INDUSTRY

 

Sept  29 - Oct 05 , 2003

 

1.INTERNATIONAL

2. INDUSTRY

3. FINANCE

4. POLICY

5. TRADE

6. GULF

 

LOCAL APPLIANCES MAKERS SELLING CHINESE ITEMS

Many leading domestic appliances manufacturers have become importers and distributors. They are importing home appliances from China and selling them at cheaper rates. Appliances manufacturers claim that they are importing only those items which they do not assemble in Pakistan.

 

 

 

The huge influx of cheaper goods imported by two leading home appliances makers has led to a 'price war' in the market between Korean and Chinese products. The ultimate beneficiary of the war is general consumers who get items of their choice at more affordable rates. They sometimes do get confused by frequent fall in prices and introduction of galore of designs and varieties after every three to four months.

"We are doing business in a fashion that suit us better. There is no restriction for any assemblers or manufacturers to engage in the trading," said a leading home appliances manufacturer who is importing microwave oven, iron, toaster, sandwich-maker, vacuum cleaner, juicer blender, etc. He said "It is not feasible to run a manufacturing unit when cheap Chinese products have already made deep inroads by grabbing a good market share."

Besides legal imports from China, a sizable quantity is also arriving through illegal channels and under-invoicing. In such circumstances, it would not be a wise decision to set up an assembly plant of such products with huge capital, he said.

A random market survey reveals that some shopkeepers of local domestic appliances are confusing the buyers by convincing them that toaster, microwave oven, iron, sandwich-maker, etc., are being produced locally by same companies engaged in manufacturing refrigerator, deep freezers, washing machines and air-conditioners.

 

 

COUNTRY'S ECONOMY NOW SOUND, SAYS MUSHARRAF

President Pervez Musharraf has said that economy of Pakistan has greatly improved and urged the overseas Pakistanis to invest in the country.

Addressing Pakistanis living in Canada at Ottawa, the President, on an official visit here, said the country's economy was extremely weak four years ago. "However, now the situation has changed. The national economy has been revived but it needs to be further strengthened," he observed.

President Musharraf noted that foreign exchange reserves of the country had gone up to $11 billion. The debt has also been reduced by $3 billion. The investment had increased by 70 per cent as compared to last year and exports had crossed the target of $11 billion during the last fiscal year, he said.

PROVINCES ALLOWED TO MARKET WHEAT

The government has decided to allow all the four provinces to release wheat from their stocks in the open market to fulfil public demands from Oct 1.

This decision was taken by Wheat Disposal Committee in its meeting held recently, keeping in view the satisfactory stock position of wheat and in wake of coming holy month of Ramazan.

Federal Minister for Food, Agriculture and Livestock, Sardar Yar Muhammad Rind presided over the meeting which was largely attended by representatives of provinces besides senior officials of the Ministries of Food and Agriculture, Finance and Commerce.

PIA MAY GET 2 BOEING 777 IN JANUARY

Pakistan International Airlines is likely to get the first two Boeing 777 planes in January next year out of the eight that it is set to receive in next five years under a deal signed with Boeing Company.

"Initially we were to get the delivery of one Boeing 777 each in January, February and March 2004 but there are indications (from Boeing Co) that we may get two in January," said the source. A third plane would be delivered in February or March.

ONGOING NWFP PROJECTS TO GET FUNDS IN BULK

The ongoing development schemes will receive funds in bulk on top priority basis during the current financial year, according to officials.

The provincial government will now divert major proportion of its total development funds to the ongoing development schemes in line with policy guidelines suggested by the World Bank a major lender to the Frontier province.

The NWFP government's decision to incorporate about 1,000 new development schemes in the Annual Development Programme (ADP) raising the total number of schemes to well over 1300, had elicited strong reaction from within the development planners and the World Bank.

 

 

STATE BANK MODIFYING FINANCING FOR LMM

The State Bank may come up with an improved version of its scheme for financing locally manufactured machinery. The SBP is reframing the scheme to make it simpler and tag it with a more market-oriented interest rate, said a senior State Bank official. A SBP circular issued to all banks said that for the time being the rates of finance/refinance announced in March this year would continue to apply on financing under this scheme.

DE-FREEZING OF LAND ALLOTMENTS

In the year 2000, the allotment of Sindh Board of Revenue lands over a period of 15 years by civilian governments, between 1985 and 2000, were frozen because the military officials reckoned that these were sold at below the prevailing market price. Though the main beneficiaries were estate developers, they also included a few industrialists with plans to expand their manufacturing facilities. Many had bought these lands at market price from the original allotees.