ISLAMABAD - Leadership of tobacco growers of Khyber Pakhtunkhaw and officer bearers of different organizations of KP Agricultural and Rural Development have demanded of the government to provide relief to tobacco growers in the wake of coronavirus pandemic and fix advanced tax on cigarette products instead of imposing tax on growers in the KP province.
Addressing a press conference at the National Press Club here yesterday, the leadership of different organizations of tobacco growers and unions of industrial labour workers from KP including Kisan Board Pakistan, Sarhad Agricultural and Rural Development Organization, Pakistan Tobacco Workers Association, Anjuman-e-Tahafuz-e-Haqooq-e-Kashtkaran, Labours Federation stated that tobacco is the only cash-crop of KP, which has been contributing billions of rupees revenues to the national exchequer and also providing sustenance to millions of people in the province.
The advanced tax on tobacco will ruin the growers and farmers and establish monopoly of multi-national tobacco companies in Pakistan resulting massive unemployment, they said.
According to them, multinational tobacco companies use to exploit local tobacco industry and exploit local tobacco growers as they purchase tobacco from them on the cut rates.
They said that the government instead of imposing advanced tax on tobacco growers should impose taxes on cigarettes products. The leadership of growers said that proposed advanced tax on tobacco growers Rs.500/kg will ruin tobacco sector and millions of people associated with this cash-crop.
They also urged the government to retain the prevailing tax ratio without imposing advanced tax for tobacco crop.
On the occasion, President of Mehnatkash Labour Federation, Ibrarullah, said that the KP tobacco sector has been providing jobs to thousands of workers and the government should patronize this sector.
President Anjuman Tahfuz-e-Haqooq-e-Kashtkaran Haji Naimatullah said that in 2019 with efforts of Speaker National Assembly Asad Qaiser, the government had ceased advanced tax on tobacco growers, but in the budget of 2020-21, there are also suggestions to impose Rs500/kg advanced tax on tobacco which will be equivalent to economic murder of tobacco growers and farmers in KP.
President Sarhad Agricultural and Rural Development Haji Abdul Nabi said that advanced tax on tobacco will be tantamount to added burden on poor growers and farmers. He said KPK farmers own tobacco as sole cash-crop in the province, as they grows neither rice nor cotton owing to weather issues. He said tobacco sector in KPK has been providing billions of rupees tax to the government and advanced tax on tobacco farmers will ruin this sector at local level.
President Pakistan Tobacco Workers Association, Liaqat Yousafzai said that the government should impose all added and advanced tax on tobacco products (cigarettes) instead of imposing these taxes on poor tobacco growers.
He also demanded that local tobacco growers should also be include in the Pakistan Tobacco Board.
The leadership said that with implementation of added advanced tax on tobacco crop, buyers from local market will not purchase tobacco at exorbitant price and ultimately ruined local tobacco sector.