The federal government sees a 56% surge in excise duty revenue in 2023-24

ISLAMABAD: The federal government has experienced a significant 56 per cent increase in revenue from excise duties, with a total of Rs 577 billion collected during the 2023-24 fiscal year.

According to official documents from the Federal Board of Revenue (FBR), several key industries contributed to this substantial rise, including tobacco, cement, aerated beverages, airline tickets, fertilisers, and dairy products.

The excise tax on cigarettes saw the most notable increase, with revenue rising by Rs 95 billion to a total of nearly Rs 237 billion. Cement duties also saw a boost, with an additional Rs 11.32 billion collected, bringing the total to Rs 77.71 billion.

In the aerated beverage sector, excise revenue skyrocketed by an impressive 113 per cent, reaching Rs 36.50 billion. The airline sector also saw a boost, with excise duty on air tickets crossing Rs 47 billion, reflecting an increase of Rs 7.22 billion.

The fertiliser industry contributed more than Rs 29 billion in excise taxes, while the growing consumption of dairy products resulted in an additional Rs 5 billion in revenue.