Pharmas reject new tax

KARACHI: The government had dropped another inflation bomb on the people by imposing a tax on medicines, an industry official said on Saturday.

“With this move, medicines will also no more be in the reach of common man,” said Khawaja Shahzeb Akram, Senior Vice President Federation of Pakistan Chambers of Commerce and Industry (FPCCI).

He was addressing an emergency meeting with officials of Pakistan Pharmaceutical Manufacturers and Distributors at the FPCCI’s Regional Office. “The government has introduced a complex tax system in Budget 2021-22, which is not feasible and as a result, retailers are not buying drugs.”

Akram added that due to non-purchase of medicines by the retailers, they were not available in the market.

On this occasion, officials of Pakistan Pharmaceutical Manufacturers and Distributors said if the government did not provide relaxations in the new tax system, it would not be implemented. Akram said because of lack of sales of there was a huge risk of non-availability of medicines in the market. He said this taxation-led increase in prices of medicines after electricity and gas tariffs was highly condemnable and the government must revise its decision.