ISLAMABAD: The Economic Coordination Committee (ECC) of the Cabinet on Wednesday emphasized the importance of building strategic reserves of commodities in wake of evolving situation in Afghanistan.
(more…)Tag: sugar
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Tax on sugar retail sale to be imposed from December 01
The Federal Board of Revenue (FBR) has announced the deferral of the imposition of sales tax on the retail sale of sugar until December 1, 2021.
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Karachi Port confirms sinking of sugar cargo container
KARACHI: Karachi Port Trust (KPT) has confirmed the sinking of a container laden with sugar through a statement released few moments ago.
It is stated: “Truck loaded with sugar cargo while leaving berth number 5, East Wharf, after issuance of bilty encountered mechanical failure at around 5:20 pm today [Saturday], dated: 31.07.2021, fell in port channel.
“Driver is safe and no casualty / injury reported. Efforts are underway to recover the truck. The incident is under investigation.”
According to the sources, the container fell into the sea while handling by a trawler at berth No. 5 West Wharf of Karachi Port, sources said.
It is believed that the container, which fell into the sea, had carried around 39 metric tons of sugar about 780 bags of 50 kilograms. The sugar was imported by the Trading Corporation of Pakistan (TCP) to provide the commodity at affordable prices in the country .
The sources said that the breaks of the trawler suddenly failed and lost control. However, driver of the trawler was safe in the incident.
The monetary loss due to the incident was not ascertained at the time of filing this report but sources said that a ship MV Unity brought 33,000 metric tons of sugar from Dubai on July 27, 2021.
It was second incident within the jurisdiction of Karachi Port in ten days.
During Eid holidays a cargo ship was stuck up at sea view Karachi. This ship has not been rescued so far.
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Container carrying 39MT sugar sinks at Karachi Port
KARACHI: A container carrying around 39 metric tons (MT) of refined sugar fell into the sea from a ship berthed at the Karachi Port on Saturday evening.
The container fell into the sea while handling by a trawler at berth No. 5 West Wharf of Karachi Port, sources said.
It is believed that the container, which fell into the sea, had carried around 39 metric tons of sugar about 780 bags of 50 kilograms. The sugar was imported by the Trading Corporation of Pakistan (TCP) to provide the commodity at affordable prices in the country .
The sources said that the breaks of the trawler suddenly failed and lost control. However, driver of the trawler was safe in the incident.
The monetary loss due to the incident was not ascertained at the time of filing this report but sources said that a ship MV Unity brought 33,000 metric tons of sugar from Dubai on July 27, 2021.
It was second incident within the jurisdiction of Karachi Port in ten days.
During Eid holidays a cargo ship was stuck up at sea view Karachi. This ship has not been rescued so far.
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Budget 2021/2022: sales tax on sugar to be imposed on retail price
ISLAMABAD: The government has announced to bring sugar in the third schedule of Sales Tax Act, 1990 to impose sales tax on actual retail price.
Finance Minister Shaukat Tarin while presenting budget 2021/2022 on Friday announced inclusion of sugar in the third schedule.
He said that sugar, although not a staple food, is still a source of daily caloric intake for millions of people in Pakistan.
Recently, an unprecedented increase in the prices of sugar has been witnessed; however, this increase has not resulted in corresponding increase in revenue due to that fact that for the purposes of sales tax the value of sugar is not ad-valorem but specific that is Rs.60 per kg, which is considerably below the actual market price of the commodity.
To address this anomaly, sugar is proposed to be included in the Third Schedule to the Sales Tax Act so that tax is charged on actual retail price of the product.
This measure would not only ensure due payment of tax but also help in putting a more effective price control mechanism.
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SBP issues guidelines for processing sugar import at concessionary tax rates
KARACHI: State Bank of Pakistan (SBP) on Monday issued guidelines for banks to process application for import of raw sugar at concessionary tax rates.
The SBP said that the government had allowed 300,000 metric tons of raw sugar to be imported by sugar millers at reduced withholding tax rate.
The central bank further said that the ministry of commerce had issued a public notice in this regard.
To comply with the public notice, the banks should process the requests of the sugar mills for import of raw sugar under the aforementioned Public Notice subject to the following:
Import may be allowed to Sugar mills who have been issued quota by the Ministry of Commerce under the above-mentioned Public Notice;
Import on CFR Free out basis may be allowed as an exception to the instructions given under Para 5 Chapter 13 of the FE Manual;
Advance payment up to 100% of the value of the contract/proforma invoice may be allowed, subject to compliance with other applicable foreign exchange regulations given under Chapter 13 of the FE Manual;
The SBP said that banks shall submit consolidated data of LCs issued and advance payments made, against issued quotas, to Foreign Exchange Operations Department, SBP BSC, Head Office, Karachi on daily basis.
