The Federal Board of Revenue (FBR) has reported a substantial increase in customs duty collection for the fiscal year 2023-24, with revenues rising by 18.5% compared to the previous year. The net collection reached Rs. 1,104.1 billion, up from Rs. 931.7 billion in the prior fiscal year, marking a rebound after a period of negative growth.

Customs duty accounted for approximately 12% of the total FBR revenues for the current fiscal year. The petroleum, oil, and lubricants (POL) sector emerged as the largest contributor, making up 29.1% of the total customs duty collection and experiencing a 14.1% growth in revenue during 2023-24. Imported vehicles were the second largest contributor, with an 11.0% share and a remarkable 42.0% increase in collection.

In contrast, the collection from edible oil imports declined by 12.7%, attributed to a 13.9% decrease in import volumes. The FBR report highlights that dutiable goods form the primary tax base for customs, with the collection of customs duty on major items closely aligning with the growth in the value of these imports.

Dutiable imports increased by 13.4%, and customs duty collections rose by 17.0%, underscoring a strong correlation between import values and duty revenues. This growth in customs duty collection reflects the robust performance of key sectors and their contribution to the national revenue.