PORT QASIM: A WORLD-CLASS INDUSTRIAL CITY IN THE MAKING
Oct 19 - 25, 2009
Port Qasim besides its strategic location has a unique advantage of a huge undeveloped land in its peripheral area. For its development the government has chalked out ambitious plans which are destined to turn Port Qasim a world class industrial city to add new colors to the economic landscape of the country.
It is heartening to see that renowned international players from the developed countries like Japan, China, Canada, UK, US, and other countries have acquired lands for their proposed projects with a cumulative investment commitment of over $9.4 billion.
In fact, it is time when the idea of developing Port Qasim as an industrial city would be materialized and this upcoming industrial city is going to be a focal point of the international players who can use this industrial port as a terminal and export base for the regional countries as well as African countries.
While discussing the future outlook of Port Qasim and the Japanese Special Economic Zone (JSEZ) in a meeting, Toshikazu Isomura, Deputy Consul General of Japan and Osamu Sakurai, Economic Advisor at the Consulate-General of Japan in Karachi said that though the project of JSEZ near Port Qasim, and exactly at Dhabeji, was still in its initial stage yet they were confident in view of its strategic location in the entire Asia. It is certainly to be the hub of trade and industrial activity not only in Pakistan, but also in the entire region.
The Deputy Consul General said that money was always shy and needed congenial law and order situation to keep flows. He was quite satisfied with the stable law and order situation in Karachi for the last two three years as compared to other provinces where the situation was not good. He said although the situation in Karachi was better yet it needed to be improved in future as well. However, unabated incidents of terror in the upcountry especially in NWFP and Lahore are not a good sign and might send a negative message to the investors abroad.
As far as the infrastructure is concerned, the Japanese diplomat despite bad performance of KESC is satisfied with its performance in the Karachi Export Processing Zone, which is getting uninterrupted supply of power. He expressed the hope that the same quality of power supply would be maintained in the forthcoming special zones around Port Qasim specially the Japanese zone, which would be relying on KESC, KWSB, and SSGC for supply for electricity, water, and gas in the zone. He indicated that a high-level delegation has yet to visit Japan for the final touch of the forthcoming zone.
Osamu Sakurai said that Yamaha Japan had planned to set up a plant initially as a vendor unit and later on it would go into assembly as well. The government has however offered incentives in the form of taxation package, which includes customs duty, and income tax.
The Yamaha has an investment plan of $150 million in its forthcoming vending plant, which it intends to use as an exporting base to neighboring countries and Africa.
Muhammad Zubair Motiwala, is the advisor to Chief Minister Sindh for investment and is a prominent business leader as well as industrialist who besides having a score of his private and official assignments manages his industrial unit i.e. Diamond Textile as its managing director.
As a business leader, he serves the cause of trade and industry in various capacities and is committed to make efforts for sustainable economic and financial growth of the country.
He has been Chairman SITE Association of Industry, Chairman All Pakistan Textile Processing Mills Association of Industry, and the President of Karachi Chamber of Commerce and Industry.
His current assignment as the Advisor to Chief Minister on industrial investment is to encourage and promote investment and joint ventures in Sindh in close collaboration with the other relevant federal and provincial agencies including Board of Investment.
Explaining the task and challenges of the investment board, he said that the Sindh Board of Investment (SBOI) would provide fast track support to the investors under 'One Window Service' for completion of their projects and resolving issues faced by the existing projects/companies operating in the province.
The Board is supposed to resolve the problems faced by the existing industry and business in coordination with federal government for overcoming the impediments in current productivity in the province. It is also responsible to identify investment opportunities and the priority areas to be focused in the province, which could be marketed by the SBOI for attracting local and foreign investment; to deliberate and decide for provision of infrastructure in the form of developed industrial estate at suitable locations in the province; to facilitate establishment of export processing zones in Sindh through the Export Processing Zone Authority (EPZA) independently, or as a joint venture with EPZA; to take all required measures to boost economic growth and productivity in livestock & fisheries, tourism, and infrastructure etc; and to supervise the Sindh privatization portfolio.
An investment coordination committee has been constituted, making it mandatory for designated members to be present in every meeting to be held once a month by the Principal Secretary to CM and quarterly by the Advisor.
The choice of Zubair to encourage investment in Sindh is certainly going to create hype in the business circles and to capitalize on the available business potential in the fast emerging economic zones around Port Qasim.
Zubair Motiwala gave exciting details of the forthcoming projects having domestic as well as foreign investment, which certainly take time to materialize yet when it becomes operational the Port Qasim is going to be a new industrial hub with bustling business activities not only in Karachi but also across Pakistan.
Of course, boundless potential is available to generate economic activity, which calls for sustainable efforts to make this dream a reality for the glory of a prosperous Pakistan, he remarked.
|S. NO||PROJECTS||COST ESTIMATE|
|1||P&G Project||$75 Million|
|2||Establishment of Grain & Fertilizer Terminal||$ 100 Million|
|3||QICT terminal||$350 Million|
|4||Zorlu Wind power project||$110 Million|
Downstream Steel Units
(M/s South Asia Steel Works)
|$ 200 Million|
Oil Refinery & Real Estate Development
(M/s Noor Financial Investment Co., Kuwait)
|$ 1.5 Billion|
|7||Coal mining & Power Project at Sondha Jherruk||$ 450 Million|
|8||Al-Tuwarqui Steel Mills||$ 100 Million|
|9||Metro Cash & Carry- Whole Sale Chain of Stores||$ 300 Million|
M/s. Midroc Tussonia (Kuwait)'s Projects
Oil refinery in Karachi
100 MW Wind Farm
|USD 600 million|
Indus Refinery (Canada)
Establishment of 130,000 barrels/day oil refinery
|USD 1 billion|
|12||Education City||USD 1 billion|
|13||Pakistan Japan Economic Zone||USD 500 Million|
|14||Mashal LNG Terminal at Port Qasim||USD 1 billion|
Real Estate development in Islamabad & Karachi
|USD 2.4 billion|
Al Ghurair Giga (UAE)
Real Estate developments
|USD 1 billion|
PAKISTAN'S LIQUID FOREIGN RESERVES POSITION
The total liquid foreign reserves held by the country stood at $ 14,464.1 million on 10th October, 2009. The break-up of the foreign reserves position is as under: -