Contribution by 10 major sectors constitutes 71pc of CD collection

Updated 03 Oct, 2022

ISLAMABAD: Nearly 71 percent of customs duty collection has been contributed by 10 major sectors during 2021-22 including petroleum products, vehicles, iron and steel, electrical machinery, machinery/ mechanical appliances, edible oil, plastic resins, tea/ coffee, paper/ paperboards and oil seeds and oleaginous fruit.

According to the FBR’s report on revenue performance during 2021-22, the customs duty constitutes 16.4 percent of FBR revenue collection. Customs duties performed very well during FY 2021-22 with 35 percent growth attained in net collection as compared to the previous fiscal year.

The net collection during 2021-22 stood at Rs. 1,010.7 billion, which is Rs. 262.3 billion higher than the amount collected in the previous fiscal year.

July collection up by Rs15bn

It is worth mentioning that customs duties have crossed the Rs1 trillion mark in fiscal year 2021-22. It is evident from the data that around 71 percent of customs duty collection has been contributed by 10 major sectors. Out of these sectors, only collection on account of electrical machinery recorded a negative growth. The collection of import duty from POL products increased by 172.2 percent, vehicles by 73.4 percent, paper & paper board by 28.7 percent FBR data disclosed.

The collection base of the customs revenues is provided by dutiable imports. In this context, collection of customs duty on major items, to a great extent remained commensurate with growth in the value of dutiable imports. Overall dutiable imports grew by 56.2 percent and accordingly the customs duty increased by 35 percent, FBR report added.

Copyright Business Recorder, 2022

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