A research report to be submitted for in partial fulfillment of the requirements for the Masters degree in Entrepreneurship ( Msc. Entrepreneurship) of Mzumbe University.This research study has focused on examine the role of creativity and innovation in commercializing the dairy sector, SHAM dairies of Morogoro has been selected as case study in assessing creativity and innovation to dairy products processors. Basically the study has take a look on three major objectives which are: Consciousness of stakeholders on creativity and innovation towards growth of the dairy sector, investigation of the creative and innovative processes involved in dairy processing, and lastly to describe the marketing structures on how they can foster creativity and innovation in dairy sector. The study is qualitative research but it also have some statistics which present the datas from the respondents on different key issues that needed some mathematical presentations, the sample size of the respondents was fifty respondents who participated in the study and they were selected by the researcher through judgmental sampling where by a researcher picks only a person who he or she thinks that might come up with the good answers of the question to be asked. In analyzing the data the statistical package for social sciences (SPSS) through regression method was applied in analyzing the information so as to build facts when it comes to discussion of the data collected and makes the positive arguments due to the relation of perceptions and statistical background of the actual experience in the field. Conclusion and recommendation which is the last chapter based on what has been observed concerning the research objectives which generated the research questions, challenges facing creativity and innovation in dairy sector and lastly the way forward for improvement.