Dairy farmers in Karachi have hinted at a potential increase in milk prices due to what they describe as double tax collection on dairy animals by local authorities, as reported by ARY News.

The farmers claim that the administration has raised the tax on dairy animals by Rs 100 to Rs 700 per animal in areas such as Gadap Town, Super Highway, and other regions.

They also noted that the administration in Ibrahim Hyderi Town is collecting a tax of Rs 400 per animal.

A spokesperson for the dairy farmers stated that the combined tax burden, including a Rs 1100 entry fee per animal, is unsustainable and may force them to raise prices for milk and other dairy products.

Earlier in June, Commissioner Karachi set new milk prices following discussions with the Dairy Farmers Association.

According to the official notification, the retail price of milk was increased to Rs 220 per litre, a rise of Rs 20 per litre. The wholesale price was set at Rs 205 per litre, while the price for dairy farmers was fixed at Rs 195 per litre.

It’s worth noting that dairy farmers in Karachi had previously requested a price increase even as petroleum prices were decreasing. The recent price adjustment was made after an agreement was reached between the Commissioner of Karachi and the dairy farmers.

As part of the agreement, dairy farmers are required to adhere to the official pricing, and any violations will lead to enforcement actions.

The agreement also stipulates that milk sellers cannot request further price increases until December 31.

Additionally, the purchase and sale rates must be clearly displayed at all points of sale, and the quality of milk from farms to retailers must be maintained.

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