ISLAMABAD: The government of Pakistan has reduced taxes and duties on approximately 7,000 imported items in the new fiscal year, supporting various sectors, including industry, livestock, and food.
As per the notification issued here, the regulatory duties on raw materials for the industrial sector have been lowered to promote manufacturing.
- For livestock and poultry, import duties on breeding animals and chickens have been cut to 5 percent.
- Imported live fish, including codfish, now face a reduced duty of 5 percent, while frozen fish carries a 17.5 percent duty. Fish heads, tails, and skins also see a duty reduction to 5 percent.
- Dairy products, including milk, powdered milk, yogurt, cream, butter, and milk fats, now have a 20 percent import duty, while cheese duties are reduced to 40 percent and honey to 24 percent.
- In the food sector, canned boiled and frozen vegetables, dried vegetables, and dried bananas now face duties of 5 percent and 10 percent, respectively.
- Imported dates and fresh apples have duties lowered to 20 percent and 24 percent, while fresh peaches are at 36 percent.
- Wheat flour, maize flour, and corn now carry a 20 percent duty. Betel leaf imports are set at Rs400 per kilogram.
- Cocoa products, pasta, and cornflakes have been reduced to a 20 percent duty, and pineapples to 40 percent.
- Bulk coffee imports now face a 15 percent duty. Additionally, motor spirit duties are cut to 10 percent, while carbon dioxide, magnesium, and nickel duties are reduced to 2.5 percent.
- Imported varnish, paint enamel, and lacquer duties have also been lowered to 5 percent, aiming to ease costs and stimulate economic activity
Also read: Here’s how much taxes Pakistanis pay on petrol
In a separate development, earlier finance Minister Muhammad Aurangzeb announced significant changes to Pakistan’s vehicle import policies.
In a Senate Finance Committee meeting chaired by Saleem Mandviwala, the minister said that the commercial import of vehicles up to five years old will be permitted, subject to a 40% duty, starting September 2025.
Additionally, under the baggage scheme, individuals who have resided abroad for at least 700 days will be allowed to import such vehicles.
The minister outlined a phased reduction in duties for imported used vehicles. From July 1, 2026, vehicles older than five years can also be imported, with the duty reduced to 30%. This duty will further decrease to 20% from July 1, 2027, and to 10% from July 1, 2028. By July 1, 2029, the duty on imported used vehicles will be completely eliminated, dropping to zero.
