A study was conducted to assess the potential of establishing small-scale dairy processing schemes that would bring development and economic growth, alleviate poverty and enhance the standards of life of the Namibian livestock rearing population. Lessons were deducted from the Zimbabwe Smallholder Dairy Development Program (DDP). Secondary data was collected at Nyarungu DDP head Quarters and the NPC, DVS, DEES in Namibia. A structured questionnaire was also used to collect data to assess the potential for milk production in Otjinene.