tag:blogger.com,1999:blog-5848640164815342479.post8937028444436380193..comments2024-03-18T16:01:13.871-07:00Comments on Haq's Musings: Pak-China Industrial Corridor to Boost Pakistan's FDI, Mfg and ExportsRiaz Haqhttp://www.blogger.com/profile/00522781692886598586noreply@blogger.comBlogger89125tag:blogger.com,1999:blog-5848640164815342479.post-58929571357041811402023-03-24T08:00:50.362-07:002023-03-24T08:00:50.362-07:00The federal government has decided to go ahead wit...The federal government has decided to go ahead with the China Pakistan Economic Corridor (CPEC) amid the watchful eyes of international entities. The federal cabinet has approved the commencement of the second, and most important, phase of the CPEC project for industrial development of Pakistan.<br /><br />https://profit.pakistantoday.com.pk/2023/03/23/despite-international-pressure-pakistan-proceeds-with-the-second-phase-of-cpec/<br /><br />According to reports, the industrial cooperation agreement between the two neighboring countries will be effective till 2025, with the possibility of further expansion. They elaborated that under the agreement, there will be capacity building and skill development of Pakistan’s CPEC workforce. The Ministry of External Affairs and Ministry of Law jointly endorsed the draft agreement, sources claimed.<br /><br />To clarify, BoI is the lead agency of the Joint Working Group (JWG) on industrial cooperation under CPEC from the Pakistani side. On the other hand, the Chinese counterpart of the BoI is the National Development & Reform Commission (NDRC), China.<br /><br />A framework agreement was also signed between both parties in 2022, which besides other matters of significance, also aims to foster skill development and capacity building of the local workforce. This shows the potential skilling and economic advancement that Pakistan anticipates would result from the current endeavor.<br /><br />Here is what happened in the pursuance of the consensus reached in the Framework Agreement and the 10th JCC meeting of CPEC, held on 23rd September 2021, the NDRC– China has proposed that an MoC between BoI and the All-China Federation of Trade Unions (ACFTU) is likely to be signed, in order to strengthen workers’ exchange under CPEC Industrial Cooperation.<br /><br />Sources further hinted that the proposed MoC envisages to conduct exchange programmes of Government officers and workforce associated with CPEC projects, through capacity building and skill development, Chinese language courses, and any other mutually agreed mechanism to promote people to people ties.<br /><br />According to sources, BoI and ACFTU have reached consensus on the text of the draft MoC, which has been duly vetted by the Law Division, as well as been concurred by the Ministry of Foreign Affairs.<br /><br />Based on the draft copy, available with Profit, of the MoC between the ACFTU of China and the BoI of Pakistan, there will be an agreement between the two entities to promote industrial cooperation, within the framework of the China-Pakistan Economic Corridor Industrial Cooperation (CPEC IC).<br /><br />In the foreseeable future (2023-2025), and keeping in mind the COVID-19 pandemic, both sides will, on the basis of mutual consent, hold online workers symposiums at regular intervals, as well as, carry out relevant exchanges and cooperation. The online symposium will be designated for the workforces of both countries that are actively engaged in and contributing to the construction of CPEC. This will provide a platform to augment people to people exchanges through experience sharing and suggestions for the future development of CPEC.<br /><br />Moreover, online seminars based on the Chinese’s successful experience in development for Special Economic Zones (SEZs) shall also be organized for the concerned stakeholders in Pakistan. Following the same timeline, in the next three years, both sides shall initiate an exchange programme by arranging activities in their respective countries to foster practical people to people and cultural exchanges on ground.<br /><br />To provide first hand experience of the successful industrial models in China, the Chinese stakeholders shall facilitate the field visits of the concerned teams from Pakistan, including the Chinese SEZs, sources told Profit. Likewise, in order to mitigate the language barrier between the two countries’ workforces associated with CPEC, while promoting brotherly relations and cultural ties, both sides shall arrange exchange programmes by holding language learning courses in their respective countries.<br /><br />Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-76935960954698847322022-12-25T19:05:27.368-08:002022-12-25T19:05:27.368-08:00ADB CAREC Energy Report
