Namibia Dairies has invested approximately N$54.5 million in a new long-life milk production line capable of packaging up to 8,000 units per hour, as the company seeks to improve production efficiency and meet growing demand for locally produced dairy products.
The investment involves the installation of a Tetra Pak A3 Flex filling line, replacing equipment that had been used for more than 15 years to package Namibia’s only locally produced long-life milk.
The new production line includes a conveyor system, helix accumulator, cardboard packer, advanced cap application technology and supporting packaging and handling equipment.
According to Namibia Dairies, the investment is aimed at improving production reliability, reducing maintenance costs and strengthening the company’s capacity to process increasing milk volumes from local and regional producers.
Ohlthaver & List (O&L) Group Executive Chairman Dr Sven Thieme, who recently visited the production facility, said the investment demonstrates the group’s commitment to expanding local manufacturing capacity.
“Investments of this scale reflect our confidence in our people, our products and the future of Namibian manufacturing. They demonstrate our commitment to maintaining world-class production standards, supporting local food production and ensuring Namibia Dairies remains a modern, competitive manufacturer for years to come,” Thieme said.
“This is the type of technology you would expect to see in leading dairy operations anywhere in the world and it now runs in Namibia. We are investing today for the next generation of growth.”
The company said the new production line is expected to reduce packaging waste from approximately 4% to 1.5%, while improving operational efficiency and minimising unplanned production stoppages.
The previous filling equipment had become increasingly costly to maintain after more than 15 years of operation, with outdated technology creating challenges in sourcing replacement parts and technical support.
Namibia Dairies said the upgraded line would also reduce packaging stockholding requirements through redesigned packaging configurations and the use of materials sourced from South Africa, contributing to lower supply chain costs.
The new equipment incorporates direct injection-moulded caps with tamper-proof ring-pull seals, replacing the previous glue-applied cap system to reduce packaging defects, including incorrectly fitted or missing caps.
The investment also provides capacity for future product expansion, including the introduction of 500ml long-life milk packaging formats and potential diversification into ambient juice products.
The filling line forms part of the company’s ultra-high temperature (UHT) production process, under which milk is heat-treated and packaged under aseptic conditions to extend its shelf life.
Products processed through the UHT system can remain shelf-stable for six to nine months before opening, compared with the shorter shelf life of fresh dairy products.
Namibia Dairies said the upgraded equipment would strengthen the reliability of long-life milk supplies while supporting future growth in domestic production.
Established in 1997 through the merger of Melkor and Bonmilk, Namibia Dairies operates under the O&L Group and maintains distribution depots in Windhoek and Oshakati.
The company also operates the !Aimab Superfarm in Mariental, which houses approximately 1,400 milking cows and produces an average of 35,000 litres of milk daily.
