Observer Report
Islamabad
Lack of border controls has been one of the greatest perils, which the retail sector faces in Pakistan. A recent report compiled by a team of Harvard economists and senior commerce ministry officials stated that of the nearly top dozen consumed goods in the country roughly $3.3 billion worth goods are smuggled as lack of proper checks at the borders leads to an easy flow of from our neighbouring countries – Iran and Afghanistan. A mere 5% of these goods are seized by law enforcement and regulatory bodies. Included in these smuggled goods were textiles, cellphones, toiletries, tires and many more.
However, what was most startling to see was that according to the report the market share of smuggled cigarettes was at an alarming 20%. The regularized tobacco industry in Pakistan according to Price water house Coopers (PwC), one of the worlds-leading consulting firm.
