1. “Value addition in livestock & dairy products for socio-economic uplift“ Ibrar December 16 th 2014

4. Pakistan Pakistan Total Population180 million Avg. No. of People/ House5 No. of Household36 million Avg. Household milk consumption1.52 liters/ day Rural Milk Consumption11.8 billion liters/ annum Urban Milk Consumption07.9 billion liters/ annum Total Milk in Trade19.7 billion liters/ annum Process Industry01.3 billion liters/ annum 16.48 % of total dairy trade in urban areas 06.59 % of total dairy trade in Pakistan Informal Trade18.4 billion liters/ annum Karachi01.9 billion liters/ annum

5. 84 % 16 %

6. Which may be at a low or high cost…..

7. A product from cow can be – < Rs. 50/ kg (Plain Raw Milk) – > Rs 288 million/ kg (Lactoferrin ~90 % Pure) – > Rs 877 million/ kg (Folate Binding Proteins) Lactoferrin Concentration in milk (~1 kg/ 50000 liters) – Normal Milk20 – 2100  g/ ml – Mastitis Milk44 – 3100  g/ ml We choose….. To Add Value Milk is a white liquid comprising hundreds of thousands of moieties coexisting in an emulsion, suspension and true solution form These moieties singly or in combination can be used to form thousands of new products Raw 2 Rewarding

8. Formal Sector – UHT Milk & Non Dairy Products – Spray Dried Dairy Products – Dairy based Cereal Products – Fermented milk Products – Milk Fat based Products – Concentrated Milk Products – Frozen Dairy Products 1.1 Billion liters milk/ annum Informal Sector – Raw Milk – Milk Fat based Products – Fermented Milk Products – Concentrated Milk Products – Milk based sweetened products – Frozen Dairy Products 18.6 Billion liters milk/ annum

9. Positioning & Products 1978 - 2013

10. 2012 Pure is the New Natural Green is a Given Location, Location, Location Premium Stands Out Seniors Draw Attention Forty is the New Twenty Grounded in Science Regulators Force a Rethink Immeasurable Niches Boom for Protein 2013 The Aware Shopper Health Traffic Jam Gray but Healthy Just Say "No" "Natural" Cracks Emerge Protein Overdrive Beating the Sugar Demon Sensory Experience More with Less Interest at the Extremes Global Trends

11. Range No. of Animals/ Farm Total AnimalsTotal FarmsAvg. Animal/ Farm 0 - 5019203613 31 51 - 10043842561 78 101 - 15037697307 123 151 - 20032027176 182 201 - 2501556866 236 251 - 300959033 291 301 - 350683518 380 351 - 400554014 396 >400985616 616 Total1801581804 100

12. Major Avenues 18.4 billion liters has a potential of transformation and value addition for the ultimate benefit of consumer in terms of Health & Safety and immediate routes are: – Products – Product – Product…..

14. Present Dynamics Women involvement in Dairy production at grass root level Changing dynamics Generation-Y to urbanization Milk Production & Sales – Self Consumption – B2B Sales – Director consumer – Products

15. Farmer/ Entrepreneurial Value Addition Expectation? Additional CM of ? % Financial KPI’s  ROI ?  ROE?  IRR?  Various Models across globe  Fonterra  Land O Lakes  Amul

16. Products Milk Yoghurt Cheese Ice cream Butter Ghee Khoa

17. Value Addition at Farm Level Approach – Back to Basics Informal to formal – CRISP Cooperate Regulate Innovative Simple Processes & Products