LAHORE: Hundreds of flour mills across the country resumed normal operations from Sunday after postponing their nationwide strike over the imposition of withholding tax till July 22, state broadcaster Radio Pakistan said.
The Pakistani nation breathe a sigh of relief as the supply of flour has resumed after the deadlock between the Flour Mills Association and the government came to an end.
The strike had left many citizens worried about the availability of essential food items, with fears that an extended strike would make living conditions unbearable, especially for the poor. “The stock was completely exhausted. If the strike had not ended, there would have been a crisis,” one shopkeeper from Samanabad said Sunday.
Flour millers call off strike for 10 days
Citizens expressed their gratitude to the Chief Minister for resolving the strike, emphasizing the need for government intervention to control inflation and curb the influence of mafias. “The government should take measures to prevent such strikes in the future,” one citizen remarked. Another added, “Inflation has already made life difficult.”
The leadership of the Flour Mills Association was convinced in the negotiations under the direction of Punjab Chief Minister Maryam Nawaz.
Flour Mills Association will not go on strike in Punjab against the imposition of withholding tax. Hundreds of mills across Pakistan went on strike on Thursday on the Pakistan Flour Mills Association’s (PFMA) call which represents over 900 mills, against a new 5.5 percent withholding tax imposed on the sales of flour mills in the federal budget for the fiscal year 2024-25, which came into effect on July 1.
The PFMA says the government has also directed flour mills to collect another 2.5 percent withholding tax on the sale of essential commodities to retailers (non-filers) and 2 percent from wholesalers (non-filers). The association says millers also now have to collect 0.5 percent withholding tax on the sale of flour from retailers (filers) and 0.10 percent tax from wholesalers (filers).