PESHAWAR: Khyber Pakhtunkhwa Governor Faisal Karim Kundi on Thursday demanded a fair distribution of tobacco revenue for Khyber Pakhtunkhwa.
“Though the province produces the largest share of tobacco in the country, it is not receiving its due financial benefits from the industry’s profits and taxes,” he told Fakharuddin Khan, the Secretary Pakistan Tobacco Board, at the Governor’s House here. The secretary briefed the governor on the Board’s ongoing projects, institutional capacity, tobacco cultivation, exports, and revenue generation.
Officials informed the meeting that tobacco is cultivated in several districts of Khyber Pakhtunkhwa, including Swabi, Mardan, Charsadda, Malakand, Mansehra and Buner. They said tobacco is grown on 21.25 million hectares across Pakistan, generating an annual income of Rs320 billion and providing livelihood opportunities to around 1.2 million people.
The governor was further informed that during fiscal year 2024-25, Rs483 billion were contributed to the federal government in the form of Federal Excise Duty and Sales Tax from tobacco cultivation, sales and exports.
The governor termed the tobacco industry highly significant for the province’s economy and business activities, stressing that the taxes and profits generated from the sector should be spent on the development of KP.
He urged the authorities concerned to take effective measures for safeguarding farmers’ interests, promoting transparency, and introducing modern agricultural practices so that local growers could benefit while strengthening the national economy.
