FBR Extends Track & Trace to Tiles, Textiles & GLT

Following the successful deployment of the Track & Trace System (TTS) in the tobacco, sugar, cement, and fertiliser sectors, the Federal Board of Revenue (FBR) intends to progressively extend TTS implementation together with electronic monitoring mechanisms to additional high-evasion industries, namely tile manufacturing units, textile spinning mills, and Green Leaf Threshing (GLT) facilities across Pakistan.

Official estimates indicate that the tile manufacturing industry alone accounts for tax evasion in the vicinity of Rs30 billion annually. The broader rollout is projected to yield significant revenue gains in already-covered sectors, including an additional Rs76 billion from the sugar industry and Rs102 billion from the cement sector during the current fiscal year.

The tobacco value chain remains a major concern, with illicit operations—particularly at the GLT stage—resulting in an estimated annual revenue loss of Rs80 billion. To address these vulnerabilities systematically, the FBR has released a comprehensive policy document outlining the mandatory installation of TTS across the identified high-risk sectors.

The overarching objective is to bolster tax compliance, enhance supply-chain transparency, and strengthen enforcement through the integration of cutting-edge digital and forensic technologies. In furtherance of this strategy, the FBR has issued a formal Request for Information (RFI) inviting qualified technology providers to submit proposals on advanced solutions, including DNA-based authentication, forensic-grade marking technologies, production monitoring systems, secure serialisation and identification tools, mobile-based verification applications, and allied Track & Trace infrastructure.

These measures are intended to fortify traceability, curb counterfeiting and under-reporting, and safeguard substantial fiscal revenues for the national exchequer.