It has also been brought to the notice of ICCI that
the State Bank of Pakistan has issued instructions to the commercial
banks to require the Flour Mills to provide 50 per cent cash margin
before any loan is sanctioned. This is a reversal of the previous
policy whereby the banks were providing loans against collateral or
wheat stock held by the Millowners. The new directive of the State
Bank has created a serious cash flow problem for the Millowners,
several of whom are facing closure of their mills.
SCHEME FOR LONG-TERM FINANCING FOR THE EXPORT
Mr. M. Waqar Monnoo, Chairman APTMA has shown
reservation on the success of new scheme of State Bank of Pakistan for
Long Term Financing for the Export Oriented Projects (LTF-EOP), which
has been aimed at SMEs to compete in the international market in WTO
environment and in particular after removal of quota regime in 2005.
Chairman APTMA stated that he does not deny the role of SMEs but it
would have been more appropriate if export oriented Spinning and
Weaving Units manufacturing value-added yarn and fabrics had also been
encouraged to upgrade their capacities and facilities under the said
scheme. He pointed out that spinning and weaving sector fetched a
large chunk of export earnings valuing US $ 2.381 billions i.e. 32% of
total textile exports of US $ 7.458 billions in 2002-2003. Mr. Monnoo
held the view that export of yarn and fabrics are well poised to
exceed the export target of current year, after meeting the domestic
On a clarification of Governor, State Bank of
Pakistan that there is no upper limit in LTF-EOP scheme but spinning
and weaving sector are barred from the scheme, Mr. Waqar Monnoo urged
State Bank of Pakistan to leave this matter between the borrower and
the bank and facilitate the spinning and weaving mills also to enable
them to upgrade their machinery and manufacturing facilities under
LTF-EOP scheme like SMEs.
A Knowledge Week was recently held at Alhamra Arts
Council organized by IBP to create awareness amongst the public at
large about the activities of the institute and highlight the role of
commercial banks. The stalls set up by the banks served to disseminate
information about their products and services through banners,
brochures, booklets and computer displays. These stalls were rated,
interalia on the basis of thematic relevance, visual attraction and
decorative finesse of the adornments as well as content of
presentations. BOP's stall was adjudged the best. The warmth, courtesy
ready and willing cooperation of the young, energetic and committed
officers was acknowledged and lauded by all and sundry.
To recognize and appreciate the meritorious
services rendered notably by Relationship Managers Mr. Muhammad Akbar
& Muhammad Faizan Saeed Malik and officer Mr. Faisal Malik a
simple ceremony was held at BOP Head office and the Managing Director
commended their valuable contribution and awarded certificates.
BOP Best IBP Knowledge Week Stall winning team with
MD BOP Mr. Hamesh Khan, GM Mr. Mehmood Sadiq Khan and Principal Staff
Officer Mr. Naveed Baz Khan.
Mr. Khuram Rahat, Sales Manager for NCR Pakistan
and Bangladesh, giving a presentation on "Customer Relationship
Management" at the seminar held in QAU, Islamabad
In it's thirty five (35) year history of Almurtaza
Machinery Co. Ltd. (AMCL) has grown beyond stitching machines to
knitting machines, dyeing machines, design systems, multi-head
embroidery, sequin embroidery & quilting embroidery machines,
laser engraving and laser cutting, machines, finishing machines, sand
blasting machines, label weavers, spreaders, automatic and manual
cutters, washing machines, needle detectors, to name a few.
AMCL has a passion for excellence and over the last
three decades has worked hard at developing, and maintaining the image
of a company that provides consistent quality in not only its products
but its service as well. The long-standing personal relationships that
AMCL has with the people in the industry, repeat business and the
trust of the top brands in the textile world are proof enough of our
Aware of the imminent global challenges, the
efforts of Almurtaza are concentrated towards doing business and
serving customers with an international perspective. By participating
in national and international exhibitions, AMCL is working hard at
keeping up with technological innovations, enabling us to make a
positive difference in the apparel and textile industry.
IGATEX Pakistan is the largest exhibition of its
kind in this region and is growing every year. The 3rd IGATEX was held
at the Karachi Expo Center from the 21st to 24th April. With 9
separate brands including Tajima, MECA, Investronica, Nagai Shing,
Pegasus, Proel, Swegea, Singapore machinery, etc. on display and
display booths in two separate halls covering over 2.20 sq meters,
AMCL had arguably the largest presence at IGATEX 2004.
Apart from the immense interest in our company and
all our brands, AMCL displayed for the first time in Pakistan Tajima
3-mm sequin embroidery machine (which was also the global launch for
the machine). This twenty head embroidery machine is capable of
attaching a 3mm sequin, created a well-deserved buzz when it was
unveiled at IGATEX 2004.
The second display was of NECA multi-needle
Quilting Ecording Machine. This 6-ton mega machine capable of
quilting, cording, and attaching sequins in a single continuous
operation, certainly overshadowed all other displays at the exhibition
and generated a high level of intrigue amongst all visitors. This
particular model was the first of its kind to be sold in Asia.
Thirdly, the revolutionary multi-purpose laser
cutting and engraving machines were also a first for Pakistan market.
This versatile machine can fade, etch or cut different materials from
denim to leather. Along with the laser cutter, the Proel display was
truly at the cutting edge of technology.
At IGATEX 2004 AMCL also displayed stitching
machines, sand blasting machines, design systems and spot cleaning
machines as well as represented brands such as Juki, Pegasus, Fukuhara,
Shima Seiki, MRT, etc.
