A growing dispute has emerged between Pakistan’s textile industry and the Federal Board of Revenue (FBR) over the proposed installation of monitoring cameras at textile mills. Industry representatives have expressed strong reservations about the plan, particularly regarding the costs associated with the project.
According to sources within the All Pakistan Textile Mills Association (APTMA), the FBR has asked textile mill owners to install surveillance cameras at their own expense. However, mill owners have rejected the proposal, arguing that the financial burden would be too heavy for an industry already facing significant economic challenges.
Industry sources claim that textile manufacturers may consider shutting down factories if they are forced to comply with the requirement without government support. They maintain that the mandatory installation of cameras would add millions of rupees in operational costs at a time when businesses are struggling with rising expenses.
The FBR reportedly views the camera system as a tool to improve transparency and prevent tax evasion within the sector. Tax authorities believe enhanced monitoring could help strengthen compliance and improve revenue collection from industrial units.
Factory owners, however, argue that if the government wants to introduce a monitoring mechanism for its own regulatory purposes, the related expenses should be covered by the authorities. They point to Safe City surveillance systems, noting that citizens are not directly charged for the installation of traffic monitoring cameras.
Textile industry representatives have also questioned why the proposal focuses primarily on textile mills.
According to industry estimates, only around 180 textile mills remain operational, while the number of ginning and spinning mills exceeds 1,200. Mill owners believe a more comprehensive and balanced approach is needed to improve tax compliance without placing an excessive burden on a single segment of the textile sector.
