The author of this article Dr Muhammad Mohsin Kiani is the sector specialist for livestock and food security at the Planning Commission of Pakistan, Ministry of Planning, Development and Special Initiates, Islamabad.
Pakistan’s economic trajectory shall be defined strategically to enhance productivity, technological upgrading and global market integration. Pakistan’s export sector stands at a crossroads grappling with structural challenges and untapped opportunities.
Structural barriers leads to export stagnation including a combination of policy distortions, market inefficiencies, and administrative bottlenecks. Addressing these challenges is essential for unlocking growth and improving export competitiveness. To avail the opportunities, the country must prioritize advancements in productive capacity, efficiency and technological capabilities to drive higher output and global competitiveness.
Pakistan’s livestock sector remains a dynamic and resilient sector of Pakistan’s economy contributing 63.6 percent to agriculture’s value addition and 14.97 percent to the country’s GDP at constant market prices in FY 2024-25. The gross value addition of the livestock sector increased by 4.72 percent over the previous year.
Additionally, the livestock sector accounts for approximately 2.9 percent of total exports through the trade of meat, live animals, and animal-based products. The current livestock population includes 230 million ruminants and over 2.2 billion poultry birds, producing 58 billion liters of milk, 06 billion kg of meat, and 26 billion eggs annually contributing to the national food security and export enhancement.
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The global halal market for the livestock products including milk, meat and poultry products is around 200 billion USD. There is a significant export potential for halal meat and value-added products, targeting the Middle East, Asia, and Africa. Meat exports reached $511M in FY 2023-24, a 20% YoY growth.
The country ranks among the top 10 global beef/veal producers, gaining access to China and Malaysia. Middle Eastern and Gulf markets offer untapped opportunities for halal meat. In comparison to leading beef industries, Pakistan, s average carcass weight for beef animals is 125 kg compare to USA (370 kg), Australia (290 Kg), New Zealand (160 kg) and Brazil (250 kg).
It is due to the lack of specified beef breeds and limited adoption of feedlot fattening technology in the meat production system. It can be optimized to gain 180 kg through efficiency in production and adopting the best globally practicing technologies i.e., calf milk replacer in calves weaning, backgrounding and feedlot fattening.
The 30 % underweight slaughtering of beef calves is a significantly economic loss of the national resource base and may necessitates consideration for a policy decision on minimum slaughtering weight for beef animals in meat industry.
To boost export growth to its true potential, the Ministry of Commerce has identified the meat product line as one of the national priority sectors for the export strategic trade policy framework. The vision is “to develop the Pakistani meat industry with the highest food safety and halal standards to serve international markets with value-added products”. Over the past 20 years, Pakistan’s meat industry has seen substantial private-sector investment in processing, enabling it to meet global demand with diverse products.
The country now has 35 FS-certified export abattoirs, some offering advanced packaging for value-added, longer-lasting products. With an annual capacity of 247,500 tons of beef and 82,500 tons of mutton, the sector’s output is valued at $1.65 billion. Pakistan produces 10-12 million young cattle and buffalo calves annually, but 30% die early, leaving 8-9 million for supply. Improved feeding and feedlot fattening could add 500,000 tons of beef (180 kg avg. carcass weight), unlocking $2 billion in potential—far exceeding the current $500 million exports.
The global halal market for the livestock products including milk, meat and poultry products is around 200 billion USD. There is a significant export potential for halal meat and value-added products, targeting the Middle East, Asia, and Africa. Meat exports reached $511M in FY 2023-24, a 20% YoY growth. The country ranks among the top 10 global beef/veal producers, gaining access to China and Malaysia. Middle Eastern and Gulf markets offer untapped opportunities for halal meat.
In comparison to leading beef industries, Pakistan, s average carcass weight for beef animals is 125 kg compare to USA (370 kg), Australia (290 Kg), New Zealand (160 kg) and Brazil (250 kg). It is due to the lack of specified beef breeds and limited adoption of feedlot fattening technology in the meat production system.
It can be optimized to gain 180 kg through efficiency in production and adopting the best globally practicing technologies i.e., calf milk replacer in calves weaning, backgrounding and feedlot fattening. The 30 % underweight slaughtering of beef calves is a significantly economic loss of the national resource base and may necessitates consideration for a policy decision on minimum slaughtering weight for beef animals in meat industry.
To boost export growth to its true potential, the Ministry of Commerce has identified the meat product line as one of the national priority sectors for the export strategic trade policy framework. The vision is “to develop the Pakistani meat industry with the highest food safety and halal standards to serve international markets with value-added products”. Over the past 20 years, Pakistan’s meat industry has seen substantial private-sector investment in processing, enabling it to meet global demand with diverse products.
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The country now has 35 FS-certified export abattoirs, some offering advanced packaging for value-added, longer-lasting products. With an annual capacity of 247,500 tons of beef and 82,500 tons of mutton, the sector’s output is valued at $1.65 billion. Pakistan produces 10-12 million young cattle and buffalo calves annually, but 30% die early, leaving 8-9 million for supply. Improved feeding and feedlot fattening could add 500,000 tons of beef (180 kg avg. carcass weight), unlocking $2 billion in potential—far exceeding the current $500 million exports.
