{"id":7404,"date":"2026-01-19T14:02:25","date_gmt":"2026-01-19T09:02:25","guid":{"rendered":"https:\/\/vetnewsandviews.com\/en\/?p=7404"},"modified":"2026-01-19T14:02:26","modified_gmt":"2026-01-19T09:02:26","slug":"dairy-superfood-business-investment-challenges","status":"publish","type":"post","link":"https:\/\/vetnewsandviews.com\/en\/dairy-superfood-business-investment-challenges\/","title":{"rendered":"Dairy as a Superfood: Investment Opportunities & Industry Challenges"},"content":{"rendered":"\n

Author: Dr. M Ali Hamza<\/strong>
mali.hamza@yahoo.com<\/p>\n\n\n\n

Agriculture is a backbone of the Pakistani economy, employing a large chunk of the workforce, and livestock is an especially critical component. Pakistan is among the top milk producing countries. Although large amounts of raw milk are produced, much of it is informal: loose, unregulated, often of variable hygiene and quality.<\/p>\n\n\n\n

Problems include microbial contamination, <\/a>adulteration with water or non-milk substances, lack of cold chain, and unsafe packaging. These contribute to food safety risks and undermine nutritional potential.<\/p>\n\n\n\n

On the other hand, dairy offers what some describe as a \u201csuperfood\u201d because milk naturally contains many essential nutrients: high-quality protein, calcium, phosphorus, vitamins A, D, B12; depending on fortification, zinc, magnesium, etc. Studies in Pakistan have repeatedly shown that nutritional deficiencies like stunting, wasting, underweight in children, as well as anaemia in women are extremely high. Packaged, safe milk consumption can help reduce many of these. Pakistan Dairy Association (PDA) has emphasized in various seminars and national dialogues that \u201csafe milk, safe nation\u201d is a theme that ties food safety, nutrition, business and public trust.<\/p>\n\n\n\n

Business and Investment Opportunities<\/strong><\/p>\n\n\n\n

For foreign and domestic investors, the dairy sector in Pakistan\u2014particularly formal, safely processed and packaged dairy\u2014holds substantial opportunities like investment in processing plants, packaging technology, value-added products like cheese, butter, yogurt, milk powder, camel milk powder, fortified milk and more. With a population of over 240 million consumers, models with social impact and clear nutritional outcomes can receive favourable attention and may qualify for incentives.<\/p>\n\n\n\n

The Gulf Cooperation Council (GCC) countries are a major export destination for Pakistan; however, these markets have limited local dairy production due to environmental and climate constraints. Qatar, for instance, heavily relies on imports. Similarly, UAE, Oman, Bahrain and Kuwait import large quantities of dairy products. Saudi Arabia\u2019s dairy market alone is worth over $3.2 billion with room for certified suppliers. Pakistan\u2019s halal-certified dairy products also hold strong potential in Muslim-majority markets.<\/p>\n\n\n\n

Similarly, China has experienced rising dairy demand in the past decade, with imports of over 30 million tons worth $7\u20138 billion annually. Pakistan is geographically close and can supply halal milk powder, cheese, butter and UHT milk if quality issues are addressed. China already imports over 90% of its dairy needs, making it a strategic opportunity. With strong government-to-government collaboration through CPEC, Pakistan can capture market share in China for dairy, fodder, genetics, and even future joint ventures.<\/p>\n\n\n\n

In Africa as well, demand for safe, fortified, processed dairy is growing, particularly in urbanizing populations with rising incomes. Pakistan can position itself to export not raw milk but processed, packaged, quality-certified dairy goods, including UHT milk, milk powder, cheeses that meet halal standards. There are also opportunities in exporting feed, fodder, and inputs. Remember: dairy always depends on good inputs like animal health, feed quality, genetics etc.<\/p>\n\n\n\n

Challenges<\/strong><\/p>\n\n\n\n

While opportunities are large, Pakistan must address several challenges to unlock this potential fully:<\/p>\n\n\n\n

Taking Nutrition Deficits Seriously:<\/strong>
Large levels of malnutrition including high rates of stunting, underweight, and wasting among children under five. For example, some reports quote 43.7% stunting, 15% wasting, 31.5% underweight. Milk and dairy can help address these, but only if milk is safe, affordable, and consumed regularly.<\/p>\n\n\n\n

Affordability and Taxation:<\/strong>
In 2024, Pakistan imposed an 18% General Sales Tax (GST) on packaged milk, a policy many in the formal dairy sector say has reduced production sharply and increased cost to consumers. Some estimates say that production dropped by 20% as a result.<\/p>\n\n\n\n

Food Safety and Quality Assurance:<\/strong>
Research studies by leading Pakistani universities have shown that loose, unprocessed milk often lacks quality standards. It is frequently adulterated, handled without proper refrigeration, and loses much of its nutritional value. In many cases, consumers buying loose milk are not getting real nutrition – they may even be risking their health. Hence, it is crucial to expand milk processing infrastructure, wider use of pasteurized milk, and initiatives like \u201cSafe Milk Cities\u201d to ensure safety, traceability, and public confidence across the supply chain.<\/p>\n\n\n\n

Infrastructure & Logistics:<\/strong>
Formal dairy requires reliable cold chain, storage, transport and packaging. These are getting expensive. Foreign investors should have confidence that the government is there to ensure supply chains are efficient and resilient. Therefore, to maximise investment, business opportunities, food security, public health, and economic growth, Pakistan should:<\/p>\n\n\n\n

Remove GST on packaged milk to make formal dairy competitive; encourage investment; and enhance nutrition outcomes. Invest in cold chain infrastructure to reduce losses.<\/p>\n\n\n\n

Strengthen regulatory oversight:<\/strong>
Set strong food and safety laws; ensure that packaged milk meets standards; increase capacity building in labs, testing and certification.<\/p>\n\n\n\n

Invest in Processing & Packaging:<\/strong>
Foreign investors can bring modern technology for UHT, pasteurization, fortification, cheese production, cold storage etc.<\/p>\n\n\n\n

Export Strategy:<\/strong>
Identify key target markets in Gulf and Africa; comply with export standards; build brands; use trade shows and agreements.<\/p>\n\n\n\n

Nutrition-Focused Programs:<\/strong>
School milk programmes, subsidies or vouchers for low-income households; public campaigns promoting benefits of safe packaged milk.<\/p>\n\n\n\n

Dairy Cooperatives:<\/strong>
Government should support formation of cooperatives, learn from global models like FrieslandCampina. Improve genetics, fodder production, and hygienic milking.<\/p>\n\n\n\n

Conclusion<\/strong><\/p>\n\n\n\n

Pakistan has a chance to recommit to turning its strengths in agriculture and livestock into engines of health, wellbeing, and prosperity. The dairy sector-especially formal, safely processed milk and value-added dairy products-must play a central role. It can help reduce malnutrition, provide stable incomes for farmers, generate foreign exchange through exports, and substitute costly imports. <\/p>\n\n\n\n

Governments, investors, and development partners must see the connections between nutrition, business, public health, and trade. Pakistan\u2019s dairy sector is a rich opportunity-but it requires coherent pol<\/p>\n","protected":false},"excerpt":{"rendered":"

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