No Exports, No Stability: Pakistan’s Meat and Dairy Sector Wake-Up Call for Growth.

No Exports, No Stability: Pakistan’s Meat and Dairy Sector Wake-Up Call for Growth.

Pakistan’s economy is under sustained pressure from weak export growth, a persistent trade deficit, declining foreign exchange reserves and rising external debt obligations. Despite repeated stabilization efforts, the core structural problem remains unchanged: Pakistan exports too little and relies on a narrow range of products. In this situation, expanding exports from underutilized but high-potential sectors is no longer a policy choice but an economic necessity. Among these, meat and dairy products stand out as sectors capable of delivering immediate and long-term economic relief.

Pakistan possesses one of the largest livestock populations in the world. The livestock sector contributes about 23.5 percent to national GDP, accounts for over 60 percent of agricultural value addition, and supports the livelihoods of more than eight million rural households. It also employs over 37 percent of the national labour force, making it one of the most inclusive economic sectors. Annual production exceeds 72 million tonnes of milk and nearly six million tonnes of meat, placing Pakistan among the world’s leading producers.

Yet this enormous production base is not reflected in export earnings. In FY 2023–24, meat and meat preparation exports remained around $500–520 million, while dairy exports stayed below $30 million. Combined livestock exports remain well under one billion dollars annually. Most exports are low-value or minimally processed, while weaknesses in animal health, quality compliance, cold-chain infrastructure and traceability systems continue to restrict access to premium international markets.

The contrast with global demand is striking. The global halal meat and dairy market is expanding rapidly, conservatively estimated at over $200 billion, with broader halal food markets exceeding $3 trillion. Pakistan’s current share is estimated at around 0.25 percent, despite its vast production capacity. Even a modest improvement to a 0.5 percent share could raise export earnings to around $1.5 billion annually. Achieving a 1 percent share could generate approximately $3 billion per year, while a more transformative strategy could push exports beyond $4 billion annually within a few years.

However, these targets cannot be achieved without addressing the single most critical bottleneck: animal health, particularly Foot and Mouth Disease (FMD). Persistent FMD outbreaks severely undermine productivity, reduce milk and meat yields, and block access to high-value export markets that require disease-free or controlled zones. If Pakistan genuinely aims to secure at least a 1 percent share of the global meat and dairy market, it must adopt a war-footing approach to FMD control.

A central pillar of this approach must be the installation of a local FMD vaccine production plant with an annual capacity of at least 500 million doses. Given Pakistan’s massive livestock population, dependence on imported vaccines is neither economically sustainable nor strategically viable. Local production would ensure timely availability, strain-specific vaccines, cost efficiency and nationwide coverage. Without mass vaccination at this scale, claims of export competitiveness will remain rhetorical rather than real.

Countries that have successfully built meat and dairy export industries have done so by prioritizing disease eradication, compulsory vaccination, traceability, zoning and strict quality assurance. Pakistan must follow the same path by integrating a national FMD control programme with export-oriented livestock planning, backed by strong federal leadership, coordinated provincial execution and private-sector participation. Disease-free export corridors cannot exist without a reliable and continuous supply of vaccines.

At a time when Pakistan is struggling to manage external financing needs and stabilize its economy, ignoring a sector that already contributes heavily to GDP but remains under-exported is a strategic failure. Meat and dairy exports are not a luxury; they are a necessity for economic survival.

If Pakistan is truly serious about achieving even a 1 percent global market share, it must move beyond policy statements and adopt an emergency-style national execution plan. This requires dedicated financing, institutional coordination, enforceable timelines and political ownership at the highest level. Establishing a high-capacity FMD vaccine plant, enforcing compulsory vaccination, creating disease-free export zones, strengthening traceability systems and aligning livestock policies with export objectives must become national priorities. The cost of inaction is far greater than the cost of reform: continued exclusion from premium markets, loss of billions in potential export earnings and prolonged economic vulnerability. Pakistan already has the livestock resources the world demands; what it now needs is the urgency, discipline and strategic resolve to convert that abundance into sustainable export-led growth and long-term economic stability.

Dr Alamdar Hussain Malik
Advisor Veterinary Sciences
University of Veterinary and Animal Sciences, Swat
Former Financial Adviser, Finance Division
Government of Pakistan

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