Peshawar: In a significant move against illicit tobacco production, the Regional Tax Office (RTO) Peshawar has seized undeclared machinery allegedly used to process tobacco for illegal cigarette manufacturing.
According to an official news release, an RTO enforcement team—operating under the supervision of the Chief Commissioner—conducted a late-night raid on December 5, 2025, at a cigarette manufacturing facility in Mardan. During the operation, M/s Universal Tobacco Company (Pvt) Ltd was found running concealed plant and machinery used to produce cut tobacco for unregistered cigarette brands.
The company manufactures well-known brands such as Café and Ranger. The confiscated machinery had an estimated daily output of 6,000–7,000 kg of tobacco—translating to roughly PKR 45 million in daily revenue if converted into cigarettes.
Although the unit operated its declared equipment, the hidden machinery was reportedly dedicated to preparing tobacco for illicit production.
The raid was led by ADCIR Tariq Aziz under authorization from the relevant Commissioner. Authorities have seized the machinery, initiated confiscation proceedings, and begun prosecution.
The enforcement team successfully completed the operation despite pressure attempts, reflecting FBR’s firm resolve to safeguard national revenue and enforce tax laws.
In line with the Prime Minister’s directive to curb illegal cigarette trade, FBR—supported by the Pakistan Army—has deployed 120 Pakistan Rangers at GLT units nationwide and posted dedicated monitors under Section 40B of the Sales Tax Act, 1990, and Section 45 of the Federal Excise Act, 2005, to ensure lawful production and dispatch.
These efforts are expected to significantly reduce illicit tobacco manufacturing in the coming days. FBR reiterated its commitment to eliminating illegal production and enforcing strict compliance across the tobacco sector.
