Govt Decides to reduce taxes on edibles to tackle rising inflation

ISLAMABAD: Prime Minister Imran Khan on Monday chaired an important meeting to discuss measures to tackle rising inflation across the country.

According to sources, the prime minister was briefed on rising inflation in the country and discussed the effects of a recent hike in petroleum products.

During the meeting, Prime Minister Imran Khan directed the ministries concerned to take measures to make the prices of essential items stable. He also ordered ministers to make sure implementation on price control committees.

Sources privy to the development said the PM Imran-led meeting also decided to reduce taxes on essential commodities in order to control inflation.

The premier also asked federal ministers to keep an eye on the artificial inflation in their constituencies.

“Strict action should be taken against the perpetrators involved in the artificial inflation,” he said while issuing directives to ministers.

Earlier, addressing a press conference in the federal capital, Federal Minister for Planning and Development Asad Umar said that the recent rise in inflation is not a local but a global issue.

The markets all over the world had shut down in the wake of the Covid outbreak and the supply side has conceded setbacks that caused the demand-supply equation to impair, Asad Umar said in a press conference today.

Of the hiking petrol prices, he said the crude oil cost has surged to $81.5 in the international market after which we raised petrol prices 17.5 per cent.

“Sales tax on edible oil will be cut from 17 percent to 8.50 percent, customs duty per ton to be halved and additional customs duty will be abolished,” he said.

Asad Umar said a program has been prepared to extend targeted subsidy on essential commodities to the marginalized segments of the society.  He said Prime Minister Imran Khan will share details of this program in the next few days.