LAHORE: The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) has expressed concern over the imposition of sales tax GST on raw materials for medicines in the mini-budget, a statement said.

“[The] withdrawal of exemptions and imposition of 17 per cent sales tax will slow down economic growth and increase people’s miseries,” FPCCI acting president Kh Shahzeb Akram said.

Unfortunately, the budgeting and policymaking had been done without consulting the stakeholders, he said, adding that taxes have also been levied on medical devices and raw materials used in medicines, making treatment more expensive.

“[The] GST on raw materials will increase the prices of medicines. This move will make it difficult for poor people to get treatment for their sick family members,” he added.

Akram further said that the government had imposed a tax of Rs160 billion on the pharmaceuticals sector in the mini-budget, severely affecting the pharma industry, adding that given the current situation, the pharmaceuticals sector cannot afford the increased taxes.