The paper assesses the extent of under nutrition in the poorest segments of society in Pakistan and identities its determinants. It evaluates the impact of various income and price policies followed. The data for this study is drawn from a longitudinal survey of rural Pakistan. Simple headcount index shows that about 25 percent of the households in the sample are undernourished . However, this percentage drops to a very low level when it is measured by intensity-sensitive indicators because the proportion of severely undernourished is quite low. The estimated income and price elasticity are low and are comparable to earlier studies, Sensitivity analysis results indicate that a small subsidy on wheat price to the poor may be quite effective in improving their nutritional status.