The SBP further directed that banks shall ensure compliance with all other terms & conditions of the Public Notice issued by Ministry of Commerce and bring the above instructions to the knowledge of all their constituents for meticulous compliance. -
FBR allows income tax exemption on sugar import
ISLAMABAD: Federal Board of Revenue (FBR) on Tuesday allowed exemption from income tax on import of raw and refined sugar.
The FBR issued SRO 235(I)/2021 in pursuance to the federal cabinet decision dated January 26, 2021.
Through the SRO the FBR amended Second Schedule of the Income Tax Ordinance, 2001.
According to the amendments, the tax under Section 148 on commercial import of the white sugar shall be collected at the rate of 0.25 percent from January 26, 2021 till June 30, 2021.
Another clause added to the Second Schedule under which subject quota allotment by the commerce division, tax under section 148 shall be collected at the rate of 0.25 percent on import of raw sugar imported by sugar mills from January 26, 2021 to June 30, 2021 (both days inclusive) provided that such imports shall not exceed fifty thousand metric tons per sugar mill and three hundred thousand metric tons in aggregate by the sugar industry.
The FBR said that a new clause 12K had been inserted to the Second Schedule under which the provisions of Section 148 and Section 153 shall not apply on import and subsequent supply of five hundred thousand metric tons of white sugar imported by the Trading Corporation of Pakistan.
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FBR exempts sales tax, VAT on sugar import
ISLAMABAD: The Federal Board of Revenue (FBR) has announced an exemption on sales tax and value-added tax (VAT) for the import of 500,000 metric tons of white sugar, aiming to stabilize market prices and provide relief to consumers.
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ECC abolishes value added sales tax, reduces advance tax to 0.25pc on sugar import
ISLAMABAD: The Economic Coordination Committee (ECC) of the Cabinet on Wednesday approved removal of value added sales tax and reduction of withholding income tax to nominal 0.25 percent on import of white sugar.
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Finance minister directs monitoring consumer price of sugar
ISLAMABAD: Dr. Abdul Hafeez Sheikh, Federal Minister for Finance and Revenue, has directed authorities to monitor consumer price of sugar through the country besides focusing on stocks and supply position of the commodity.
The finance minister chaired the meeting of the National Price Monitoring Committee (NPMC) on Monday.
The finance minister directed ministry of industries and production to continuously monitor stocks of sugar, its supply position in the market and prices throughout the country for the consumers.
Minister for National Food Security & Research Syed Fakhar Imam, Federal Minister for Industries and Production Hammad Azhar, Adviser to the PM on Commerce Abdul Razak Dawood, SAPM on Revenue Dr. Waqar Masood, Provincial Chief Secretaries, Secretary M/o Industries and Production, Additional Secretary M/o NFS&R, Additional Secretary Ministry of Planning, Development and Special Initiatives, Chairman FBR, Member CCP, Chairman TCP, MD USC, Member IT/HRM & Member National Accounts from PBS and senior officers of the Finance Division participated in the meeting.
The National Price Monitoring Committee (NPMC) reviewed the price trend of essential commodities especially wheat, sugar and edible oil during the week.
Finance Secretary briefed the meeting that weekly SPI registered a decline of 0.22 percent and the main drivers behind decrease in SPI are falling prices of eggs, tomatoes, potatoes, onions and chicken. Prices of 21 basic items remained stable whereas 07 items registered a decline during the week.
The ministry of National Food Security and Research (NFS&R) apprised NPMC that all stakeholders are on board with reference to existing position of wheat stock in the country.
The Federal Minister for National Food Security and Research assured all possible measures would be taken to ensure smooth supply of wheat across the country.
The Finance Minister directed the provincial governments to follow a self-sustaining model and streamline daily release of wheat to ensure steady supply in the provinces as well as districts.
The Federal Minister for Industries and Production Hammad Azhar updated NPMC about the recent decline in international prices of palm oil which will eventually reduce the upward pressure on the prices of edible oil in the domestic market.
Member PBS updated NPMC about the benefits of recently developed dashboard of prices of essential items and progress on its implementation in coordination with the provinces.
The NPMC directed PBS to provide necessary support to the provinces to make the system fully functional for vigilant monitoring of prices of essential commodities and to remove price disparity across the country.
The Finance Minister directed M/o NFS&R to chalk out a comprehensive strategy to ensure smooth supply of wheat flour at reasonable rates for the general public.
He also urged the provincial governments to continue taking necessary steps to ensure provision of basic items at affordable prices across the country.