Papua New Guinea's first dairy products will be available on store shelves in 18 months’ time.
The rundown Ilimo Farm outside Port Moresby will be redeveloped into a dairy farm at a cost of K90 million. It will house 500 cows.
The farm is located on Sogeri road in the Kairuku-Hiri electorate of Central Province.
The signing of the agreement was done this morning in Port Moresby by the developer, Innovative Agro Industry, the National Government and Central Provincial Government.
IAI chairman Ilan Weiss said the development of the project will start in the coming 60-90 days and in the next 12-18 months, the farm will supply the Port Moresby market.
This is a public-private partnership.
"Innovative Agro Industry will invest 50 percent of the cost, the State 20 percent and Central Provincial Government 30 percent," Weiss said.
Central Governor Kila Haoda said the project will benefit his people through employment and spin-off activities.
The farm will buy stock feed to feed the cows from local farmers.
Caption: The run down Ilimo Farm.