A dispute has escalated between Pakistan’s textile sector and the Federal Board of Revenue (Federal Board of Revenue) after mill owners rejected a proposal to install surveillance cameras inside factories at their own expense.
Sources from the All Pakistan Textile Mills Association (All Pakistan Textile Mills Association) say the FBR has proposed CCTV installation across textile units to monitor production and reduce tax evasion. However, industry stakeholders argue the plan would force them to bear significant additional costs, running into millions of rupees per facility.
Mill owners have warned that making the system mandatory without government funding could lead to partial or complete shutdowns of operations, claiming the sector is already under severe financial pressure.
They also drew comparisons with the “Safe City” surveillance model, arguing that citizens are not charged directly for traffic monitoring systems. On the same basis, they say if tax monitoring is required through cameras, the FBR should finance and install the infrastructure itself.
Industry representatives further urged the government to broaden the scope of the monitoring initiative beyond textile mills, pointing out that only about 180 mills are currently operational, while more than 1,200 ginning and spinning units exist across the country and could generate wider tax coverage and revenue gains.
