Dairy cattle farming and processing an integrated approach in Kosovo Note: This project has been cancelled, because RVO has no confidence that it will be successfully completed in the short term.Kosovo is far from self-supporting with regard to dairy production. Imports account for 71% of consumption of processed dairy products. Gouda cheese is not produced in Kosovo at all. The dairy value chain is underdeveloped causing farmers to refrain from expanding their herd. The project goal is strengthening the dairy processing chain by setting up a professional dairy processing plant with a capacity of 5,000 litres per day, which guarantees a continuous milk take-up from at least 20 small farmers. The main product of the dairy processing plant is Gouda cheese. The milk processing plant will be located in Malisheve, 50 km south-west of Pristina. It will be equipped with pasteurisers, cheese vats, homogenisers and other equipment needed for cheese, yoghurt and cream production. On the input side the project will also include three milk collection centres, a milk truck and a contracting service for improved forage growing. Farmers will be trained to improve milk quality and quantity.The applicant is Van der Ploeg International B.V.. The local partner is N.N.P.T., started as a construction company for commercial and high-rise buildings in 2000. Recently, N.N.P.T. Mati-Com diversified. Part of the group is a goat farm. Partners will establish a joint venture.The project is innovative, as in Kosovo the value-chain for dairy products are underdeveloped and Gouda cheese is not being produced at all.Corporate Social Responsibility (CSR)Van der Ploeg International B.V. states that it will pay attention to working conditions, environmental issues and health and safety. Nett salaries for basic-level workers will be double the minimum salary which is about 200 euro per month. Quality control is important for a project like this and Van der Ploeg International B.V. states that quality standards will be applied similar to GlobalGAP and HACCP.Impact•	Employment and working conditionsThe joint venture will employ 15 people:- 10 employees at the factory directly;- 2 employees at the forage crop harvesting service;- 3 employees at the collection centres employed by the owner of the centre.In addition, there will be 20 farmers with a secure income and 20 employees of the farmers. Two years after completion of the project 7 more people are employed by the plant and the contracting service.The salary to be paid is 400 euro for basic-level employees up to 720 euro for medium-/high-level employees. Working conditions will be in compliance with EU regulations.•	Innovation / Transfer of knowledgeThe knowledge transfer to Kosovo concerns the following topics: modern dairy farming, milk quality (in compliance with EC regulations) and production of quality dairy products such as Gouda cheese.•	Chain effectsThe dairy plant has a positive effect on the small dairy farmers that will supply milk. Continuous take up of their milk allows them to invest in their herd. They benefit from the training as well, thus increasing the milk production per cow.•	EnvironmentEnvironmental risks are minimal. Manure from the cows will be used on the land on which forage is grown (maize for silage). The by-product of cheese making, whey, will be fed to calves. Chemicals used for dairy quality testing will go to a chemical waste deposit in Pristina.•	Position of womenThe partners prefer a female joint venture director. Furthermore, more than 50% of the staff of the dairy plant will be female. Employees at the milk collection points are also preferred to be female. The project goal is strengthening the dairy processing chain by setting up a professional dairy processing plant with a capacity of 5,000 litres per day, which guarantees a continuous milk take-up from at least 20 small farmers.