While giving his speech Dr. Rehman said that boom
of natural resources has come to an end, adding: "This is the era
of human resource boom". He quoted the example of MIT. In MIT out
of their 4000 graduates for a specific period, a large number became
business entrepreneurs. These business entrepreneurs combined together
and produced a sale of US$ 232 billion for USA, he added.
He emphasized that universities should go beyond
education. It is the responsibility of universities to do research and
produce research publications. He mentioned the need to concentrate on
producing more number of PhDs. Right now Pakistan is producing 200
PhDs per year. He said that HEC has planned to produce 1500 PhDs per
year in near future. "This is the era of knowledge economy. This
is a great challenge full of unlimited opportunities for all of
While visiting the university library and computer
lab of Biztek Dr. Rehman gave very positive remarks and appreciated
the efforts of the management in raising the quality of its resources
e. g. books, computers, research facilities etc. He was impressed to
note that Biztek has grown to be a real 'Category A' university in
such a less span of time.
DHL NAMED BEST EXPRESS OPERATOR FOR 19TH YEAR
At the prestigious 2005 Asian Freight & Supply
Chain Awards (AFSCA) in Hong Kong, DHL - the world's leading express
and logistics company - was named Best Express Operator for the 19th
consecutive year, reflecting the company's market leadership and
service excellence in air express offerings in Asia Pacific.
The award underscored DHL's leadership and ability
to offer the full suite of express and logistics soultions supply
chain solutions from a single source.
Speaking on the occasion, Mr. Salim Awan, MD &
CEO, DHL Pakistan (Pvt) Limited, said: "The awards represent our
customersí vote of confidence in DHL. Over the last few years, we
have put in place a carefully thought-out strategy building on our
infrastructure investments, network coverage; and the development of
innovative express delivery solutions in response to a changing
To date, DHL's investments in the region over the
past several years totaled over US$1.4 billion.
The AFSCA is organised by Cargonews Asia, a leading
freight industry newspaper in the region, and is widely acknowledged
as the industry's most celebrated accolade which seeks to recognise
and honour outstanding shippers, logistics providers and cargo
transport companies. More than 12,500 Cargonews Asia readers were
polled to select companies that are the best service providers in 41
industry-specific categories of this year's AFSCA. DHL is the only
company to have won the Best Express Service award since the Asian
Freight Industry Award - the predecessor of the AFSCA - was
inaugurated in 1987.
ANOTHER ATTRACTIVE DIVIDED FROM PAKISTAN MUTUAL
The Board of Directors of Arif Habib Investment
Management Limited Fund, managers of Pakistan Capital Market Fund (PCMF)
and Pakistan Strategic Allocation Fund (PSAF), both closed-end funds,
declared dividend for FY 2004-05. The book closure for the entitlement
for both funds will be from September 3 to 10 (both days inclusive).
The announcement was made at a board meeting held
on July 30. The Board has approved final cash dividend for PCMF of Rs.
1.75 per certificate. PCMF has already announced an interim cash
dividend of Rs. 1.25 in February 2005. The announcement takes the
total distribution per certificate for the financial year 2004-2005 to
Rs. 3.00 per certificate.
The Board also announced results for Pakistan
Strategic Allocation Fund (PSAF) (launched on 21 July 2004, but
started investing activity in August 2004) and approved a cash
dividend at Rs.1.5 per certification. The announcement takes the total
distribution per certificate for the period from 21 July 2004 to June
2005 to Rs. 2.50 per certificate.
PCMF delivered a cash-flow basic adjusted internal
rate of return of 57% for FY 2004-2005. The market rose 41% during the
The Fund has earned a total income of Rs. 598.90
million (including unrealised appreciation in fair value of investment
classified as held foe trading) during the year. Realised capital
gains totaled Rs. 473.25 million, dividend income was Rs. 84.81
million, income from carry-over transactions (COT) Rs. 25.65 million,
and income from investment in government securities Rs. 3.94 million.
In order to provide the investors the benefit of
being able to exit any time at full value of the Fund, the Board of
Directors of Arif Habib Investments has decided to convert the Fund to
an open-ended fund. Approval from the certificate holders has already
been taken, and same last minute legal requirements are being
fulfilled. This is the first time in Pakistan's history that such a
step has been taken in the mutual fund industry which demonstrates
management's continued commitment to serve its valued investors.
