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ISLAMABAD: Pakistan Polypropylene Woven Sack Manufactures Association has proposed the government that QR code-based Track and Trace System (TTS) will eliminate the practice of fake and flying invoices by enforcing digital invoices and transmission of real time QR code data through IRS fulfilling a major demand of IMF.

In a letter to Secretary Finance, Imdad Ullah Bosal, copies of which have also been sent to Prime Minister, Finance Minister and top brass of FBR, the Association’s Chairman, Iskandar Khan has said that he has been persistently insisting to implement the QR-Code printed polypropylene bags for the sugar sector and despite our opposition, FBR opted for affixing imported paper based QR-Code stamps under the Track and Trace System for the sugar industry.

According to him, Track and Trace system with paper stamps resulted in complete failure due to following reasons;(i) auto stamps applicators provided by the vendors failed, as a result, manual QR-Code paper stamps affixation was allowed, facilitating the use of counterfeit paper stamps; (ii) during stacking, loading-unloading and transportation, paper stamps got badly worn out or peeled off, making it impossible to read/ verify the QR code; and (iii) since paper stamps are imported, its an unnecessary wastage of foreign exchange.

Need stressed to implement much delayed TTS

Secretary Finance and other authorities have been apprised that compared with the existing situation of Track and Trace System, mandatory printing of QR-Code on polypropylene bags produced for all industrial packaging will be supported with digital invoices for the online data transfer to FBR having following advantages: (i) QR code-based TTS will eliminate the practice of fake and flying invoices by enforcing digital invoices and transmission of real time QR code data through IRS fulfilling a major demand of IMF; (ii) Polypropylene bags manufacturers shall only produce and sell bags with the printing of unique QR code authorised by FBR and supported by digital invoice for all industrial packaging. This beside documenting the packaging industry, will eliminate the highest levels of illicit trade that eats up 20% of Pakistan’s formal economy because of the combination of high taxes, ineffective enforcement and poor documentation of economy; (iii) enforcing mandatory printing of QR codes on bags will document all industrial sectors which uses polypropylene bags for packaging, including sugar, flour mills, wheat, fertiliser, rice mills, feed mills, cement and chemical industry etc; and (iv) printed QR codes on the laminated portion of polypropylene bags will be resilient and will not wear out during stacking/ loading and transportation and will be easily read and verified with a mobile device application, ensuring compliance of Track and Trace System.

“We hope that our proposed QR code printing solution on the polypropylene bags that will document the economy based on use of technology will be implemented in letter and spirit,” said Iskandar Khan.

Copyright Business Recorder, 2024

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