Pakistan Government extends duty free sugar import deadline


Pakistan has extended duty and tax exemptions on sugar imports until November 30, 2025, to stabilize supply and prices. The FBR’s revised notification maintains reduced sales tax at 0.25%, waived customs duty, and lowered withholding tax. Imports up to 500,000 MT will follow Commerce Ministry oversight and international quality checks.
ISLAMABAD : The federal government has extended the deadline for duty and tax exemptions on sugar imports by two months, allowing importers to bring in sugar without incurring duties or taxes until November 30, 2025.
The Federal Board of Revenue (FBR) issued a revised notification confirming the extension, amending its earlier directive from July 2025. Initially, the exemption was set to expire on September 30, but officials have now pushed the deadline to accommodate market needs and stabilize domestic supply.
FBR officials explained that the original exemption aimed to address a shortfall in sugar availability by permitting the import of up to 500,000 metric tons. Under the previous notifications, income tax and sales tax rates were significantly reduced, while customs duty and three types of value-added taxes were waived.
Specifically, the sales tax on white crystalline sugar was lowered from 18 percent to just 0.25 percent. Additionally, the three percent value-added tax was removed, and the withholding tax rate was set at 0.25 percent. Customs duty on the designated sugar quantity was also fully exempted.
The latest notification reiterates that these incentives will remain unchanged, with the only modification being the extended deadline. Importers now have until November 30 to benefit from the reduced tax rates and duty waivers.
According to the conditions outlined, the Ministry of Commerce will oversee the import process either through the Trading Corporation of Pakistan (TCP) or by granting permission to private sector entities under specific quotas and guidelines. These measures are designed to meet both immediate and future demand within the stipulated timeframe.
To ensure quality control, the Ministry of Commerce will engage an international inspection firm to verify the standards of imported sugar.
This extension is expected to provide relief to consumers and help stabilize prices in the domestic market, while also supporting the government’s broader strategy to manage essential commodity supplies effectively.
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Source : Minute Mirror
