ISLAMABAD, May 16 (Alliance News): Federal Law Minister Azam Nazeer Tarar on Friday clarified that no new regulations or taxes have been imposed on tobacco crops or landowners in Khyber Pakhtunkhwa.
Responding to concerns raised in the National Assembly by lawmakers Syed Waseem and Asad Qaiser, the minister said the government, under Prime Minister Shehbaz Sharif’s leadership, is committed to promoting agriculture and supporting farmers across the country.
He noted that while two multinational tobacco companies contribute Rs 250 billion in taxes and hold 44% of the market share, local companies with a 56% share pay just over 3% in taxes. He highlighted a significant tax gap in the tobacco sector, estimated between Rs 200–300 billion.
Azam Tarar reiterated that no new taxes or regulatory burdens have been placed on tobacco growers or landowners. However, he said government oversight begins when the crop enters the processing phase.
He acknowledged the presence of some proposals related to raw tobacco but assured the House that the government understands the difficulties faced by farmers and is working to address them.
The minister emphasized the importance of agriculture to the national economy and said the prime minister has directed a focus on seed improvement and plant protection to support sustainable agricultural growth.
He concluded by stating that industries benefiting from agricultural outputs have a responsibility to contribute fairly to the national exchequer.