The hard work and dedication of the 60-member team
of both national and international exhibitors paid off and the
exposition was a massive success. Undeniably, Almurtaza's booths had a
positive impact on all attendees of the exhibition. Once more, AMCL
kept its promise of providing the textile industry with the necessary
tools for giving that necessary technological edge.
ISLAMABAD CHAMBER SEEKS TAX EXEMPTION
The Islamabad Chambers of Commerce and Industry (ICCI)
has proposed to the government to exempt all imported inputs used in
export items from payment of local levies and taxes.
The ICCI budget proposals for 2004-5, a copy of
which was released last Monday, has also suggested to the government
to reduce the general sales tax (GST) 10 percent on all products at
both local and import stage.
According to the ICCI the exemption on inputs would
make local products more competitive in the international markets. It
was pointed out that in one province there were as many as 25 local
taxes which was causing a lot of delays and agony to the exporters.
Duty on heavy melting scrap (HMS) by steel
industries should not be more than 10 percent, it said adding that
presently higher duty rate has minimized import of steel for local
It is suggested that a new income tax law, with
simplified provisions should replace the present Income Tax Act.
Withholding tax against supply and import be rationalized particularly
for industries using imported raw material for their products. At
present 3.5 percent tax is levied on supplies and five percent tax on
import, both of which should be reduced to 2.5 percent, ICCI proposed.
There was an urged need to streamline Wapda and to
rationalize its tariff rates, because under the existing scenario
Pakistan's exports would considerably decline and a number of
industrial units would face closure of operation. The industrial and
agricultural sectors of Pakistan's economy were faced with a grime
situation. Production costs were continuing to rise and Pakistan was
fast losing its competitive edge in the world market. Electricity
tariff in marble industry at present was to high, making this industry
non-competitive. This tariff should be reviewed and brought down to
enable the industry to survive and market its products effectively.
The ICCI recommended to the government to consider
establishing warehouses in collaboration with the private sector in
selected countries/regions, such as the USA, the UK, Europe, Africa,
the Middle East and South Asia. This measure would result in boosting
Pakistan's foreign trade.
UBL LAUNCHES CAR FINANCING
United Bank Ltd has officially launched its
car-financing product in a media briefing. Speaking at the occasion,
the newly joined President, Mr. Atif R. Bokhari, said, "UBL has
been doing well since privatization as we posted a massive profit of
Rs. 4.5 billion and have declared a dividend of 22.5% after a decade
in 2003. We have hired the best talent in the country and recently
launched two major products: Business Partner Account and UBL Wallet
— our ATM/Debit card. The response that we received has been
great". Furthermore he added, "Now we are launching consumer
banking and today is the launch of our first consumer asset product,
UBL Drive, which is a car financing scheme".
Addressing the press, Bokhari gave his view that
UBL is focusing on bringing the next level of consumer banking in
Pakistan, emphasizing on its You First vision. "UBL Drive is the
first such consumer product which changes the industry norms by
providing innovations, options and flexibility unmatched so far by any
other bank. This has been possible due to the investment made in
state-of-the-art systems at UBL. There is a huge potential for auto
loans. So far banks have been focusing on a few major cities only and
there is a huge market that remains untapped. UBL plans to expand the
market by its vast distribution network" Bokhari said.
Elaborating on its features, the Deputy CEO of UBL,
M.A. Mannan said, "UBL Drive has been developed keeping in view
the increased level of consumer awareness due to increased
accessibility of information, and hence the demand for better products
and services with options. UBL Drive is a first of its kind finance
facility for the consumer, which truly captures the "ab chalay gi
aap ki marzi" essence and the 'Where You Come First'
"The PAYS (Pay As You Select) feature is a
powerful tool for the consumer whereby the customer can design his/her
own payment plan. They can either pay higher initially with
installments reducing in subsequent years, or state with lower
installments and increase them subsequently. In addition to low
installments, UBL Drive allows the consumer to drive away in his/her
own car by making a down-payment of just 10% — one of the lowest
down-payment options in the market" Mannan further added.
NEW CHAIRMAN OF PICIC COMMERCIAL BANK LIMITED
In a recently held meeting, the reconstituted Board
of PICIC Commercial Bank has elected Mr. Manzurul Haq as Chairman.
Manzurul Haq, a graduate from Government College,
Lahore, is a qualified Chartered Accountant from UK. He is also a
Fellow Member of the Institute of Chartered Accountants of Pakistan,
has an MBA from the Cranfield Institute of Technology, UK and has
attended the Advanced Management Program at the Harvard Business
Manzurul Haq's initial business experience was in
the field of consultancy, accounting and business education. From 1981
to 2002 he worked with the German Engineering Group KSB in various
senior management positions. He was the Managing Director of KSB
Pakistan from 1981 to 1997. During this period the Company won awards
for management excellence and export performance and was a top
performer on the stock exchange. Concurrently, for many years, he was
a Director of the Asia Pacific Region covering countries from Turkey
to China. From 1997 to 2002 he was the President of the Americas
operation of KSB including both North and South America.
Manzurul Haq has been a member of many governmental
committees and a delegate to international conferences. He has also
been a consultant to the International Trade Centre, Geneva.
He has published many articles in various
newspapers and journals in Pakistan and has lectured and given talks
extensively in Pakistan and abroad. He is a Member of the Board of
Trustees of the Lahore University of Management Sciences and a
Governor of the National Management Foundation.
He is also director in companies in the
engineering, banking and software sectors.