MULTAN: Leaders of ACT Alliance Pakistan, including Zahoor Joiya, Mubashar Akram, Arshad Nazir Bhutta, Ali Azhar, Dr. Muhammad Aslam, Zahida Khan, Shaista Bukhari, Sajida Qamar, and Anjum Patafi, have voiced grave concerns regarding the detrimental impacts of illegal trade on the local, provincial, and national economy.
Addressing a dialogue titled “Illegal Trade and Its Adverse Effects on the Local, Provincial, and National Economy” at a local hotel, they highlighted that illegal trade in Pakistan has reached alarming proportions, with an annual estimate of approximately $68 billion.
Tax evasion has surged beyond $21 billion, and smuggling exceeds $3 billion.
Furthermore, nearly 80 percent of products, especially in urban centers and rural areas, are counterfeit. These statistics underscore the urgent need for solutions, as ACT Alliance views this as economic terrorism against the state and its citizens.
Zahoor Joiya commended ACT Alliance’s initiatives in raising awareness and fostering cooperation against illegal trade. “ACT Alliance’s efforts to engage local leaders and spread awareness about illegal trade are laudable.
The business community in Multan recognizes the challenges posed by illegal trade and is committed to collaborating to eradicate this menace,” said the speakers.
The dialogue revealed that the petroleum sector’s tax evasion amounts to PKR 996 billion annually, PKR 500 billion in the real estate sector, and PKR 310 billion in the tobacco sector. Despite these troubling figures, the government has unfairly targeted international tobacco companies for higher taxes, while the majority of local companies evade taxes. Civil society leaders expressed profound concern over this imbalance and urged the government to take decisive action against tax evaders and those involved in the illegal trade of tobacco products.
The speakers stressed that if Pakistan could recover even 25% of the losses incurred due to the illegal economy, it would result in billions of dollars of investment in national and local development projects, directly benefiting the people of Multan.
