ISLAMABAD, Apr 13 (APP): Federal Minister for Commerce Jam Kamal Khan chaired a meeting with a delegation of the Pakistan Dairy Association, led by CEO Dr. Shehzad Amin, to discuss reforms in Pakistan’s dairy sector.The meeting was also attended virtually by Rana Ihsaan Afzal, Coordinator to the Prime Minister on Commerce, along with senior officials from the Ministry of Commerce, according to a statement issued on Monday.Discussions focused on key challenges facing the dairy industry, particularly taxation, tariffs, productivity, genetic improvement, and sector formalization.
Jam Kamal Khan emphasized the importance of improving the genetic quality of dairy breeds and transitioning farmers toward a formal business model. He noted that without proper genetic development, farmers cannot achieve optimal milk production, highlighting the need for structured support, effective regulation, and farmer education.The Pakistan Dairy Association pointed out that dairy products in Pakistan are currently subject to 18 percent GST, whereas many countries impose little to no tax on such essential items.In response, the minister directed the Association to submit proposals for reducing GST from 18 percent to 10 percent. He also tasked Rana Ihsaan Afzal with working closely with stakeholders to develop a comprehensive plan.
Jam Kamal Khan further stated that he would write to chief ministers and relevant authorities to ensure coordinated efforts for implementing reforms and promoting formalization across the dairy sector.The Association also proposed financial support mechanisms, improved banking access for farmers, stricter regulations to ensure only pasteurized and properly packaged milk is sold, and pilot projects in major cities to help farmers transition into formal business systems.Additionally, the need for cross-breeding programs and farmer training was highlighted to enhance genetic quality and increase milk production.
Welcoming these proposals, the minister stressed the importance of timely implementation of a comprehensive strategy to boost productivity, ensure regulatory compliance, and strengthen the dairy sector’s contribution to the national economy.