PSAF has earned a total income of Rs 1,046.40
million (including unrealised appreciation in the value of investments
classified as held for trading) during the period. Realised capital
gains were Rs 827.68 million, dividend income was Rs 102.67 million,
and income from carry-over transactions (COT) Rs 94.60 million.
The market rose 41% during the fiscal year and
despite the sharp correction in March, still closed appreciably up by
the close of the year. The market performance was simply a response to
the higher earnings growth, superior corporate results and payouts and
improved market fundamentals. PSAF delivered a cash-flow basis
adjusted internal rate return of 37% for FY 2004-2005.
Arif Habib investment manages three open-ended and
three closed-end mutual funds, with over Rs. 15 billion of assets
under management and has a rating of A(M2) by PACRA. Arif Habib
Investment has received Performance Excellence Award by MUFAP for FY
2003-04 for the best performance of Pakistan Stock Market Fund (PMS)
and Pakistan income Fund (PIF).
JAVEDAN CEMENT LIMITED KARACHI
Javedan Cement formerly Valika Cement is located in
the North of Karachi. Its installation work started in 1961 and
completed in 1964. The installation was executed by expert engineering
firms of Pakistan. M/s Krupp Polysius of West Germany supplied the
machinery for the cement plant. The first production unit with a
500-tonnes/day capapcity was commissioned in 1965 increasing the total
production capacity of the cement plant to 1000 tonnes/day.
Under the Economic Reforms Order of 1972 the cement
plant was nationalized. Javedan Cement Limited has a good reputation
in the country on account of its better quality cement. Javedan Cement
contributed in satisfying the cement demand of Karachi and its
In view of the constant increase in demand of
cement the State Cement Corporation decided the expansion of the
Javedan Cement manufacturing involving suspension preheater and short
dry process kiln. This was the first ever Dry Process plant installed
in Pakistan. Therefore, a team of engineers was trained on various
aspects of the latest technology in the United States. The expansion
project was completed and started production during 1979-80.
The process control of the new plant is based on
computer and sophisticated electronic gadgets backed by X-Ray
Fluorescence Analyzer. With the help of computerization & process
control high quality cement is produced , which not only excels the
local standard specification, but also exceeds the international
standard specification for cement.
Apart from production of Quality Portland cement,
manufacturing of Blast Furnace Slag Cement was started in 1983 so that
the consumers could benefit from a cheaper building material. Slag
cement has gained popularity particularly for its application in
foundation, civil structures and masonry work.
Another breakthrough was made when manufacturing of
Sulphate Resisting Cement was started in 1987. Raw materials available
in the Quarry have been used in the manufacturing of SRC. Javedan
Cement has thus been able to meet the demand of SRC of Karachi and its
adjoining areas. Javedan Cement in the pioneer in manufacturing three
types of cement in Pakistan.
Javedan Cement while satisfying part of the demand
of cement in the country has contributed in providing job
opportunities to over 800 families directly. There has been an
indirect employment of a large number of people of Manghopir and
adjoining areas as well. Thus Javedan Cement is playing its due role
in nation building and uplift of the people.
Javedan Cement Ltd, the only operating unit under
control of State Cement Corporation of Pakistan (Pvt) Ltd/Ministry of
Industries & Production, Government of Pakistan, is performing
very well which is indicative from its production and profit for the
period July, 2004 to June, 2005.
JCL has earned record pretax profit of Rs 300
million during the current financial year as compared to Rs. 121.697
million for the corresponding period of pervious year. The higher
profit is achieved due to high capacity utilization, good governance
and effective management control. The company produced 3,96,508 metric
tons of clinker, which is 42,902 metric tons or 12.13 percent higher
as compared to corresponding period of previous year. The cement
production was 47,615 metric tons, which is 28,628 metric tons (6.39
%) more as compared to same period of last year. The company sold
473039 metric tons of cement, which is 22,531 metric tons (5.00%) more
as compared to same period of last year.
The above results speak of better prospects for the
company as a result of hard work of its management and employees.
