KARACHI: In line with the reform agenda under the IMF’s Resilience and Sustainability Facility, CoRe — the country’s first alliance focused on sustainable packaging — has submitted a comprehensive policy proposal to the government ahead of the Federal Budget 2025–26.
The Alliance has appealed to government stakeholders to realize Pakistan’s circular economy potential through tax restructuring, fiscal incentives, and improved infrastructure.
This proposal was formally presented to Finance Minister Muhammad Aurangzeb and Climate Change Minister Musadik Masood Malik, underscoring CoRe’s dedication to fostering a circular economy through joint public-private efforts.
CoRe’s policy package includes a five-year income tax holiday for Packaging Recovery Organizations (PROs), the elimination of import duties on recycling machinery and Reverse Vending Machines, and GST exemptions for services involved in waste sorting, collection, and recycling. The Alliance has also proposed tax credits or financial benefits for companies using recycled content or meeting specific recycling standards. Additionally, CoRe has called on the State Bank of Pakistan to establish financial support systems for recycling businesses, especially for infrastructure that enables conversion of plastic waste into fuel. Collectively, these proposals are aimed at formalizing the informal recycling sector, advancing sustainability, and attracting environmentally focused investments.
These policy suggestions come amid growing concern, as the Asian Development Bank forecasts Pakistan’s annual solid waste production could reach 42 million tons by 2030 — a volume far exceeding the current recycling infrastructure.
Sheikh Waqar Ahmad, CEO and Founding Board Member of CoRe, stated, “Our proposals are crafted to align with the government’s sustainability vision, particularly under the Resilience and Sustainability Facility agreement with the IMF.”
He added, “The 2025–26 budget is a vital moment to implement policies that address waste management and stimulate economic growth through sustainable, green investment.”
Hammad Naqi Khan, CEO WWF-Pakistan and CoRe Board Member, stressed the importance of action-oriented policies, noting, “Providing incentives for waste collection and recycling is essential for promoting circularity and addressing Pakistan’s waste crisis.”
Babar Aziz Bhatti, CEO of Green Earth Recycling and Chair of CoRe’s Extended Producer Responsibility Committee, emphasized, “Funding the development of recycling systems will not only reduce environmental waste but also create green employment and support Pakistan’s sustainable progress.”
