Pakistan Considers Tax-Free Wheat Imports Amid Strategic Reserve Shortages

The federal government of Pakistan is considering exempting wheat imports from all federal taxes and duties to rebuild its strategic wheat reserves. The Ministry of National Food Security has proposed a complete waiver of federal taxes and import duties on wheat, as well as an exemption from the Provincial Infrastructure Development Cess on imported wheat.

This move aims to reduce procurement costs and address shortages in strategic reserves. According to sources, the government plans to import up to 1 million tons of wheat, with some of it coming from existing stocks held by the Pakistan Agricultural Storage and Services Corporation.

The estimated cost of supplying these stocks to provinces is around Rs. 141 billion, while the proposed wheat imports are expected to cost approximately $340 million.