OVERVIEW OF INDUSTRIAL DEVELOPMENTS
SHABBIR H. KAZMI
Dec 5 - 11, 2011
Punjab has around 70,000 industrial units but Lahore and Gujranwala have the largest concentration of manufacturing units. Faisalabad has the largest number of textile units and Sialkot excels in manufacturing of sports goods, surgical instruments, and cutlery goods. The rapid industrialization started sooner after independence but over the last quarter of a century development of major industrial estates has contributed a lot.
Faisalabad is an important industrial centre west of Lahore. It is bound on the north by the districts of Gujranwala and Sheikhupura, on the east by Sahiwal, on the south by Toba Tek Singh and on the west by Jhang. Faisalabad has a strong industrial base including textiles, jewellery, home furniture, and pharmaceuticals, assisted by the expanding transport network, which includes newly built motorway and highways to Lahore, Multan, Sargodha and Islamabad/Rawalpindi.
Faisalabad is one of the three planned cities of the country. There are thousands cottage units including some 60,000 power loom factories. Faisalabad contributes more than 70 per cent to Pakistan's textile export market of Pakistan.
Sialkot is the third largest economic hub in Punjab after Lahore and Faisalabad. The manufacturers and exporters of the city have been awarded annual national exports award by the federation of Pakistan chambers of commerce and industry (FPCCI) several times.
Sialkot has an industrial estate and an export processing zone. Another export processing zone is planned along the Sialkot-Lahore Motorway. Sialkot is the world's largest producer of hand-sewed footballs, with local factories manufacturing 40-60 million footballs a year, amounting to roughly 70 per cent of world production. Sialkot also provides dental instruments, surgical instruments, beauty instruments and other all sorts of hospital equipments. Other important industries in Sialkot include leather tanneries, leather garments, musical instruments, surgical and dental instruments, sportswear including martial arts wear, gloves, badges, seat and walking sticks, cutlery, hunting knives, air guns and shotguns. These are all export-oriented businesses and earn billions of dollars every year in foreign exchange. There are several other allied industries, which are working day and night as vendors for the automobile industry of Pakistan. Sialkot has also a rich tradition of producing wooden and steel furniture, rubber products and cooking utensils.
Gujranwala is the commercial and industrial nerve center in Pakistan. It plays major role in building the national economy. It is a large industrial city with numerous textile mills, cutlery industry, and large agricultural processing plants.
Major items produced include textiles, room coolers and heaters, gas stove, agricultural implements, electrical equipments, carpets, surgical instruments, leather products, metal utensils, automotive machinery parts, and machinery for military uses, transformers, electric fans, hosiery, washing machines, rice husking plants, motorcycles, food products, domestic and industrial motors.
In 2003, government of Punjab announced its industrial policy and established Punjab Industrial Estates & Development and Management Company (PIEDMC) to pursue its industrial vision. Punjab industrial estates (PIE) incorporated under Companies Ordinance 1984 is owned by the government of Punjab and managed by a board of directors. Majority of the directors belong to private sector. It can be termed a successful example of public-private partnership.
Kot Lakhpat Industrial Estate is the oldest planned industrial estate of the province, which has been given a new name, Quaid-e-Azem Industrial Estate (QIE). The project started in 1960s is spread over 565 acres. It has 477 industrial plots varying in size.
The estate was earlier managed by housing & physical planning, government of Punjab and later by Lahore Development Authority. It is managed by a board of directors with majority belonging to private sector representing various industrial segments of the estate and the rest representing the government. QIE is sited at a prime location, adjacent to township in the city of Lahore and is easily accessible
Sundar Industrial Estate (SIE) spread over 1600 acres of land was inaugurated in February 2007 and it is a vision turned into reality. The objective was to develop an industrial estate where issues of industrialists are handled and problems solved under 'One Window' operation. SIE is ideally located at approximately 45KM from the centre of Lahore on Sundar Raiwind Road. Approximately 1028 acres are under industrial plots and remaining area has been dedicated for roads, infrastructure, amenities, utilities, commercial area, green belt, etc. Overall distribution/utilization is based on international standards and need assessment surveys. All plots have been sold out at SIE.
Multan Industrial Estate (MIE) was approved in 1960's spread over 140 acres of land. However, later on the government of Punjab decided to develop it in phases. Phase-I comprising of 743 acres was developed and completed in 1980's whereas 667 acres were developed subsequently as phase-II. All plots in phase-I were leased out for a period of 99 years.
The phase-I suffered from poor quality of infrastructure. Road network and sewerage system was highly inadequate and over a period of time MIE was flooded with effluents causing serious health and environment issues. In 2004, its control was formally handed over to PIE to revive industrial activity.
An amount of Rs100 million was allocated by the provincial government for up gradation of the infrastructure and an equal amount was contributed by PIE. Encouraged by the response of up-gradation work in Phase-I, PIE was assigned the task of development of infrastructure work for Phase-II in September 2006. It is located at a distance of approximately 17 km southwest of Multan city.
Phase-II is spread over an area of 667 acres out of which 426 acres have been allocated for industrial plots and remaining area has been dedicated for amenities and infrastructure development.
Bhalwal Industrial Estate (BIE) is located on Bhalwal-Bhera Road. BIE is spread over 358 acres of land has been started in 2011. It is the third project assigned to PIE for infrastructure development and envisioned to be an 'island of facilitation in a sea of harassment' for prospective industrialists. Approximately 250 acres are under industrial plots and remaining area has been dedicated for services.
Rahim Yar Khan Industrial Estate (RIE) comprising of 458 acres of land has also been started in 2011. RIE is ideally located at approximately 20KM from Rahim Yar Khan City towards Sadiqabad on Karachi Lahore Peshawar (N-5) motorway. Approximately 321 acres have been reserved for industrial plots and remaining area has been dedicated for services.