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Cement Rates Increased by RS 50 Per Bag Due to High Sales Tax

After the government imposed revised tariffs on all goods as part of emergency measures to satisfy additional revenue collection targets and release money from the International Monetary Fund, cement manufacturers increased prices (IMF).

In order to pass along the effects of the increase in federal excise duty (FED) and sales tax, cement companies, according to JS Research, have agreed to raise prices by about Rs. 50 per bag.

Read More: Global Rise in Coal Prices May Increase Cement Rate in Pakistan

Depending on the locale, prices in the North may range from Rs. 1,070 to 1,130 per bag after the rise. Prices in the upper north will be closer to the lower end of the spectrum.

It is important to note that the government has suggested raising the FED on cement from Rs. 1.50 to Rs. 2 per kg under the Finance (Supplementary) Bill, 2023.

The IMF’s revenue requirements resulted in the increase today. The lender views higher taxes as a form of collateral for releasing up to $1.1 billion in bailout funds to Pakistan.

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