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Pakistan’s Curse For Locals, Increases taxes On Wheat Flour Heavily

Rampant inflation and heavy sales tax in Pakistan have severely impacted wheat affordability for the lower-income population, prompting flour mill strikes to boost profits.

Pakistan’s Curse For Locals, Increases taxes On Wheat Flour Heavily

The rampant inflation and heavy sales tax imposed upon all commodities by Pakistan have now become a matter of severe concern for the general public.

The lower-income section of the country, which was already suffering from increasing prices of almost every commodity in the Pakistani market, now faces a crucial issue of affordability for wheat, which is a major part of Pakistani food.

While referring to a strike called upon by the flour mill union in the Punjab Province, Pakistani journalist Ejaz Ul Haq Saeedi said, “The strike is nothing but a way for the flour mill owners to increase their profit margins as they now have stored a significant amount of wheat of our country. As a result, several mills have stopped their operations and the most affected section of society in this scenario is the poor or lower income group.”

He further mentioned that the flour mill owners had not purchased the wheat from farmers at government-approved rates. The price of wheat was decided at PKR 3900 per 40 kgs but it was purchased at merely PKR 2300 per 40 kgs, so now on what basis they are protesting against the sales taxes.

“The sales tax will not affect the mill owner as it will be further recovered from the final consumer. And this consumer is already in problem from high taxes on other commodities like milk, grains and other things. How will a person who earns PKR 35000 to PKR 50000 per month manage his bills and living expenses? As there is no commodity left which is not heavily taxed. The government had previously taxed the normal people but then just to justify the heavy taxation policy they taxed the rich mill owners but that too will burden the common man. However, the fact still remains that the facilities and other remunerations given to government officials have increased significantly. Yes, there is a need for taxes on businessmen but there must be a relief for the general public,” the journalist added.

Saeedi also mentioned, “The general public is in no way involved in this anti-tax protest as they are the ones who will be affected the most. It is all a loophole found by the flour mill owners to increase their profits. The public cannot bear this anymore; slowly and gradually their temper will blow up. If you impose heavy taxes on food items then what will the common man do? The one per cent population of Pakistan which may earn PKR 3-4 lacs in salaries per month can also not afford to give a lavish lifestyle to his family of four. The states that have a lot of wheat will now face a severe situation and the general public will be affected.”

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