Islamabad: A new proposal to revise the 18% GST on dairy products is gaining attention, as policymakers aim to provide meaningful relief to consumers. The move reflects growing concern over rising food costs and the financial pressure on households.
According to official sources, Federal Minister for Commerce Jam Kamal Khan chaired a high-level meeting to review the challenges faced by the dairy sector. During the session, stakeholders discussed taxation issues, production barriers, and long-term growth strategies. As a result, the proposal to reduce the 18% GST on dairy products emerged as a key recommendation.
Meanwhile, a delegation from the Pakistan Dairy Association, led by Shehzad Amin, presented detailed insights into the sector’s current difficulties. They highlighted how high taxes and tariffs have slowed growth and increased the burden on producers and consumers alike. Therefore, industry representatives strongly supported revising the 18% GST on dairy products to stabilize prices.
In addition, the meeting focused on improving milk production. Experts emphasized the need to enhance livestock genetics to boost yield and quality. At the same time, officials encouraged farmers to shift from traditional practices to modern, business-oriented models. This transition, they noted, could strengthen the supply chain and improve efficiency across the sector.
Furthermore, the Commerce Minister directed authorities to prepare a comprehensive plan for the development of the dairy sector. He assigned Rana Ahsan Afzal to lead consultations with all stakeholders and finalize actionable proposals. Consequently, the government expects a structured roadmap that supports both producers and consumers.
Another important suggestion is to launch pilot projects in major cities. These projects would promote the sale of pasteurized and packaged milk only. As a result, authorities aim to improve food safety standards and consumer confidence and announce to give relief of 18% GST on dairy products.
In the meantime, Jam Kamal Khan stressed the importance of financial inclusion for farmers. He called for better access to banking services and funding opportunities. Moreover, he announced plans to engage provincial leadership to ensure coordinated reforms nationwide.
Overall, the proposed revision of the 18% GST on dairy products could bring significant relief if implemented. However, final decisions will depend on further consultations and policy approvals.
