After completing an exhaustive exercise, the FBR has reduced the minimum values of locally produced steel products by a very high percentage. The step is bound to reduce sales tax on all of these products, thereby making them relatively affordable for the consumers.
In this regard, the FBR issued SRO.1636(I)/2024 in pursuance of adjusting minimum values that were earlier fixed under SRO 501(I)/2022. As follows are the minimum values:
Steel Bars and Long Profiles: Minimum price has been reduced to Rs. 205,000 per metric ton from the level of Rs. 225,000.
Steel Billets: Minimum price has been reduced to Rs. 175,000 per metric ton from Rs. 195,000.
Steel Ingots/Bala: Minimum price has reduced to Rs. 160,000 per metric ton from Rs. 180,000.
Ship Plates: Minimum price has been reduced to Rs. 154,000 per metric ton from Rs. 172,000.
Rolled Iron and Steel waste: Rs. 160,880 per metric ton; in other words, without any change.
If sold at higher than its new minimum values, then sales tax will accrue on that higher amount.
The reforms undertaken by the FBR are intended to be useful and helpful to the local steel industry and by consequence for its customers at reduced prices.
