|Photo credit: ILRI/Stevie Mann/Flickr|
The livestock sector plays an important role in the economy of Pakistan contributing 10.8 per cent of the GDP, with milk as the largest commodity, accounting for about 51 per cent of its total value. According to household surveys such as the Federal Bureau of Statistic’s Household Integrated Economic Survey or HIES, milk and milk products account for a quarter of total household consumption. Typically, surveys such as HIES ask respondents to recall the total amount of a commodity consumed by the household in a reference period. If that commodity has not been bought then its value is imputed by applying local market prices to the amount consumed, before reporting it as part of the household budget. So the economic value of milk is measured using the yardstick of a market transaction.