https://www.adb.org/site...ADB CAREC Energy Report<br /><br /><br />https://www.adb.org/sites/default/files/publication/850111/carec-energy-outlook-2030.pdf<br /><br /><br />Transmission and Distribution<br />Pakistan’s power T&D system is suffering from significant energy losses and disruptions. In 2020, 19.8%<br />of energy was lost during its transmission, distribution, and delivery to end consumers. Among the<br />10 distribution companies, losses vary greatly from 9% to 39% (NEPRA 2020). On average, the country<br />experienced 81 interruptions (system average interruption frequency index) lasting nearly 5,300 minutes<br />(system average interruption duration index) in 2020. The poor performance can be attributed to a<br />variety of factors, including poor technical conditions, insufficient collection rate of accounts receivable,<br />and issues with circular debt present in the country.<br />Pakistan had 7,470 kilometers (km) of 500 kilovolts (kV) and 11,281 km of 220 kV T&D lines in 2020.<br />Distribution companies are responsible for T&D activities below 132 kV. Importantly, only 74% of Pakistan’s<br />population is connected to the power grid. With high electricity losses and frequent outages, Pakistan is<br />planning to introduce advanced grid management infrastructure and metering. Advanced conductors and<br />other smart grid upgrades could help reduce T&D losses.<br />There are two operators in Pakistan’s natural gas T&D system: Sui Northern Gas Pipelines Limited<br />(SNGPL), covering the central and northern regions of the country; and Sui Southern Gas Company<br />Limited (SSGCL), covering the southern regions. Total grid losses accounted for nearly 17% by SSGCL and<br />11% by SNGPL in 2020. According to estimates, average leakage rate is 4.9 leaks per km for SSGCL, and<br />2.2 leaks per km for SNGPL (for comparison, this value equals 0.2 in Germany and 0.4 in Massachusetts, on<br />average). The gas pipeline systems require a major overhaul and modernization to increase the efficiency<br />of transportation and to reduce leakages.Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-3569730352772171262022-12-25T19:04:09.293-08:002022-12-25T19:04:09.293-08:00ADB CAREC Energy Report
https://www.adb.org/site...ADB CAREC Energy Report<br /><br /><br />https://www.adb.org/sites/default/files/publication/850111/carec-energy-outlook-2030.pdf<br /><br />Electricity Generation<br />Pakistan’s electricity sector has a total installed capacity of 34.5 GW, with thermal generation dominating<br />the power mix, having a share of 66% (National Transmission and Despatch Company 2020). Gas-fired<br />plants are the main source of power, having an installed capacity of almost 9.3 GW, while oil-fired power<br />plants have 6.5 GW installed capacity and coal-fired plants have 4.6 GW. Since the regulatory framework<br />allowed independent power producers to develop generation projects, multiple new thermal power<br />plants were constructed. As the country’s oil and natural gas reserves are diminishing, further growth in<br />alternative energy sources is needed.<br />Historically, hydropower was one of the main sources of electricity generation in Pakistan. The total<br />hydropower resource potential is estimated at 60 GW (Faizi 2020). However, with the expansion of<br />thermal power, its share in electricity has declined significantly and currently holds a 29% share of total<br />installed capacity. The country has 30 hydropower plants in operation, with a total installed capacity<br />of 9.9 GW, including 17 categorized as major hydropower and 13 as small hydropower units operating<br />mainly as a run-of-river units. The three main projects are Tarbela Dam (4.8 GW installed capacity),<br />Ghazi–Barotha (1.4 GW), and Mangla Dam (1.1 GW). Tarbela and Mangla dams, commissioned in the<br />1970s, are considered the main contributors to hydropower generation. To enhance the quality and<br />reliability of supply, Mangla Dam is planned for refurbishment, and Tarbela Dam for extension.<br />Pakistan’s first nuclear power plant, Karachi Nuclear Power Plant (KANUPP), began operations in 1970,<br />with a capacity of 100 megawatts (MW). Since then, nuclear power generation has experienced active<br />growth, and current capacity is 2.5 GW. Cross-country cooperation is a cornerstone of Pakistan’s strategy<br />to reach its goal of 8,800 MW of nuclear installed capacity by 2030. Currently, one new reactor of<br />1,100 MW is being built.