The newly announced budget, loaded with taxes, has added more financial strain on inflation-affected citizens as wheat prices are expected to rise in Pakistan.
The Flour Mills Association has stated that due to the tax increases in the 2024-25 budget, the price of flour has gone up by Rs 5 to Rs 7 per kilogram.
In response to the tax hikes on wheat products, the Flour Mills Association has called for an emergency meeting in Lahore on Saturday. The association’s chairman, Aamir Abdullah, warned that if the government does not reverse the new taxes, a strike may be organized, which could lead to the closure of flour mills across the country.
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“The government must reconsider and withdraw the tax on wheat products. Implementing withholding tax will inevitably increase prices, impacting consumers and retailers,” Abdullah said.
The association has stated that the price of a 10kg flour bag will rise by Rs 50, with fine flour seeing a rise of Rs 7 per kilogram. Other wheat products are also expected to see major price hikes, with fine flour potentially reaching Rs 460 per sack.
Aamir Abdullah pointed out that only two percent of Pakistanis pay taxes, while 98 percent of the sales tax burden is passed on to poor consumers.