DOHA ASIAN GAMES BODY VISITS KARACHI
The Doha Asian Games Organising Committee (DAGOC)
arrived in Karachi as part of the Doha 2006 Games media tour to South
DAGOC, which is traveling throughout nations of
Asia promoting the 15th Asian Games Doha 2006, was welcomed by the
Pakistan Olympic Association which congratulated Doha on its rapid
"There is no doubt that Doha will deliver its
promise to produce the most spectacular Asian Games ever," said
Lt Gen. Syed Arif Hasan, President of Pakistan Olympic Association.
"We would like to congratulate DAGOC on its
considerable progress so far and we look forward to watching with
interest as more exciting developments continue to shine the spotlight
on Doha and the Asian Games."
The Doha 2006 Games, to be held from December 1-15
next year, will further underline Doha's rapid emergence as a world
Sporting Superpower. Over US$2.8 billion are being invested to ensure
that the 10,500 athletes from 45 countries - who will be competing in
39 sports - enjoy 15 days of thrilling sports and cultural
entertainment in a first-class environment.
Mr. Ahmed Al-Khulaifi, the Doha Asian Games
Organising Committee's (DAGOC's) Deputy General for Corporate Support,
said: "We are proud of the phenomenal success the Games has
achieved so far. We are fulfilling the challenge of hosting the Games
with pride while setting an example in the region."
GOVT'S COMMITMENT TO AUTO INDUSTRY HAILED
Referring to the joint press conference held in
Islamabad by the Minister for Industries and Production, Jahangir Khan
Tareen, and Commerce Minister Humayun Akhtar, Chairman Indus Motor Co.
Ali S Habib, noted with satisfaction the government's reaffirmation of
its commitment to support the growth of the local auto industry.
Ali Habib thanked the ministers for confirming that
the revisions in the trade policy were to actually facilitate overseas
Pakistanis in sending secondhand cars to their near relatives under
the existing schemes, and that the trade policy was not directed
towards hindering the expanding automobile industry and investment and
employment opportunities in this sector.
Ali Habib also appreciated the ministers'
assurances that the government will not allow the trade policy to be
misused to the detriment of the local auto industry. He reassured the
government that the auto industry will work with the government to
assist in developing proper procedures so that the incentives to the
trade policy are not misused and are only of benefit to genuine
overseas Pakistanis. The Chairman IMC also reiterated that the auto
industry urgently needs a long term policy so that it can make further
investments, enhance production capacities and reduce the need for
importing used cars.
TRAKKER DIRECT INSURANCE LAUNCHED IN PAKISTAN
Trakker Direct insurance Ltd., Pakistan's first
24-hour Call Centre-based specialist motor insurance company was
introduced to the press at a simple but impressive ceremony at a local
Trakker Direct Insurance Ltd is the newest venture
from Trakker (Pvt) Ltd., Pakistan's largest vehicle tracking company
which now serves over 30,000 customers, with the network coverage in
over 350 cities nationwide and is renowned for its highest stolen
vehicle recoveries and coverage even in Afghanistan.
Mr. Absar Burney, Head of Operations, Trakker
Direct Insurance Ltd., explained to the audience that the purpose
behind launching this concept was to revolutionize for customers the
process of insuring their vehicles, where customers could experience
service on a 24-hour basis round the year, through the call centre
which assists them in offering an insurance quote, taking orders,
insurance activation and for lodging a claim or a complaint.
Mr. Iftekhar Ahmed, Chief Operating Officer, was
also present at the press conference and informed the audience about
other salient features of the company, including customers being
provided with a free C-Track with no hidden cost, fast claim
settlements, risk profiling based on vehicles history, courtesy car,
emergency medical treatment, ambulance dispatch, besides other
AXALTO PROVIDES UBL COMPLETE EMV PACKAGE
Axalto (Euronext: NL0000400653 - AXL), the world's
leader in microprocessor cards, has announced that it is supplying
high-end EMV chip banking cards to United Bank Limited (UBL),
pioneering the first EMV rollout in Pakistan. Axalto provided UBL with
a complete EMV package including data preparation, cards supply and
"We are proud to have achieved the first EMV
cards deployment in Pakistan," said Nauman Hussain, Group
Executive, Operations and Technology, United Bank Limited. "Axalto
worked as a genuine business partner alongside UBL to step up to the
challenge of EMV migration in record time. Rayyanco, Pakistan's
leading supplier of business and banking automation, also contributed
to the success of this major deployment through the excellent support
of their teams."
