LAHORE: The dairy sector has urged the government to toughen up the regulatory regime for the import of milk powder and related products with more duties for the revival of local industry.
“Customs and regulatory duties on import of milk powders and whey powders should be raised from existing 45 percent to 100 percent and such import should be regulated through strict veterinary health and food safety standards,” a policy paper comprising proposals for the federal budget 2018-19 recommended.
“Moreover, zero-rating status should be re-transposed for raw milk and milk products by moving these products into 5th schedule of Sales Tax Act 1990.”
It proposed the livestock farming should be treated as part of agriculture and hence all the facilitation meant for the overall sector should also be applicable to the animal breeding.
“These facilities include reduced electricity tariffs, income tax exemption, waived and/or reduced duties & taxes on machinery and raw material etc,” the budget proposals compiled by University of Veterinary & Animal Science (UVAS), said.
The sector also recommended the government to reduce cost of production, duties and taxes on import of raw material such as feed items, dairy machinery and consumables for the livestock/dairy farming sector should be abolished or reduced. “With a view to attract investment in livestock sector, prices of milk and meat should be de-capped and be determined on demand and supply framework to trigger investments and improve quality with rationalisation of prices in medium- to long-term,” the sector stressed.
