Islamabad, Dec 15: The Federal Board of Revenue (FBR) has shut down a sugar mill in Sindh after identifying issues with its track-and-trace system and the “hopper solution” used for monitoring sugar production.
According to reports, the automated system on one production line failed to function properly, leading to its closure. While the “hopper solution” aims to ensure precise sugar output tracking, it remains unclear if the track-and-trace system malfunctioned or if operations at the mill have resumed.
During the crushing season, the FBR has stationed Inland Revenue (IR) officers at sugar mills across the country under Section 40B of the Sales Tax Act, 1990. These officers oversee production, sales, and stock levels, providing critical oversight from November to March.
Previously, the government relied on data provided by the industry to assess sugar production. However, the track-and-trace system now enables real-time monitoring of sugar output, enhancing transparency.
To strengthen oversight further, all sugar mills have been directed to install IP-based CCTV cameras to monitor production and stockpiling activities. The footage, stored in network video recorders (NVRs), allows the FBR to ensure accurate GST payments and curb price hikes in the sugar market.