"As a worldwide smart card technology
provider, Axalto is ideally positioned to partner with companies in
the banking community, drawing on its business expertise across
consulting and EMV project man," commented Philippe Cambriel,
President EMEA, Axalto. "We are delighted to support UBL in
offering their customers highly-secure EMV-based transactions."
The EMV migration is intended to reduce fraud and
related losses, which are an increasing threat to consumers, tarnish
bank to customer relationship and overall generate unnecessary pain
and expenses to all parties. The EMV standard affords cardholders
cutting edge security for their transactions, since chip-enabled
banking cards have proven to be virtually impossible to forge compared
to magnetic stripe cards. MEV also provides banks with a gateway to
promising market of expanded services, catering to today's
increasingly demanding cardholders. It allows financial institutions
to improve differentiation by providing exceptional levels of
transaction convenience and security while greatly enhancing their
offerings with value-added services such as loyalty programs,
cardholder authentication for e-commerce and on line services, and
Axalto has a proven track record in worldwide
implementation of EMV migration projects. This new success reinforces
Axalto's positioning as the world's leading EMV solution provider and
paves the way to more EMV migration programs in Pakistan and in the
CAR MAKERS DISCUSS TRADE POLICY'S 'NEGATIVE' IMPACT
Representatives of Pak Suzuki Motor Co, Indus Motor
Co, Honda Atlas Cars and Deewan Farooque Motors held a meeting to
discuss the negative impact of the Trade Policy. Showing serious
concern, in a joint press statement, they said that the new Trade
Policy 2005-06, recently announced would cause significant damage to
the auto manufacturing industry.
The drastic changes made in the trade policy
coupled with increase in depreciation rate and reduction of duties on
the import of CBU cars will cause colossal damage to the growing local
auto manufacturing and vendor industry.
The industry representatives expressed concern that
the countries in the region such as India and Thailand are supporting
their local industry through higher tariff on used cars than those for
new CBU and CKD cars and non Tariff barriers such as registration in
importers name, conformance to original homologation certificate,
pre-shipment inspection and testing, conformance of specifications to
local vehicle code, etc. Compared to an effective rate of duty of 25%
in Pakistan, the duty on used cars in India is as high as 156%.
With the liberalized import of used cars, the wheel
of economic and technological growth will turn back, forcing the
manufacturers and vendors to hold their planned investments of over Rs.
80 billion by 2010 in capacity expansion projects. As a chain
reaction, 200,000 people may loose their jobs. The contributions to
GDP, investment and government revenues will significantly be reduced.
Car financing and financial sector will be adversely affected, hurting
economic activity even further.
Responding to the growth in demand, the auto and
vendor industry has enhanced its production from 49,000 units/yr to
160,000 units/yr in four years. This had encouraged further transfer
of technology and many technical agreements and joint ventures were in
While the government is interested in facilitating
overseas Pakistanis, the real beneficiaries to this drastic
liberalization will be the used car traders. There will always be the
issues of availability and cost of spare parts, properly equipped
dealerships with trained labour, and adequate resale value for these
used cars. Imported second hand cars will not have any warranties and
neither would they go through any checks to ensure that they comply
with quality, safety and pollution standards.
The representatives of the industry pleaded to the
government to provide a consistent, long term and resilient policy
which is imperative for maintaining the growth of the auto industry.
Mr. Ali Jameel, CEO Trakker Direct Insurance,
commenting on the introduction of Pakistan's first Call Centre-based
car insurance company at a press conference held at the Sheraton on
27th July 2005
SHELL DECLARES RS 27 PER SHARE FINAL DIVIDEND
Shell Pakistan Ltd delivers strong results for the
full year ended June 2005 by achieving a profit after tax of Rs 2,451
million as compared to Rs. 1, 508 million showing a growth of 63% over
the same period last year. The improvement in profits was due to a
better product mix and increasing international oil prices.
The Board of Director recommends a final dividend
of Rs. 27.00 per share which together with the interim dividend of Rs.
8.00 per share, declared in January 2005, will bring the total
dividend for the financial year 2004-2005 to Rs. 35.00 per share
(350%). Additionally, the Board has recommended the issuance of bonus
shares in ht proportion of 1 share for every 4 shares held i.e. 25%.