Tax discount on sugar imports extended

Published
This file photo shows a bowl of sugar. — Reuters/File
This file photo shows a bowl of sugar. — Reuters/File

ISLAMABAD: The Federal Board of Revenue (FBR) has extended tax concessions on the import of white crystalline sugar, aiming to stabilise domestic prices and ensure adequate supply in the market.

The FBR has issued SRO527 of 2026 to retain a reduced sales tax rate of 0.25 per cent on imported sugar, compared to the standard 18pc, while also revising the value-added tax structure to continue concessional treatment until February 28, 2026.

This decision is in line with the government previous decision to extend income tax concession on sugar imports, which was notified through SRO455 of 2026 released on March 5. As per this decision, the government allowed imp­orters to pay income tax at a reduced rate of 0.25pc.

In July 2025, the government has introduced the concession scheme. Since then, it has been extended multiple times, first until September 30, 2025, and later to November 30, 2025.

The government has already allowed commercial imports of up to 500,000 tonnes of sugar under specified conditions.

Sugar imports are being facilitated through the Trading Corporation of Pakistan as well as approved private sector entities under the supervision of the commerce ministry. Authorities have made it mandatory for consignments to undergo strict quality verification through internationally recognised inspection firms.

Officials said the extension is intended to maintain price stability and prevent shortages.

Published in Dawn, March 20th, 2026

Follow Dawn Business on X, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Editorial

Beyond headcounts
Updated 11 Jul, 2026

Beyond headcounts

WORLD Population Day has traditionally prompted discussions on population growth and fertility rates. This year’s...
Relying on remittances
11 Jul, 2026

Relying on remittances

NO matter how important workers’ remittances are, the record inflow of $41.6bn in FY26 should remind us of the...
Official passports
11 Jul, 2026

Official passports

OUR lawmakers’ sense of entitlement is jarring. Through a set of three laws, the MPAs of KP have quietly granted...
Balochistan carnage
Updated 10 Jul, 2026

Balochistan carnage

THE security situation in Balochistan remains alarming, with a recent uptick in terrorist violence resulting in a...
Misusing land
10 Jul, 2026

Misusing land

THE Federal Constitutional Court’s ruling that land acquired for a specific purpose cannot later be converted into...
India’s film ban
10 Jul, 2026

India’s film ban

IN India, creative boundaries are tight. Its far-right regime prefers facts fictionalised and communities demonised...