Poultry Prices Likely to Rise Following Government Tax Proposal

8 June 2016, at 6:00am

PAKISTAN - The prices of poultry products are likely to increase after the government, through the budget for 2016-17, proposed enhancing sales tax from 5 to 10 per cent on certain ingredients used for poultry feed.

Finance Minister Ishaq Dar said in the budget speech that though concessionary rates of customs duty and sales tax on major poultry feed ingredients like soybean meal and vitamin premixes shall remain intact, rate of sales tax had been increased on certain ingredients of poultry feed, TheNews reports.

Experts said that the proposed measure would push the prices of poultry products up, in case, the sales tax was to be increased.

Similarly, another item, which is believed to affect the food basket, is the proposed withdrawal of zero-rating on stationery and inputs and imposition of general sales tax.