Muhammad Irshad Khan, chairman of the Tobacco Action Committee Khyber Pakhtunkhwa, rejected the government’s recent tobacco tax measures and demanded their immediate withdrawal during a press conference at the National Press Club Islamabad. He warned that continuous increases in tobacco tax have pushed farmers, labourers and the local tobacco industry into a severe crisis.
Khan said current government policies are inflicting irreparable damage on the sector and insisted on immediate tax relief for growers. Speaking alongside the organisation’s general secretary Nawab Ali and members Muhammad Shahid Khan and Iqbal Khan, he made it clear that failure to roll back tobacco tax hikes and provide relief would force organised and sustained protests across the province.
Highlighting concerns over export levies, Khan criticised the Federal Board of Revenue for imposing taxes on tobacco exports, a move he said runs counter to international practice and undermines foreign exchange earnings. He argued that export taxes disrupt the supply chain and harm both growers and industry players, and therefore called for a complete removal of export taxation on tobacco.
The committee also pointed to changes in FBR’s tax slab structure. Previously three slabs existed—two aimed at multinational companies and a third for the small industry—but the third slab has been removed and only two slabs remain. Khan demanded restoration of the third slab to protect small domestic manufacturers and to prevent further contraction of local industry.
Speakers noted that a large portion of Khyber Pakhtunkhwa’s population depends on tobacco cultivation for their livelihoods. They accused FBR officials of heavy-handed tactics that have made life difficult for growers whose incomes, family events and social stability are tied to this crop. The committee urged the government to address farmers’ concerns and provide immediate relief to avert wider unrest.
The Tobacco Action Committee pledged to continue all efforts to defend growers’ rights and warned that should the government fail to act, tobacco farmers across the province will resort to strong demonstrations and sit-ins. The group affirmed it will not yield to pressure and will pursue every available avenue to secure relief for those affected by the tobacco tax measures.
