{"id":3697,"date":"2025-06-29T11:04:59","date_gmt":"2025-06-29T11:04:59","guid":{"rendered":"https:\/\/www.peakpoint.pk\/en\/2025\/06\/29\/cheap-milk-farming-issues\/"},"modified":"2025-06-29T11:08:33","modified_gmt":"2025-06-29T11:08:33","slug":"cheap-milk-farming-issues","status":"publish","type":"post","link":"https:\/\/www.peakpoint.pk\/en\/2025\/06\/29\/cheap-milk-farming-issues\/","title":{"rendered":"We Can\u2019t Sell Expensive Milk Cheap\u201d: Dairy Farmers Decry Budget Tax Burden, Demand Urgent Relief"},"content":{"rendered":"

LAHORE \u2013 Small-scale dairy farmers across Pakistan have raised a powerful voice against what they describe as systematic economic exploitation following the federal government’s latest budget. In a press conference held at the Lahore Press Club on Saturday, June 28, leaders of the Dairy and Cattle Farmers Association of Pakistan (DCFAP) denounced heavy taxation on the dairy sector, warning of severe consequences for the country\u2019s food security if immediate relief measures are not introduced.<\/em><\/p>\n

Speaking to a packed room of farmers, journalists, and stakeholders, Chief Organizer Shahbaz Rasool Warraich and Commercial Group President Muhammad Islam Ashraf Butt sharply criticized the new tax policies, calling them a direct attack on the backbone of Pakistan\u2019s livestock economy. Citing national data, they emphasized that the livestock sector contributes nearly 60% of the country\u2019s agricultural GDP and sustains millions of families.<\/p>\n

Despite this crucial role, small dairy farmers are now under immense financial pressure due to skyrocketing costs of fodder, veterinary medicines, feed, and electricity. The recent imposition of sales tax has further escalated their burdens, forcing many to shut down their operations. \u201cWe are producing milk at high cost but are expected to sell it cheap. That is not sustainable,\u201d said Warraich.<\/p>\n

The protestors pointed to a key disparity in taxation policy: while corporate farmers are allowed input tax adjustments, small farmers\u2014many of whom are already struggling\u2014are now doubly taxed, both on inputs and on milk sales. Butt called this policy \u201ceconomic murder\u201d of small farmers and warned of an imminent collapse of the dairy supply chain if corrective action is not taken.<\/p>\n

One of the starkest warnings issued during the conference was the potential for a nationwide milk shortage. The association leaders cautioned that if milk pricing is not adjusted based on supply and demand, small farmers will be unable to sustain production. The result, they predicted, would be milk selling at over Rs. 300 per liter\u2014placing further strain on already burdened consumers.<\/p>\n

To avoid such a crisis, the DCFAP presented the following demands to the government:<\/p>\n