Dubai has a shortage of dairy products because of high demand during Ramadan and, more importantly, local farms' inability to supply dairy producers with their raw milk needs.

While the UAE Dairy Producers Association plans an after-Ramadan meeting with producers and local farms to solve the problem, some local dairy producers stressed the crisis is an extension of the repercussions of the foot and mouth disease and some GCC dairy producers' monopoly over local raw milk supplies under three-year contracts signed with local farms.

These two problems, which were highlighted in a Gulf News special report last year, have remained unsolved until now, added the producers.

Some local dairy companies get their supplies of raw milk from their own cattle, farms and factories while others rely on local farms, they explained.

Consumers, meanwhile, said most of the shortages had affected Al Rawabi and Marmum dairy products and fresh juices.

"Foreign dairy producers dried up the market of raw milk and have obstructed our production by going to raw milk suppliers and preventing us from getting them," said Khalid bin Kalban, CEO of Dubai Investments, which owns Marmum Dairy Farm.

"The global ban on some European animal stocks made farms buy the reasonably-priced Australian cattle, though its prices were hiked by 10 to 20 per cent. Farms consequently could not meet demand.

"After Ramadan, the UAE Dairy Association wants to sign an agreement with local farms that will increase their raw milk production," said Dr. Ahmed Al Tijani, association chairman and Al Rawabi Dairy Co general manager.

"Only a few farms and dairy producers like Al Ain, Al Rawabi, Al Dighdaga and Marmum, have their own factories while many others don't. There are nine farms which do not have factories."

Tijani said most local farms do not produce extra, fearing that milk will not be sold. "There is no overnight solution in Ramadan. Local farms do not lack liquidity or financial capabilities. They only want to make sure they earn profits and not losses."

But bin Kalban felt farms either have to change cow fodder to brands yielding more milk, or buy Canadian, U.S. and and South African cattle - along with Australian.

To cover Ramadan shortages, Marmum increased shifts to three and to 24 hours. Its production is above 23,000 litres of milk per day and 8,000 litres of juices daily. Its merchandisers, through a computerised network with supermarkets, identify shortages and cover them.

"The market is growing and is promising. The number of supermarkets is rising and many work 24 hours."

Al Rawabi, meanwhile, made its marketing team work for 18 hours and withdrew quantities from some supermarkets to cover demand in others, said Tijani.

He estimated UAE local dairy production - including milk, yoghurt and laban - at more than 300 tonnes daily and fresh juices at 100 tonnes daily.

In summer, humidity reduces demand by 30 per cent and Ramadan increases it by 40 per cent.

"Marketing increases in Ramadan and offers rise at the beginning of the year. Our production level in Ramadan remained the same. It is already limited," said Dr. Moustafa Al Dourzi, Dighdaga general manager.

Ismail Hussein, Al Ain Dairy general manager, said they produce 110 tonnes of dairy products daily, including yoghurt, milk and laban. It has 300 cows and has contracts with local farms for extra supplies.