KARACHI: Korangi Association of Trade and Industry (KATI) President Muhammad Ikram Rajput has expressed grave concern over the federal government’s decision to immediately recover Rs217 billion from exporters in the form of super tax for the period from 2022 to 2026, warning that the move could push already distressed industries towards collapse.

The sudden recovery of such a massive amount would further exacerbate the crisis, damaging local industry and posing serious risks to investment in the country, he said in a statement.

Since the imposition of the super tax, the effective tax burden on industries has exceeded 50 per cent, making it virtually impossible to conduct business, he said, adding that high electricity and gas tariffs have already pushed production costs to the highest levels in the region, thus further eroding the competitiveness of Pakistani exports.

Urging the federal government to reconsider its decision, Mr Rajput called for immediate relief for the industrial and commercial sectors.

He proposed that, instead of demanding a lump-sum payment for four years’ dues, the outstanding super tax be recovered in easy instalments over three to four years.

Alternatively, he suggested offering special concessions, including a 25pc upfront payment and the option to adjust against pending export refunds, to provide much-needed relief to cash-strapped exporters.

He said that failure to take immediate corrective measures could accelerate large-scale industrial closures, leading to job losses and causing irreparable damage to the national economy.

Published in Dawn, February 7th, 2026