LAHORE, October 20 (ABC): The Punjab government plans to invest Rs1 billion in a dairy mechanization project to provide subsidized machinery and equipment to 6,400 farmers across all 41 districts of the province over the next two years, aiming to reduce milk losses, improve productivity and modernize dairy farming.
Under the proposed scheme, the government will bear 60% of the cost of eligible machinery, while farmers will contribute the remaining 40%. The subsidy will be capped at Rs500,000 per beneficiary.
Dr Muhammad Naeem Kanwar, Director General (Production) at the Punjab Livestock Department, told Wealth Pakistan that Rs461 million had been allocated for the project in the current fiscal year, while the remaining funds would be provided during FY2027-28.
“The two-year project aims to reduce reliance on manual labour and minimize production losses through mechanization,” he said.
Dr Kanwar said the initiative was primarily designed to help farmers overcome weaknesses in the dairy supply chain, particularly inadequate milk-handling and cold-chain facilities that lead to spoilage and financial losses.
Punjab accounts for approximately 74% of Pakistan’s total milk production, making improvements in storage, refrigeration and transportation essential for strengthening the dairy sector.
The province also plays a major role in the national agricultural economy, contributing 62% to agricultural GDP and 14.04% to national GDP, besides generating foreign exchange through dairy and meat exports.
According to the latest agricultural census data, Punjab has a livestock population of 104.2 million animals, including 29.56 million buffaloes, 26.97 million cattle and 31.31 million goats.
Dr Kanwar said the province had considerable potential to develop a more productive and competitive dairy sector through greater mechanization and improved farm management.
Scheme covers 11 categories of dairy equipment
The proposed project covers 11 categories of livestock and dairy machinery, including single- and double-cluster milking machines, a four-animal bucket milking system, 50-litre milk-cooling cans, and milk-heating tanks with capacities ranging from 160 to 200 litres for yoghurt production.
Other equipment includes milk chillers, butter churners, semi-automatic packing machines, weighing scales, 13-tonne total mixed ration (TMR) feed wagons and mechanical cattle crushes.
Dr Kanwar said the project would also provide training and technical assistance to farmers and relevant personnel to improve equipment use and farm operations.
According to the proposed district-wise allocations, Faisalabad will have the highest number of beneficiaries, with up to 335 farmers expected to receive support during the two-year period.
Rahim Yar Khan follows with 322 beneficiaries, Bahawalnagar with 284, Sargodha with 270 and Okara with 267. Lahore has an allocation for 138 farmers, while Murree has the smallest allocation, with 10 beneficiaries.
Farmers will submit applications at the tehsil level, where officials will scrutinize them before selecting eligible applicants through electronic balloting at the district level.
The project will also engage consultants to finalize machinery specifications, prequalify suppliers, conduct inspections and strengthen the technical capacity of those involved in implementation.
Dr Kanwar said dairy farming remained a major source of food, employment and income for millions of rural households, besides supplying raw materials to the food-processing industry.
For many farming families, milk sales provide a regular source of income throughout the year, while cattle and buffaloes serve as valuable household assets and provide manure for agricultural land.
“As most livestock in Punjab are owned by small and resource-constrained farmers, the two-year project is expected to help them become more economically empowered,” Dr Kanwar said.
