When Diana Makobe Mlamila struggled to find safe, quality milk for her family, she saw more than a personal challenge. She saw a business opportunity that could help her community. In 2018, she set up DEA Traders, a dairy trading operation in Kahama District, Shinyanga Region, which initially sold milk and other beverage sourced from nearby companies. But Diana had bigger dreams of delivering safe, high-quality milk while also creating opportunities for local dairy farmers.
In 2020, DEA Traders started producing its own products on a small scale, beginning with packaged water and dairy processing. At that stage, milk processing was approximately 50 liters per day. Like many growing businesses, the journey was far from easy. Diana’s business depended on unreliable electricity and expensive diesel generators to preserve the milk.
As demand for safe, high-quality dairy products increased, the business expanded steadily, reaching a processing capacity of approximately 800 liters per day by 2023. However, rising energy costs and frequent power outages continued to disrupt operations, increasing the risk of milk spoilage and limiting the company’s ability to meet the growing dairy market. Diana needed a smart solution to scale her business.
A Clean Energy Investment
In 2024, Diana partnered with MEDA’s Feminist Entrepreneurs Growing Green Economies (FEGGE) project, which promotes women’s economic empowerment and climate-smart business in Tanzania’s dryland regions. Working with FEGGE, Diana was able to install a solar-powered cold storage system, a climate-smart investment that transformed DEA Traders’ business operations.
Through the Innovation Grant from the FEGGE Project, with funding from Global Affairs Canada, DEA Traders invested in a renewable energy solution that reduced monthly electricity costs from approximately TZS 3 million to TZS 1.5 million (1134 to 567 USD/1595 to 797 CAD), cutting energy expenses by 50% and ending reliance on diesel generators. The improved and reliable cold storage system significantly reduced milk spoilage, stabilized production and enabled the company to consistently meet customer demand throughout the year, enhancing both profitability and business sustainability.
With lower operating costs and improved operational efficiency, the business was able to scale production and supply more customers consistently. As a result, DEA Traders increased annual production volume to 648,000 MT in 2024 and 684,000 MT in 2025, making it one of the largest dairy processors in Shinyanga Region. This growth reflects the role of improved efficiency, reliable cold storage, clean energy and stronger market linkages in enabling the enterprise to expand sustainably. And the benefits extend well beyond the factory gates.
Creating Jobs During Drought
Through the FEGGE project Main grant interventions, DEA Traders supported farmers by providing equipment like milk cans and spray pumps, enabling them to support consistent milk production during drought periods. This stronger relationship between producers and processor has created a more resilient and reliable dairy value chain.
Today, DEA Traders contributes to local economic growth with 21 permanent jobs, including 15 held by women entrepreneurs, while supporting more stable livelihoods across the dairy value chain.
Strengthening Farmer Livelihoods and Climate Resilience
Beyond its own growth, DEA Traders is strengthening the wider dairy ecosystem by working with 899 dairy farmers, including 842 women entrepreneurs. These farmers have received practical support to improve productivity, milk quality, animal health and resilience to climate-related shocks.
- Climate-smart production: Farmers were trained in fodder cultivation using drought-resistant grasses, improved animal husbandry, reduced overgrazing and better cowshed management.
- Improved herd management: Eligible farmers accessed artificial insemination services using proven sex-synchronized techniques.
- Targeted support for women entrepreneurs: Through a lottery system, 102 cows belonging to 102 women entrepreneurs in nine selected villages received artificial insemination services. The cows are currently reported to be approximately five to seven months pregnant.
For Diana, the transformation extends beyond business growth. The company’s revenue increased by 13.8% — from TZS 594.4 million in 2024 to TZS 676.7 million in 2025 (from 224,726 to 255,841 USD/from 311,554 to 354,692 CAD). This increase has strengthened financial stability for both the business and Diana’s family, improved market opportunities for hundreds of dairy producers, and contributed to a more resilient local economy supported by clean energy and sustainable agricultural practices.
Her story illustrates how targeted investments in renewable energy, enterprise development and women’s entrepreneurship can unlock sustainable growth. By reducing costs, increasing productivity, strengthening market linkages, and improving resilience to climate challenges, FEGGE has helped build a dairy enterprise that is not only growing a business but also helping to build thriving households across Kahama.
