ISLAMABAD: Federal Board of Revenue (FBR) Chairman Rashid Langrial on Wednesday issued a stern ultimatum to four Chinese-owned ceramic tile companies, warning them to either accept installation of AI-enabled monitoring cameras or cease operations in Pakistan. The tough stance came during a fiery Senate Standing Committee on Finance meeting after Chinese representatives pleaded with senators to block the FBR’s camera plan, citing risks to trade secrets.
Langrial disclosed that tile manufacturers are evading roughly Rs30 billion annually in sales tax by under-reporting production. He stressed that the government has already shown flexibility by reducing camera count from 16 to just five per factory, placed only at points that capture accurate output without exposing proprietary processes.
“If your board of directors does not agree to install cameras, then stop work,” Langrial thundered, rejecting claims that the system would compromise commercial confidentiality. State Minister for Finance Bilal Azhar Kayani defended the initiative, saying AI-driven video analytics would eliminate physical FBR inspections while ensuring full tax compliance.
The companies argued they operate in Saudi Arabia and elsewhere without such surveillance and criticised abrupt policy changes. Langrial countered that the decision followed complaints from the Pakistan Tiles Manufacturers Association about rampant under-reporting by competitors.
Successful camera deployment in sugar and cement sectors is projected to yield Rs76 billion and Rs102 billion respectively this fiscal year, reinforcing the government’s resolve to extend monitoring to 18 high-risk sectors.