Tobacco farmers warn against FED hike.

ISLAMABAD -- Tobacco farmers from economically marginalised areas of Khyber-Pakhtunkhwa (K-P) have expressed their concern over the recent increase in federal excise duty (FED) on cigarettes. They have warned that the move will reduce economic prospects for tobacco farmers, increase poverty and unemployment, and may even encourage some farmers to turn to anti-national elements, thereby threatening the integrity of the country.

At a press conference attended by tobacco farmers from Mardan and Swabi districts of K-P, the farmers highlighted the social and economic impacts of the FED increase on the tobacco industry. They pointed out that tobacco is an important cash crop and any threat to this crop is a threat to the survival of tobacco farmers, which could cause serious socio-economic consequences.

The transfer of a large portion of the tobacco crop from the legal industry to illegal players would reduce economic prospects and result in inordinate delays in payments, affect cash flow, and unemployment...