The dairy sector is an important component of Pakistan’s economy, with milk’s value exceeding that of wheat, rice, maize, and sugarcane combined. Pakistan ranks at 3rd place in in overall global milk production, but only 2nd in buffalo milk. However, milk production accounts for only 5.5% of the global total due to low yields (1.62 tonnes/animal annually— compared to 62 % of the world average). The average yearly production of milk was 48m MT in 2018-19 and to 58m MT by FY25, reflecting steady growth rate of 3.0 % annually.
As a result of various dairy development and policy initiatives over the last two decades, the commercial dairy sector lead by the private sector has been developed resulting improvements like the enlargement of herds and import of high-quality milk germplasm, the increased productivity per animal and farm mechanization.
Over 12,000 commercial dairy farms have developed in the last two decades along with 38 milk processing and value addition plants established in the country having a daily capacity of 2.18 million liters milk processing and product development for retail and export markets. However, the small holder production system is still on low yield due to poor genetics and conventional practices but accounts for about 80 percent of the national milk production.
The supply chain in dairy industry consists of raw milk sales contributing 90% and 10% of milk is processed into pasteurized /UHT milk. Farmgate prices remain competitive, with a zero-rating regime maintaining affordability. However, the downward pressure on prices by the government, aimed at keeping milk prices affordable for the public pose challenges for producers.
According to the data provided by animal husbandry commissioner office, M/o national food security and research, Islamabad, total and species wise milk production available for human consumption for last 1.7 decades is in below figure.
The figure shows consistent increase in the yearly production of the milk however the data is derived from the base calculation of the livestock census held lastly in 2006.
The main trade and policy barriers in the dairy sector include issues at the policy level, such as price capping, which discourages an enabling environment for private sector investment, and the fact that livestock is not treated as an industry, preventing access to relaxed duties, taxation, and soft loans aimed at increasing production and creating an export surplus of milk value-added products.
To boost dairy exports to $1.5B – $2B in the medium term, key policy interventions require deregulating milk prices, recognize the dairy sector as industry to avail soft loans and relaxation in duties and taxation and curb smuggling of milk powder. Furthermore, key development initiatives require genomics and sexed sorting technologies, standardize the vaccines development, tightening quality standards and developing infrastructure for milk pasteurization and value addition in the potential milk clusters.
Pakistan poultry industry remains one of the most vibrant and rapidly evolving industry. In FY 2025, the sector’s gross value added is estimated at Rs 923.5 billion, reflecting its dynamic role in the agricultural economy. With an average annual growth rate of 8.1 percent over the past decade, Through product diversification and innovation, the Pakistan poultry sector may introduce innovative ready-to-cook and ready-to-eat products in addition to expanding the product range in export markets. Likewise, Pakistan’s export of fish and fisheries products has seen consistent growth, reflecting rising global demand for seafood, earning approximately US$ 318.9 million in export revenue for three quarters in FY 2024-25.
Development of value chain like fish hatcheries, commercial fish feed and training is needed to develop this sector to enhance the exports.
The Planning Commission of Pakistan has crafted a distinctive economic transformation plan “Uraan Pakistan” focusing on the 5Es: Exports, E-Pakistan, Environment & Climate Change, Energy & Infrastructure, and Equity & Empowerment, aimed at propelling Pakistan towards a prosperous future in the country.
The 5E framework provides a strong economic foundation and encompasses the initiatives and multi prolonged strategies to address the overall challenges for Pakistan’s socioeconomic development. Under the 5E framework, export, climate change and food and water security have been identified as the key drivers for the sustainable economic growth of the country.
In line with this vision, the federal government has approved a national program for Animal Disease Surveillance, FMD Control and Animal Track and Traceability – in Compliance with National and International Standards for 7.3 billion rupees in the public sector development program 2025-26. The program will target “end-to-end” disease control for using immunization, digital disease surveillance and traceability for major diseases, including control for Foot and Mouth disease in compliance with international standards.
The program will enable the private sector investment to improve the productivity and quality of meat and livestock products in the domestic and international markets.
It will also support compliance with sanitary and Phyto sanitary standards for export markets. Furthermore, the Pakistan Bureau of Statistics (PBS) is implementing the 7th Integrated Agricultural Census on agriculture, livestock and machinery and the final report is expected by the end of 2025.
It will support the informed policy decisions for the sectorial development and exports enhancement. In line with the Uraan Pakistan vision, the key initiatives including standardized vaccine production, sexed sorting and genomics technologies and relevant policy reforms will be taken to boost the livestock sector in the next five years.
The future road map for sustainable export growth in the livestock sector lies in value chain clusters to help business nurturing , technology transfer, and cost efficiencies for cost and quality compatibility with global markets. Furthermore, facilitation of entrepreneurship for youth , strengthening public-private collaboration and consultative forums comprising policymakers, industry leaders, and academia working to refine regulatory frameworks and export promotion strategies.
Together, these initiatives may form a cohesive blueprint to unlock the livestock sector’s export potential, impart national food security and economic stabilization with long-term global integration.