Zero-Tolerance Enforcement Intensifies as Crushing Season Heats Up

In a decisive and aggressive enforcement move, the Federal Board of Revenue (FBR) has sealed two production chutes at Chanar Sugar Mill in Samundri, Faisalabad, over serious violations of the mandatory Track and Trace System.

The action forms part of FBR’s zero-tolerance policy aimed at eliminating tax evasion, production manipulation, and revenue leakage in the sugar sector.

Another Sugar Mill Sealed in Separate Operation

In a separate but related operation, Safina Sugar Mills located in Lalian, Chiniot, was also sealed after officials found non-compliance with electronic monitoring and tracking requirements.

According to FBR officials, both mills failed to adhere to real-time digital tracking protocols, a critical component of the Track and Trace System designed to ensure transparency in sugar production.

Track and Trace System Under Strict Watch

The FBR reiterated that the Track and Trace System is mandatory, not optional, and is essential to prevent under-reporting, illegal production, and tax leakage.

Officials stated that any attempt to bypass, disable, or manipulate the system will result in immediate sealing, penalties, and possible prosecution.

Enforcement Drive Accelerates During Crushing Season

The latest crackdown comes just days after multiple sugar mills were sealed across the country, signaling a sharp escalation in enforcement as the sugar crushing season reaches its peak.

Authorities confirmed that monitoring will continue even after the crushing season ends to ensure compliance and protect consumer interests.

No Leniency Warning Issued to Sugar Industry

The tax authority made it clear that no leniency will be shown to violators.

“Any sugar mill found bypassing the Track and Trace System will face swift and strict action,” officials warned.

The FBR emphasized that enforcement measures are also aimed at maintaining steady sugar supply, stabilizing prices, and protecting national revenue.

Government Signals Tough Stance on Tax Evasion

The continued sealing of sugar mills reflects the government’s broader commitment to tightening fiscal discipline, curbing tax evasion, and improving transparency in high-risk sectors.

Officials said enforcement actions will remain consistent, technology-driven, and uncompromising.