Milk them, then cap them
EDITORIAL: Dairy and livestock farmers demanding a seat at the policy table are asking for something considerably more fundamental than another increase in the official price of milk. Their complaint goes to the economics of producing it. Feed, fodder, electricity, medicines, vaccines, labour and transport all carry costs that producers must absorb, while government price controls can restrict…
Pakistan's dairy and livestock farmers are demanding a seat at the policy table, arguing that current price controls do not accurately reflect the costs of producing milk. According to the Business Recorder, these farmers face significant expenses such as feed, fodder, electricity, medicines, vaccines, labor, and transport, which are all absorbed by the producers, while government price controls restrict what they receive for their final product.
The issue extends beyond dairy farms, as livestock contributes 62.45 percent of agricultural value added and 14.64 percent of GDP in Pakistan. The Pakistan Kissan Ittehad has proposed a transparent assessment of milk-production costs and a farm-gate price of Rs250 per litre with a 25-30 percent profit margin, which should be determined through a comprehensive exercise involving farmers, dairy experts, and relevant institutions.
Brief written by urgent.news from Business Recorder's own syndicated text. Machine-written — may contain errors; check the original before relying on it.