairy farm in the UAE.  The company’s determination and tremendous efforts to offer nutritive, safe and hygienic dairy products through its improved focus on animal genetics, reproduction protocol and farm management have paid off well in instilling the highest levels of consumer confidence,” Raju says.
Complementing the 3,500 heifers and an annual production capacity of 20 million litres is a comprehensive distribution network of 2,500 outlets across the region.
Commenting on issues facing the industry, the general manager says production expenses are on the up as commodity prices have risen in the last couple of years. “Government support for the dairy industry is vital if operational and utility costs are to come down. Retailers too must support dairy products to bring down the overall cost.”