PFC Seeks Incentives for Furniture Industry in Budget 2026-27

By Muhammad Shahzad, Lahore Pakistan
LAHORE: The  has urged the federal government to introduce growth-oriented measures and incentives for the furniture sector in the upcoming Budget 2026-27 to help boost exports, encourage industrial modernization, and generate employment opportunities.
Shahbaz Aslam said the sector possessed significant untapped export potential but continued to face structural and policy-related challenges.
He stated that Pakistan’s furniture industry could become a major contributor to national exports and industrial growth if the government provided appropriate policy support, tax incentives, and easier access to modern technology.
According to Shahbaz Aslam, Pakistani manufacturers were producing quality furniture products that were gaining demand in regional and international markets, particularly in the Middle East, Central Asia, and Europe. However, he noted that rising production costs and limited institutional support were restricting export growth.
The PFC director said the council had submitted updated budget proposals to the federal government aimed at improving the competitiveness of local manufacturers and facilitating export-oriented production.
Among the key proposals, the  has recommended granting full industrial status to the furniture sector so manufacturers can access incentives available to other industries, including subsidized financing, industrial electricity tariffs, and tax concessions.
Shahbaz Aslam emphasized that Pakistan’s furniture industry remained largely undocumented and was dominated by small and medium-sized enterprises that required policy support to modernize production systems and improve quality standards.
He further urged the government to reduce customs duties and sales taxes on imported machinery, hardware accessories, and raw materials used in furniture manufacturing in order to lower production costs and enhance export competitiveness.
The PFC director added that the global furniture industry was worth hundreds of billions of dollars annually, while Pakistan’s share remained minimal despite the country’s skilled labor force and strong craftsmanship traditions.