Pakistan’s decision, in the budget for 2016/17, to impose a 25% regulatory duty on the import of powdered milk and whey powder, has angered milk processors. Total duties, including 20% customs duty, now stands at 45%. Chief Operating Officer Haroon Lodhi at Haleeb Foods said the steps announced in the federal budget will lead to an increase in the cost of inputs for processors. Mr Lodhi termed the withdrawal of zero rating status as a step to marginalise the dairy processing industry. “This will be a killer as it will increase the cost by at least 10%,” he said. Small farmers, meanwhile, felt the move will directly benefit local farmers.