FED Hits Rs. 840 Billion as Cigarettes, Cement, and Air Travel Collections Grow

0 17 2 minutes read

Federal Excise Duty collection increased 9.6 percent to Rs. 840.02 billion during fiscal year 2025-26 from Rs. 766.64 billion a… Read More The post FED Hits Rs. 840 Billion as Cigarettes, Cement, and Air Travel Collections Grow appeared first on ProPakistani.

Federal Excise Duty collection increased 9.6 percent to Rs. 840.02 billion during fiscal year 2025-26 from Rs. 766.64 billion a year earlier, according to Federal Board of Revenue data.

The increase amounted to Rs. 73.38 billion. FED collection during the second half of FY2025-26 stood at Rs. 439.29 billion, up 4.6 percent from Rs. 420.07 billion in the same period of FY2024-25.

During the first half of FY2025-26, FED collection reached Rs. 400.73 billion compared with Rs. 346.57 billion a year earlier, showing stronger growth of 15.6 percent.

Cigarettes remained the largest source of FED revenue, generating Rs. 251.26 billion during FY2025-26 compared with Rs. 225.50 billion a year earlier. Collection from cigarettes increased 11.4 percent, or Rs. 25.76 billion, with growth accelerating from 4.6 percent in the first half to 17.2 percent in the second half.

Cement was the second largest contributor, with FED collection rising 4.1 percent to Rs. 160.35 billion from Rs. 154.11 billion. However, collection from the sector fell 7.7 percent during the second half compared with the same period a year earlier.

FED collection from services provided for inland air travel increased 8.7 percent to Rs. 57.68 billion from Rs. 53.06 billion. Collection in the first half rose 49.5 percent but declined 15.7 percent in the second half.

Similarly, FED collection from air travel increased 7.1 percent to Rs. 44.12 billion from Rs. 41.21 billion. Collection rose 28 percent during the first half before declining 9.5 percent in the second half.

Among other major contributors, FED collection from motor cars increased 10.4 percent to Rs. 25.58 billion from Rs. 23.18 billion, while sugar generated Rs. 12.57 billion compared with Rs. 11.53 billion, an increase of 9.1 percent. Fertilizers and urea contributed Rs. 22.19 billion, almost unchanged from Rs. 22.10 billion a year earlier.

FED collection from washing machines recorded one of the largest increases, rising 48.7 percent to Rs. 7.26 billion from Rs. 4.88 billion. Collection increased 32.2 percent during the first half and 62.1 percent during the second half.

Beverage related items recorded mixed results. FED collection from concentrates used in beverages and foods declined 2.2 percent to Rs. 38.15 billion from Rs. 39.01 billion, while collection from aerated waters and beverages fell 0.8 percent to Rs. 32.36 billion from Rs. 32.64 billion.

The 15 major FED revenue items generated Rs. 687.42 billion during FY2025-26 compared with Rs. 642.66 billion a year earlier, representing 7 percent growth and an additional Rs. 44.77 billion.

Collection from other items increased 23.1 percent to Rs. 152.60 billion from Rs. 123.98 billion. The FBR data showed that gross and net FED collection both stood at Rs. 840.02 billion during FY2025-26, as no refunds were recorded in either FY2025-26 or FY2024-25.

The post FED Hits Rs. 840 Billion as Cigarettes, Cement, and Air Travel Collections Grow appeared first on ProPakistani.