Livestock is the most important sub-sector of agriculture with national GDP contribution of 10.7 % and 49.5 % to the agriculture value added. Livestock also contributes significantly towards national exports and 8.5 – 9.0 % of total exports belong to this sector. This sector provides raw material for the industry and livestock creates market and capital. It serves as a social security for the rural poor who can cash it at the time of his/her need. Livestock also provides security against crop failure particularly in barani areas. Most importantly, livestock is raised by more than 6.5 million small and landless families in the rural areas constituting their main livelihood source. Thus it is an ideal sector for investment if one would like to address poverty alleviation in the most deserving areas i.e. rural set-up.
Pakistan is endowed with a large livestock population well adapted to the local environmental conditions. Majority of national herd is maintained by small holders. The sector is confronted with many constraints and challenges. The demand for livestock products is increasing due to population growth, urbanization and economic development in the country. The current cumulative growth rate (2000-06) for livestock sector is 3.8 percent, with milk showing 3.0 % growth and meat 2.7 % in 2004-05. The demand for milk and meat is projected to grow by at least 5.0 % for milk and 6.5 % for meat in the coming years. This leaves a tremendous gap in supply and demand situation which can only be addressed by concerted and combined efforts of public and private sectors.
Genesis of LDDB
The need for an agency which can spearhead the development of livestock sector in the country has been felt for quite sometime. Ministry of Food, Agriculture and Livestock (MinFAL) presented a Livestock Development Policy to the Prime Minister in April, 2005 which also highlighted the need for development of this agency. The Prime Minister approved the concept in principle. In July 2005, Agribusiness Development and Diversification Project was launched. This project included the creation of private sector-led LDDB and had provision of Rs. 54.2 million for 5 years operation of the board. License for establishment of LDDB was obtained from Securities Exchange Commission of Pakistan (SECP) on 19-8-2005 under Companies Ordinance 1984. Certificate of Incorporation was issued by SECP on 27-10-2005 as a company limited by guarantee under Section 42.
Composition of LDDB
Board of Directors of the LDDB were nominated after a thorough consultation with all stakeholders in the country and represent different sub-sectors of livestock as well as has regional balance. The Prime Minister approved the summary of nominations of members of Board of Directors in November 2005. Board of Directors (BOD) of LDDB at present include 6 government officials (ex-officio) and 9 members from the private sector in their individual capacity. Government official on the BOD of LDDB are Secretary MinFAL, Animal Husbandry Commissioner, and 4 Secretaries of provincial departments dealing with livestock and dairy developments.