PESHAWAR: Out of 13 tobacco companies that have been following track and trace system introduced by the Federal Board of Revenue (FBR), 12 are based in KP, says a press release.
Recently, the FBR has signed the trace and track agreement with three cigarette manufacturers to curb illegal sale of cigarettes, Tariq Shaikh, Project Director Track & Trace, has told media.
He also stated that Track & Trace system is a game changer for the industry to overcome the losses to the tunes of billions of rupees to the national exchequer.
Meanwhile, Khyber Tobacco Company (KTC) has already implemented track and trace by fixing tax stamps on its products, and has become the first national company in Pakistan to become fully compliant.
KTC, being the first nationwide manufacturer to adopt and implement the system, is expected to contribute approximately Rs1.8 to Rs2 billion in tax contribution in FY 2021-22.
“This contribution (in tax) makes KTC the first nationwide company to achieve this target,” sources said.
Commenting on KTC’s success model, industry experts said that they expect that other local manufacturers will also emulate KTC’s example both in terms of following the system, quality and contribution to national exchequer.