In a decisive continuation of its zero-tolerance campaign against tax evasion, the Federal Board of Revenue (FBR) has taken strict enforcement action against two more sugar mills for violations of its electronic monitoring and Track and Trace System.
On January 5, 2026, FBR field teams stationed at Chanar Sugar Mill in Samundri, Faisalabad, sealed two critical chutes of the mill. This action was taken due to clear and documented breaches of the FBR’s Track and Trace System regulations. The following day, January 6, 2026, FBR officials proceeded to seal the premises of Safina Sugar Mills in Lalian, Chiniot, for violations of the board’s electronic monitoring system protocols.
These targeted operations are part of a sustained and broader enforcement drive by the FBR to uphold fiscal discipline, ensure transparency, and protect national revenue within Pakistan’s vital sugar sector. The government has reiterated its unwavering policy of zero tolerance for tax evasion and non-compliance, emphasizing that all economic actors must adhere to the established legal and regulatory frameworks.
“The sealing of these mills sends a clear and uncompromising message,” stated a senior FBR official. “Our monitoring is continuous, and our enforcement will be swift against any entity that attempts to circumvent the law. These actions are crucial for ensuring fair competition, recovering due government revenue, and ultimately safeguarding the supply chain for the end consumer.”
The FBR has confirmed that its enhanced monitoring and enforcement activities will persist throughout and beyond the current crushing season. The objective is to ensure the regular supply of sugar in the market only after the full recovery of all applicable taxes and duties, thereby balancing revenue collection with market stability.
