Consumers may face higher prices for a wide range of stationery products under the federal budget for fiscal year 2026-27, as the government is considering a significant increase in the General Sales Tax (GST) on the sector.
According to budget proposals under review, the GST rate on stationery items could be raised from the existing 10 percent to 18 percent, reflecting an increase of eight percentage points. The proposed measure is reportedly being considered as part of broader revenue-enhancement efforts linked to Pakistan’s commitments under its economic reform programme.
If approved, the higher tax rate is expected to increase the prices of commonly used educational and office supplies, including notebooks, registers, pens, pencils, markers, ink, paper products and other stationery items. The move could place additional financial pressure on households already coping with rising living costs, particularly families with school-going children.
Businesses, educational institutions and office workers may also feel the impact, as the increased tax burden is likely to raise procurement costs for essential supplies used in day-to-day operations.
Market observers say the proposed tax adjustment could lead to higher retail prices across the stationery sector, although the exact impact will depend on how manufacturers, wholesalers and retailers pass on the additional cost to consumers.
The proposal has yet to receive final approval. The tax changes will become effective only after the federal budget is passed by Parliament and the necessary legislative procedures are completed.
