A delegation from the Pakistan Dairy Association met with Federal Minister for National Food Security and Research, Rana Tanveer Hussain, to discuss key challenges faced by the dairy sector. The meeting highlighted the pressing issues of the industry, including the 18% General Sales Tax (GST) on packaged milk and the need for investment in dairy farms to boost milk production. Minister Rana Tanveer Hussain emphasized that Pakistan is among the leading milk-producing countries, with an annual production exceeding 70 million tons. However, he acknowledged that the sector requires strategic investments and policy reforms to unlock its full potential. The minister stressed the need to facilitate the Pakistan Dairy Association (PDA) in investing in dairy farms, which would not only increase milk production but also improve the overall quality of dairy products. He reaffirmed the government's commitment to addressing the challenges in the dairy sector, particularly reviewing the impact of the 18% GST on packaged milk, which has led to increased costs for consumers and financial strain on dairy processors and farmers. The PDA delegation urged the government to reconsider the GST on packaged milk, citing its adverse impact on affordability and investment in the sector. Minister Rana Tanveer Hussain assured that the Ministry of National Food Security and Research would consult stakeholders and explore ways to support the industry, ensuring that any tax relief directly benefits both consumers and dairy farmers. Furthermore, Minister Rana Tanveer Hussain reaffirmed his commitment and resolve to pursue policy and taxation reforms in the dairy sector in line with global best practices. He emphasized that aligning Pakistan’s dairy industry with international standards would boost investment, ensure sustainable growth, and enhance the competitiveness of local dairy producers in the global market. Minister Rana Tanveer Hussain concluded that without the development of the dairy sector, achieving self-sufficiency in food security would remain a challenge. He reaffirmed that investment in dairy farms is crucial for enhancing milk production and ensuring high-quality dairy products. The government will work towards policy reforms to modernize the dairy industry and stabilize milk prices through consultations with stakeholders.
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