PESHAWAR:In a major crackdown against illicit tobacco production, the Regional Tax Office (RTO) Peshawar has seized undeclared machinery allegedly used for preparing tobacco for illegal cigarette manufacturing.
A team of RTO Peshawar, under the supervision of Chief Commissioner, RTO Peshawar, conducted a major enforcement operation on the night of 5th December, 2025, at a cigarette manufacturing factory in Mardan.
During the operation, M/s Universal Tobacco Company (Pvt) Ltd was found clandestinely operating undeclared plant and machinery used for the production of cut tobacco intended for illegal cigarette manufacturing.
This manufacturer produces renowned cigarette brands such as “Café” and “Ranger”. The seized machinery had an estimated daily production capacity of 6,000 to 7,000 kilograms of tobacco. If converted into cigarette production, the estimated revenue involved would amount to approximately PKR 45 million per day.
It is pertinent to note that the unit was already operating the declared machinery. However, the undeclared machinery was being used specifically for the preparation of tobacco for illicit cigarette production.
The operation was carried out by a team of RTO Peshawar led by Tariq Aziz, ADCIR, under due authorization from the concerned Commissioner. The machinery has been seized, and proceedings for its confiscation have been initiated along with the prosecution.
The enforcement team of RTO Peshawar successfully carried out the action without succumbing to any influence, demonstrating FBR’s unwavering commitment to upholding the rule of law and protecting the national revenue.
Acting on the Prime Minister’s directives to curb illegal cigarette trade, FBR, with full support from the Pakistan Army, has deployed 120 Pakistan Rangers personnel at GLT units nationwide and posted dedicated monitors under Section 40B of the Sales Tax Act, 1990, and Section 45 of the Federal Excise Act, 2005, to ensure lawful production and removal.
Such actions will help curb the menace of illicit tobacco production substantially in the coming days.
FBR remains firmly committed to eliminating illicit tobacco production and ensuring strict enforcement of tax laws across the sector.
