Afghanistan welcomes abolition of sale tax on fresh fruit import

By Tahir Ali | Gwadar Pro Sep 26, 2021

ISLAMABAD,Sep.26(Gwadar Pro) - The Islamic Emirate of Afghanistan (IEA) aka Afghan Taliban has welcomed Islamabad’s decision of exempting sales tax on fresh fruit exports from Afghanistan.

Afghanistan Foreign Ministry spokesperson Abdul Qahar Balkhi welcomed the decision in a statement and said the development was the result of successful negotiations between officials of the two countries. “Pakistan has exempted previously levied 17% sales tax on fresh fruit exports from Afghanistan,” he stated.

According to Abdul Qahar Balkhi, the abolishing of tax on fruits would “increase trade and transit, and further facilitation between the two countries”.

The Federal Board of Revenue (FBR), Pakistan on Friday issued a circulation announcing the Tax Law (Third Amendment) Ordinance 2021. "Sale tax shall not be collected on fresh fruits imported (except apples PCT 0808, 1000) from Afghanistan," reads the circulation.

Afghanistan is famous for producing high-quality fruits like grapes, pomegranates, apples, melons, etc.

Muhammad Sadiq, Pakistan's Special Representative for Afghanistan, said in a Tweet, "As an indication that Pakistan's foreign policy has moved to a geo-economic emphasis, sales tax on fruits imported from Afghanistan will have zero percent sales tax from today. This will significantly help Afghan traders and farmers".

On Friday, the Task Force of the Executive Committee of Pak-Afghan Parliamentary Friendship Group recommended zero tariffs for the traders of Afghanistan to support Afghanistan technically, to enhance their trade, and to continue the supply of essential food items for Afghanistan in this time of need. "Facilitating Afghanistan brethren by relaxing all complex procedures would further deepen the relationship between both brotherly countries," Shahzad Arbab, Special Assistant to Prime Minister Imran Khan on Establishment told the Task Force.

According to experts, as China-Pakistan Economic Corridor (CPEC), Belt and Road Initiative (BRI) are prompting regional economic ties, Afghanistan can benefit from using CPEC’s Gwadar port for transshipment trade.

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