MANSEHRA, Jan 29: The government is spending millions of rupees on the promotion of tea production in the country. But unaccounted for business of the smuggled tea across the country is hampering its production inflicting heavy loss on the national kitty in terms of customs and excise duties.

Successful experiments for the local tea production were carried out in Mansehra District and a research station was set up in Shinkiari about a decade ago.  

The station acquired hundreds of acres of land in Shinkiari where it planted the commodity which proved to be the world No 2 quality of tea.

Later on, Lever Brothers Pakistan Limited established a Rs50 million tea processing plant in Dhodiyal near Shinkiari last year and started the marketing of its product.  

After such a huge investment which follows more in the pipe line, people should have been provided quality tea on cheaper rates instead of the open, loose and substandard smuggled tea. But facts are quite contrary to it.

At present only 20 per cent of the branded tea is available in the market whereas the remaining 80 per cent share goes to the unbranded substandard tea on which no taxes are paid to the government.

It seems as if all the government agencies, responsible to control smuggling and collect revenue, are equally involved in this lucrative illegal business of tea.

Now this has become a challenge for the chief of accountability cell Lt-Gen Munir Hafeez and especially for CBR chairman to expose the culprits involved in the smuggling of this commodity.

A survey conducted by Dawn shows that the rate of one kilogramme of branded tea in the international market is equivalent to Rs130. But after imposing different taxes, it is provided at Rs264 to Rs300 per kilogramme to the consumers.

One kilogramme of Lipton Yellow Label tea is available at Rs300, Broke Bond Supreme Rs264 and Tapal at Rs275.

One kilogramme of branded commodity, available for Rs130 in the international market, is provided to the consumers for Rs300 after tax. Who is responsible for the plight of the people already laden with the heavy cost of living?

The government quarters are well aware of the fact that in the past few weeks rates of loose tea in the international market have fallen between Rs25 to Rs30 per kilogramme. But the customers was not provided the relief.