Sectoral competitiveness: Aurangzeb discusses revenue reforms, measures with PTC

ISLAMABAD: Federal Minister for Finance and Revenue, Senator Muhammad Aurangzeb, held a meeting with a delegation of Pakistan Tobacco Company (PTC) here on Monday to discuss revenue reforms and measures aimed at enhancing sectoral competitiveness.

The delegation was led by Usman Zahur, Area Director (APMEAC) & General Manager Pakistan, and included senior representatives from marketing, corporate affairs and fiscal affairs, according to press release issued by finance ministry.

On the occasion, the minister outlined the government’s broader fiscal reform agenda focused on strengthening revenue mobilization, broadening the tax base, improving enforcement, and enhancing transparency through technology-driven systems.

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He noted that ongoing reforms in tax administration centered on people, processes, and technology are aimed at improving compliance, reducing leakages, and ensuring fair revenue collection across the economy.

The Minister highlighted that enhanced enforcement measures, supported by digitization, technology-based monitoring systems, and coordinated operations by relevant agencies, are contributing to improved compliance and revenue collection in several sectors.

He noted that enforcement actions in industries including sugar, cement, beverages, textiles, and tobacco are helping address illicit and undocumented economic activity.

The Finance Minister reiterated that revenue mobilization and effective enforcement remain central to the government’s fiscal reform agenda and emphasized that while the government was committed to ensuring policy consistency and strengthening compliance, all sector-specific proposals would be evaluated in line with broader fiscal objectives and economic priorities.

The meeting also discussed export potential and investment opportunities within the tobacco sector and related value-added products.

Earlier, the PTC delegation appreciated the government’s reform and enforcement initiatives and shared views on the tobacco sector, including excise taxation, illicit trade, market dynamics, and export competitiveness.

The delegation acknowledged recent actions against illegal and non-compliant operators and emphasized the importance of a stable and predictable taxation framework to support formal sector growth and sustainable revenue generation.

The delegation highlighted Pakistan’s role as a regional manufacturing and export base for certain product categories and shared perspectives on international market opportunities.

Discussions also covered regulatory and taxation issues, sectoral competitiveness, market trends, and the importance of strengthening enforcement to reduce the share of illicit products operating outside the documented economy. Both sides exchanged views on coordinated enforcement mechanisms involving federal and provincial authorities.

Discussions further included regional experiences relating to enforcement, taxation models, and regulatory practices in comparable markets.