Government Sets Minimum Retail Price for Tea at PKR 1200 per Kilo in Pakistan

Islamabad: The Federal Board of Revenue (FBR) has issued a notification regarding an increase in the retail price of tea in Pakistan, establishing a minimum price of PKR 1200 per kilogram. This new rate will apply to both imported and locally supplied tea throughout the country.
According to the notification, sales tax on tea imports and supplies will be collected based on this set price. Should the market price of tea exceed the FBR’s established price, additional sales tax will be levied on the excess amount.
Reports suggest that setting the minimum price at PKR 1200 per kilo could lead to further price increases in the tea market. Data from the Pakistan Bureau of Statistics (PBS) reveals that Pakistanis consumed tea worth PKR 31 billion in just two months (July and August 2023).