Minister Jam Kamal Khan Proposes Slashing Dairy GST to 10% for Consumer Relief.
GST reduction on dairy products Pakistan
Federal Minister for Commerce Jam Kamal Khan has directed the preparation of a formal proposal to reduce the General Sales Tax (GST) on dairy products from 18% to 10%. The move is aimed at providing direct relief to consumers while supporting the formalization and growth of the national dairy industry.
Meeting with Pakistan Dairy Association (PDA)
The directive was issued following a high-level meeting on Monday, April 13, 2026, between the Minister and a delegation from the Pakistan Dairy Association (PDA).
- Export Ambitions: The session focused on strategies to transform Pakistan’s dairy sector from a largely informal industry into a “global export powerhouse”.
- Nutrition Focus: Reducing taxes is seen as a mechanical necessity to lower the retail price of milk and other dairy essentials, prioritizing public nutrition.
- Industrial Support: The PDA highlighted that a lower GST would encourage the documentation of the sector and improve the competitiveness of processed dairy products.
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