The prices of wheat flour and sugar have been increased by Rs 10 Rs 25 per kilo with immediate effect after the government withdrew import tax waivers, Essential Food Importers Association said.
Last week, the import duty waiver on wheat flour was withdrawn. The duty waiver was introduced during the previous government when the custom import levy was brought down to Rs 3 a kilo from Rs 15-16 in January 2020.
The Ministry of Finance, Economic Stabilisation and National Policies informed the Customs Department about the decision in terms of Section 19A of the Customs Ordinance.
In December 2019, shortly after the then government came into power, the consolidated tax of Rs 36 a kilogram on imported wheat flour was replaced with the Special Commodity Levy (SCL) of Rs 8 a kilogram through a gazette notification. This denied billions of rupees to the government coffers as state revenue.
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