Industry Giants Under Scrutiny for Tax Evasion

The rapid growth of a key consumer sector in Pakistan, exceeding 20%, is concerning as it resists taxation and shifts the burden onto end consumers. The Finance Minister's proposal to remove locally produced infant formula and fortified nutrition milk from zero-rated products has sparked industry backlash. Some industry representatives blame traders for non-compliance, while others highlight Pakistan's malnutrition crisis. This collective push aims to pressure the government to revise its tax policies.

Notably, criticism from organizations like UNICEF and WHO has raised concerns about conflicts of interest in food governance. Despite past efforts by the government to curb such influences, the industry continues to operate unchecked due to financial clout and influential connections. Rather than exploiting vulnerable populations for profit, the industry should prioritize public health.

Reports of industry giants flouting regulations, such as adding excessive sugar to formula milk, and distorting scientific facts to support their claims, underscore the need for Islamabad to take decisive action to address child malnutrition. Manufacturers must fulfill their tax obligations instead of expecting financially strained parents to compensate.

The issue of taxation in the infant nutrition industry in Pakistan is a complex one, with implications for both the industry and public health. It is crucial for the government to address these challenges promptly to ensure the well-being of children and families across the country. By holding manufacturers accountable and revising tax policies, Pakistan can take a significant step towards promoting a healthier future for its citizens.