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COVER STORY
ELECTRONICS INDUSTRY
SMUGGLING VS MANUFACTURING

title25_small.jpg (6002 bytes)It is unfortunate that except a few cosmetic steps no genuine efforts were made to establish the electronics industry in Pakistan. Currently, Pakistan is merely involved in assembling TV sets, while major manufacturers are not producing radios, which still have a large market in our rural areas.
Unlike automobile industry, there was no deletion policy adopted in electronics industry as a result of which transfer of technology did not take place. All major components in electronics industry are imported. Even the Picture tubes, the main component used in TV manufacturing are not being produced in Pakistan and the electronics industry has to depend on the imported picture tubes. A comprehensive deletion policy is needed to introduce in this industry to put this industry on sound footings.


AUTO SPAREPARTS
Vending industry is one of the primary prerequisite for the development of an automobile industry. The easy availability of smuggled as well as under-valued legal imports, however, poses a threat to the very survival of the local auto vending industry. This is not only depriving the government millions in lost revenue but is also undermining the very foundation of the local vending industry by restricting its growth, and expansion.


COTTON UPDATE
APTMA has asked for the GoP to instruct TCP to release cotton to the spinners on the pretext of shortage and possible closure of mills. However, some analysts say that spinners have enough cotton stock.


SOFTWARE EXPORT
Pakistan's software export volume in 1999 was $ 16 million which is pathetically low as compared to our foremost rival India. The target of $1 billion by the end of 2003 seems an over ambitious mark with the current pace of development. Number of reasons like shortage of local manpower, lack of direct contacts, branding issues and poor development of local infrastructure are the main detriment for the software export. Recently Pakistan has launched its first IT incubator at Singapore.


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