ISLAMABAD: The International Monetary Fund (IMF) has acknowledged the continued progress on the roll-out of track-and-trace.
IMF in its report mentioned that continued progress on the roll-out of track-and-trace will create a solid basis for further revenue collection, notably from tobacco sales.
The Track & Trace System was a landmark initiative aimed at achieving much-needed improvements in the collection of sales tax and digitization in the four key sectors of the economy, including, cement, sugar, fertilizer, and tobacco.
AJCL, along with its lead partners Authentix Inc of USA and Mitas Corporation of South Africa had won the $120 million project back in March 2021.
Pakistan Tobacco Company, Philip Morris Company, and Khyber Tobacco Company have so far implemented a track and trace system whereas the remaining local cigarette companies operating in Mardan and Swabi are also being directed to install track and trace if they want to sell cigarettes.
On the other hand, the Sugar sector had also implemented the system in the last crashing season.
Officials said that the Track and Trace System shall be extended to multiple other sectors of the economy including cement and others.
The TTS is a transformational, one-of-a-kind, initiative that integrates real-time production monitoring, tax-stamp affixation and data sharing with the FBR’s network in a seamless manner, resulting in transparency of taxation process, digital record keeping, tracking of goods throughout the supply chain, and thereby improving ease of business for manufacturers and consumers alike.
The TTS shall also assist in capturing undeclared markets, help with the under-reporting of production and sales, restrict the flow of illegal/untaxed products and prevent leakage of revenue.
At present, Track and Trace technologies are being used around the globe, as means to assist governments in digitization of the economy and to enhance tax collection with the successful implementation of this system in Pakistan.