MANILA, Philippines -- Let’s take a peek at the biggest dairy cooperative in Thailand. This is the Nongpho Dairy Cooperative in Ratchaburi province located over a hundred kilometers from Bangkok.

This is the biggest dairy cooperative in Thailand that boasts 5,000 members who produce more than 200 tons of fresh cow’s milk every day. The members have about 50,000 cows which the Thai animal breeders have developed by crossing the Holstein Friesian from the United States and the native Thai cow. The result is what they call the Tropical Holstein which is adapted to the tropical and humid condition of Thailand.

The cooperative was officially formed in 1971 about eleven years after the government of Thailand started to promote dairying in the country with the use of dairy cattle. The government program was so successful that it didn’t take long for the farmers to produce excess milk that could not all be consumed as fresh milk. The milk had to be turned into milk powder initially, and the farmers needed a processing plant where they could sell their milk production.

Fortunately King Bhumibol Adulyadej saw the farmers’ plight and decided to contribute substantial cash to help the cooperative build its processing facilities. Today, the co-op runs several processing plants producing fresh milk in bottle and in pouch, ice cream, yoghurt, UHT milk and others. The co-op runs its own feed mill to service its members. It also has its own convenience store, gas station and an ice plant.

The co-op has been very profitable. In 2010, it netted Bht100 million equivalent to more than P140 million in Philippine money. In 2011, it expects to earn more as its sales are expected to grow by 7 to 8 percent. Sales of milk could reach Bht1.7 to Bht1.8 billion.

In Thailand, it is said that unemployment is less than 1 percent. And that’s because the farmers in the provinces, like the Nongpho dairy farmers, are making good money. One who is taking care of 8 cows could expect an income of Bht10,000 a month. Since the average holding is 18 head, the income is much more than that. Besides, the dairy farmers have other sources of income. They also plant cash crops like sweet corn, fruits and vegetables.

Dairy cows in Nongpho are much cheaper than in the Philippines. The price of a yearling ranges from Bht28,000 to Bht35,000 compared to the P135,000 Filipino farmers have to pay for the imported Holstein Friesians from New Zealand.

Artificial insemination is very widely used in Thailand. And the government is very helpful. The semen is given free. Only the service of the technician doing AI is paid 60 baht.