The aerated beverages industry’s representatives appeared before the Senate Standing Committee on Finance and Revenue and Chairman of the Federal Board of Revenue (FBR) to seek a reduction in Federal Excise Duty (FED).
The industry presented their negative growth figures to the committee, highlighting how the imposition of 7% FED has impacted their business and led to an approximately 40% decrease in volume.
The industry’s representatives underlined that the aerated beverages industry has been a reliable contributor to the national economy, bolstering the country’s beleaguered forex reserves by an estimated US$200 million during a challenging economic period. However, recent tax measures have hindered the industry’s potential for growth, leading to a decrease in investment and revenue.
The Chairman of the Senate Committee on Finance and Revenue, Senator Saleem Mandviwalla, told the industry that he would consider the industry’s advocacy on tax relief, commenting that the sharp volume drop also adversely impacts government revenue.