Islamabad: The federal government has reduced custom duty on flavoring powders for food preparation from 11 percent to 3 percent.
According to Finance bill 2022, the custom duty on import of flavoring powders for food preparation would be 3 percent if imported by Sales tax registered manufacturers of snacks subject to IOCO quota determination till June 2023.
Earlier, the customs duty on the import of flavoring powder for food preparation was 11 percent.
According to information, Ismail Industries Limited, a company of finance minister Miftah Ismail, is also importing flavoring powder.Â
On the other hand, Pepsico is the biggest importer besides Unilever, Shan foods and Abdul Malik Paracha’s companies are also importing flavoring powder.
Overall, Pakistan has imported more than 4 billion rupees of flavoring powder in the last fiscal year 2021-22.
Sources claimed that the federal govt has reduced custom duty on this item to encourage local manufacturing in Pakistan. “Different manufacturers have started preparing local food items from milk, coffee, bakery products; sweets, so that this step will encourage local production and save foreign exchange”, sources added.
According to details, Ismail Industries Limited is one of the largest food companies in Pakistan, manufacturing a wide range of confectionery items, biscuits, snacks and packaging films under the brand names of Candyland, Bisconni, Snack City and Astro films respectively
Finance minister Miftah Ismail a few days ago told this scribe that his company does not import this item and the government has reduced custom duty on request made by Lays.
Business News