The recent decision taken by the government of Pakistan to impose the Federal Excise Duty (FED) on cigarette packs has been applauded by representatives of labor unions. According to them, this decision will not only protect the rights of farmers but also strengthen the economy. The representatives made these remarks during a press briefing which was held at the National Press Club in Islamabad.
The Imposition of FED on Cigarettes: A Positive Step towards Strengthening the Economy
Labour Federation President Ibrarullah, Kisan Board Pakistan General Secretary Abdul Samad Safi, and Tobacco Growers Association of Pakistan Chairman Liaquat Yousafzai were among the notable figures who expressed their support for the imposition of FED on cigarette packs. They emphasized that this would be a fair and transparent way to collect revenue, as it would be imposed directly on the product that is being sold.
Does imposition of FED on Tobacco leaf a satisfactory step?
Abdul Samad Safi also pointed out that some cigarette producers are trying to pressure the government into imposing FED on tobacco leaf, which would be unjust and would further cripple the already struggling farmers. He further added that these companies are trying to monopolize the tobacco market and do not have the interests of farmers at heart.
The representatives were also concerned about the implications of transferring FED from cigarette packets to tobacco leaf. They stressed that this action would kill the local industry, and would become the reason of unemployment of many farmers and laborers too, and lead to a decrease in productivity of product. Liaquat Yousafzai suggested that the government should ensure that the price of tobacco leaf increases with the increase in FED on cigarette packs so that farmers are relieved.
Hussain Ahmed, who is the General Secretary of Sarhad Agricultural and Rural Development Organization, expressed his support for the FED on cigarette packs and called on the government of Pakistan to provide subsidies on pesticides and fertilizers to help farmers grow better crops and fields. He noted that the government’s decision to impose FED on cigarettes has been beneficial for farmers and laborers, and it has helped them increase their yield efficiency.
Naimat Shah Roghani, who is the President of Anjuman Muhafaz-e-Haqooq-e-Kashtkaran, stressed that FED on cigarette packs is the right decision by the government. He warned that if the multinational companies try to transfer Federal Excise Duty (FED) on tobacco leaf, they will strongly condemn this decision as it is not favorable and auspicious for farmers and laborers community, so he will hold the protests against this decision. He further stated that the local industry should be protected, as it is the source of livelihood for many people.
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In conclusion, the decision to impose Federal Excise Duty (FED) on cigarettes is a step in the right direction towards strengthening the economy and protecting the rights of farmers and laborers. It is a fair and transparent way to collect revenue, this step would prove as a local industry friendly decision. Farmers and laborers community support this step of Government of Pakistan and this decision should be supported by all stakeholders, participants, and patrons. On the other hand, it is also important to ensure that the price of tobacco leaf should not increases in line with the increase in Federal Excise Duty (FED) on cigarette packs, for the reason that this decision is not favorable for farmers and laborers community as this decision would able to vanish the local industry and would be the reason of unemployment of farmers and labors. That’s why this decision is strongly condemned by the farmers, laborers and stakeholders also.
