Pakistan Dairy Association (PDA)
Location and Structure
The Pakistan Dairy Association is headquartered in Karachi, Pakistan. It serves as a crucial platform for dialogue and coordination among stakeholders within the dairy supply chain, including dairy farmers, processors, and related industries across the country.
Financial Indicators
While specific financial metrics for the PDA are not publicly disclosed, the dairy sector in Pakistan is a major component of the national economy. Pakistan ranks as the fourth largest milk-producing country worldwide, with the industry valued at approximately $8.1 billion. This sector significantly contributes to the agricultural GDP and supports millions of livelihoods throughout the supply chain.
Important Events
Recently, the PDA has been actively involved in discussions regarding the impact of the General Sales Tax (GST) on dairy prices. The association has raised concerns that the GST on dairy products could lead to higher consumer costs, negatively affecting demand and accessibility. In response, the PDA has called for government intervention to reconsider tax policies impacting the dairy sector.
In a notable event, the PDA convened with Federal Minister for Planning, Development & Special Initiatives, Professor Ahsan Iqbal, to address challenges in the dairy sector due to the imposition of an 18% sales tax on packaged milk. This meeting underscored the industry's need for policy adjustments to alleviate economic strain on both consumers and producers.
Company Plans
The Pakistan Dairy Association is committed to advocating for policy reforms that benefit the dairy industry. The association plans to continue its dialogue with the government to address issues such as taxation, supply chain disruptions, and necessary infrastructural improvements. Additionally, the PDA aims to enhance dairy production efficiency and quality to better serve domestic and international market demands.
By taking a proactive stance, the association seeks to establish a sustainable growth framework that meets both the economic and nutritional needs of Pakistan's population. The PDA has offered a Rs50 per litre reduction in milk prices if the sales tax is decreased. The association warns of potential declines in revenue collection and industry exports if the current tax rate persists, reporting a 20% decline in sales volume since July 2024. A reduction in sales tax could boost volumes and government revenue, spur investments, and reduce reliance on the informal economy.
Modified: 2025/08/10