Following the recent federal budget, which introduced several new taxes on essential items, there has been a notable increase in packaged milk prices across various brands.
The budget includes an 18% general sales tax on packaged milk, leading to higher consumer costs. For instance, the price per litre of packaged milk from the Olpers brand has escalated from Rs 295 to Rs 370, representing a 25% increase. Consequently, consumers now face an additional cost of Rs 50 per litre, translating to an extra Rs 1500 per month for regular users.
Read: Impact of New Federal Budget on Cement Prices in Pakistan 2024
The price surge in packaged milk prices has sparked criticism from the public and journalists alike, including Shahbaz Rana, who shared details of the new pricing. Industry experts warn that the 18% sales tax on packaged milk could severely impact the dairy sector, potentially shrinking it by up to 70% unless the government reconsiders the tax hike.
Despite these challenges, a social media user has expressed optimism that certain brands, such as Nurpur and Fauji Foods, will not raise their prices in response to the new tax regime.
