The company behind Prema feels that the dairy industry can become a cash cow over time.
The most important thing to understand about the market for milk in Pakistan is that the vast majority of Pakistanis are still only one or two generations removed from having a personal memory of having seen a cow being milked for their daily supply of milk.
Fresh milk, to the Pakistani mind, involves as few steps as possible between the cow’s udders and the glass into which the milk is poured. Is this scientifically illiterate claptrap? Yes. Is this an undeniable prejudice that shapes how Pakistanis think about what they like in their milk? Also, yes.
Hence we get a supply chain that is still far more primitive than it should be. Pakistan is one of the largest milk producers in the world. The supply chain of milk is made up of millions of litres of milk that moves from the rural areas to the cities through a chain of middlemen. Every morning, you can see gawalas or milkmen whizzing around on their bikes with steel containers strapped to each side, knocking at each door and making their deliveries. The consumers get the milk and then boil it at home as they cannot trust where the milk came from and how much is actually milk.
“This article was first published in Profit magazine under Pakistan Today on June 5th 2026 in its 405th issue. The article has been authored by Zain Naeem who is an associate sector analyst at Profit working on listed companies and capital markets.”
