4. Experiences in South America, 1992 and 1994.

Under a senior expert scheme I had the opportunity to assist private dairy enterprises in southern Chile on two occasions, with an interval of 11/2 years. Contrary to Asia and Africa, countries such as southern Chile, Argentina, Uruguay and Southern Brazil had left dairy development entirely to private enterprise. However, private efforts were supported through improvement of the infrastructure and by means of training facilities. The regional training centre at the University of Valdivia, Chile, with the support of DANIDA, became particularly well-known for its meaningful training programmes.

When working in a cash-strapped enterprise near Valdivia, processing 100,000 l milk per day on an average (cheese + milk powder), I had to make detailed recommendations for some supplementary investments equivalent to 100,000 US $. These funds were made available in an amazing short time. The regional demand for dairy equipment has given rise to an important manufacturing industry, particular in Argentina.

A second enterprise in which I introduced new manufacturing processes and techniques, particularly for cheese, had been started by the present owner 18 years ago with a milk intake of 200 l/day. At present it processes an average of 30,000 l/day with good prospects for further growth. As in East Africa and in Asia, a serious draw-back is the seasonably of milk production. Unless enterprises with average milk intakes of 10,000 l/day find means and ways for joint ventures to dry seasonal milk surpluses, take-overs of the weaker by the stronger will continue unabated.

Though industrial development in South America has a much longer tradition than in-East Africa, there are similarities in development trends. To recognize such similarities and to learn from the same is the art of the true entrepreneur.