Re-establishing dairy sector

Pakistan enjoys the status of being the third largest milk producer in the world. However, being the biggest producer is one thing and utilising it to maximise gains from it is quite another. The ‘g

PakistanToday

December 4, 2019

3 min read

Pakistan enjoys the status of being the third largest milk producer in the world. However, being the biggest producer is one thing and utilising it to maximise gains from it is quite another. The ‘gawala’ system is still so dominant that 95% of milk sold in Pakistan is through them. The gawala system has shattered the trust of people so much so that the public now doesn’t want to buy from them. The reason behind this is the adulteration of milk using water in the best-case scenarios and chemicals at worst.

The milk sold through the formal dairy sector of Pakistan comprises only 5% which is an incredibly low proportion of the milk produced and consumed. The milk for the packaged milk industry is gathered from those local farmers who can provide higher volumes of milk. This ignores small farmers who cannot meet the minimum milk volume to sell to these packaged milk companies. In Turkey and other developed countries, the governments have formed cooperatives where farmers can earn in proportion to what they contribute. These cooperatives not only include small farmers but also help control milk adulteration to a great extent.

A big percentage of milk is wasted every year in Pakistan either because it is not stored in optimal atmospheric conditions or, as discovered by the regulatory authorities, because of adulteration. The Punjab Food Authority (PFA) has played an active role in curbing the menace of milk adulteration to this end, and as a consequence, hundreds and thousands of litres of milk that have been declared unsafe for consumption are dumped every year.

Recently, the permission has been granted by Chief Minister of Punjab Mr Usman Buzdar for the sale of pasteurised milk, which will begin from Township, Lahore as a pilot project. Pasteurisation is a process in which the milk is heated at a certain temperature for a specific period of time to kill all the harmful bacteria in it. It is the need of hour for government intervention in the provision of safe milk. Every day, in cities across the country, children are reported to be suffering from malnourishment, stunted growth, wasting and other harmful diseases which can be combatted in part through the consumption of healthy, safe milk.

Ten years ago, Turkey formalised its dairy sector by implementing a minimum pasteurisation law. Today, Turkey is amongst the ten biggest milk producers in the world, and not only it fulfils its domestic needs, but also contributes to the economy by exporting a huge quantity of milk. If Pakistan, as the 3rd largest milk producer with a 95% informal dairy sector, increases the share of its formal dairy sector, not only it will this ensure the provision of safe milk to the masses, but also contribute to economic growth and development through taxes and investments.

Growth of any industry is directly proportional to the economy and the same applies for Pakistan’s dairy sector. A lack of awareness in this regard is one of the major reasons why the packaged milk industry has failed to grow at the pace it should have. If minimum pasteurisation laws are completely implemented, these will not only help the formal dairy sector scale, but will also enable small farmers who to date are forced to sell their milk in local markets, thus subject to adulteration.

Formalisation of industry has always brought innovation, growth, and effective and efficient solutions to any problems faced. For Pakistan’s dairy sector to achieve its fullest potential, the public and private sectors will have to join forces to see qualitative and quantitative results.

MUHAMMAD AMIR

Lahore

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