The Netherland-based FrieslandCampina Vietnam company on July 16 kick-started the construction of a project on expanding large-scale dairy farms in the northern province of Ha Nam, the first financed by the dairy producer.

Covering 54.5 ha, the project targets creating 10 dairy farms, of which two are slated for completion by December. After five years, each farm will have 50-80 milch cows.

The project aims to ensure stable supply of raw milk for the domestic market.

FrieslandCampina plans to set up a system aiming to purchase raw milk at competitive prices for local farmers and another to control product quality.

Ha Nam now has a herd of some 500 milch cows that generate dairy products totally worth around 15 billion VND (707,630 USD) a year.

It strives to expand the herd to 2,000 by 2015 and 7,000-8,000 by 2020.-VNA