ISLAMABAD: A Senate Standing Committee on Commerce, chaired by Senator Anusha Rahman, was told that over 2.8 billion liters of petrol and diesel are smuggled into Pakistan from Iran each year, ARY News reported.
As per details, the committee was informed that the smuggling resulted in a staggering revenue loss of Rs270 billion annually.
The committee’s briefing revealed that tax evasion worth Rs751 billion is occurring across five key business sectors, primarily due to the sale of smuggled and counterfeit goods in the market.
The pharmaceutical sector is particularly affected, with 40 percent of medicines identified as counterfeit or substandard, leading to tax evasion of Rs60-65 billion annually.
The tire industry is also heavily impacted, with 60 percent of tires sold in Pakistan being smuggled, causing a Rs106 billion revenue shortfall.
Additionally, 30 percent of tea sold in the country is smuggled, resulting in a Rs10 billion annual loss. The briefing highlighted weak enforcement and high duty tariffs as the primary drivers of this illicit trade, urging stronger measures to curb smuggling and tax evasion.
Also read: Smuggled Iranian diesel, goods worth million confiscated in Karachi
Last year, the law enforcement authorities conducted a crackdown at Hub River Road in Karachi and seized smuggled goods worth millions including Iranian Diesel.
According to the Deputy Inspector General (DIG) Asad Raza’s statement, a total of five individuals were apprehended in connection with the illicit trade while smuggled goods, worth billions were seized from their possession.
As per DIG South, the confiscated goods were discovered concealed within two buses and an oil tanker meanwhile, among the confiscated items were cigarettes, cloth, copper, juice, and dry milk, indicating a diverse range of illicit goods being trafficked through the area.