<br />The country’s renewable energy potential has been realized to only a limited extent. The theoretical<br />potential of total wind energy is estimated at 340 GW, with the southern wind corridors being the most<br />auspicious—the Gharo–Keti Bandar wind corridor has over 50 GW of potential alone. However, only<br />around 1.1 GW of wind energy capacity is currently in operation. Likewise, solar power has tremendous<br />potential—as high as 2,900 GW, only about 0.4 GW of which is installed as of 2021. Although projects such<br />as the Quaid-e-Azam Solar Park (0.4 GW capacity) were successfully implemented, the lack of political<br />commitment, land availability, and the lower performance of outdated PV plants installed earlier are among<br />the reasons for limited development of renewable energy. Additional potential solutions include offshore<br />wind, floating solar PV in existing hydropower reservoirs, and wind farms near hydropower plants with<br />integration into existing grid infrastructure.<br /><br />Power generation during fiscal year 2020 reached 121,691 GWh: 32% by hydroelectric plants, 57% by<br />thermal plants, 8% by nuclear plants, and 3% by renewable energy power plants.<br />Transmission and Distribution<br />Pakistan’s power T&D system is suffering from significant energy losses and disruptions. In 2020, 19.8%<br />of energy was lost during its transmission, distribution, and delivery to end consumers. Among the<br />10 distribution companies, losses vary greatly from 9% to 39% (NEPRA 2020). On average, the country<br />experienced 81 interruptions (system average interruption frequency index) lasting nearly 5,300 minutes<br />(system average interruption duration index) in 2020. The poor performance can be attributed to a<br />variety of factors, including poor technical conditions, insufficient collection rate of accounts receivable,<br />and issues with circular debt present in the country.<br />Pakistan had 7,470 kilometers (km) of 500 kilovolts (kV) and 11,281 km of 220 kV T&D lines in 2020.<br /><br />Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-22704716723698995672022-09-21T10:40:27.069-07:002022-09-21T10:40:27.069-07:00How to Jump-Start Industrialization in Sub-Saharan...How to Jump-Start Industrialization in Sub-Saharan Africa<br />May 27, 2021<br />By Yi Wen , Iris Arbogast<br /><br />https://www.stlouisfed.org/publications/regional-economist/second-quarter-2021/how-jump-start-industrialization-sub-saharan-africa<br /><br />KEY TAKEAWAYS<br />Most sub-Saharan nations have such low per capita incomes that it would take decades of double-digit growth to attain U.S. living standards.<br />Nations that industrialize successfully often begin with small-scale efforts and progress to mass-producing heavy industrial goods.<br />African countries could follow this development pattern with government-provided infrastructure and other support.<br /><br />When considering income disparities across nations, the differences often can be striking, particularly for nations in the sub-Saharan region of Africa. Per capita income in many poor countries like these is 30 to 50 times smaller than in the U.S. In sub-Saharan Africa, 38 of 48 countries had gross national income (GNI) per capita levels below $2,300 in 2019, while GNI per capita was $65,850 in the U.S., according to data from the World Bank’s World Development Indicators database.<br /><br />Generations of economists have studied economic development and given policy suggestions to officials in poor countries in Africa and elsewhere, but the disparities remain. To catch up to U.S. living standards, they would need to grow at about 11% per year for 40 to 50 years—an almost impossible standard that only China has come close to achieving in recent history.<br /><br />The New Stage Theory of Development<br />The commonality between successful Asian countries’ industrialization (such as China’s rapid rise in the past 40 years) and successful European nations’ industrialization (such as the British Industrial Revolution in the 18th* and 19th centuries) is that these economies all went through three key stages during their industrialization, according to the New Stage Theory of Development (NST):1<br /><br />Proto-industrialization, which features massive numbers of workshops in rural areas with small-scale production of basic consumer goods for long-distance trade<br />A first industrial revolution, which features mass production of labor-intensive, light consumer goods for domestic and international markets<br />A second industrial revolution, which features mass production of capital-intensive, heavy industrial goods<br />The first stage is very important but has been largely ignored by development economists. During this initial stage, rural farmers or poor households in urban areas use their free time to manufacture simple products and engage in long-distance trade. This raises their income and nurtures the formation of an increasingly unified market and primitive production networks, while developing entrepreneurship and labor skills. 2<br /><br />During the second stage, large-scale factory systems become prevalent for light industries such as textiles, processed food, toys and furniture. This mass-production stage is labor-intensive, export oriented and benefits from poor countries’ comparative advantage in cheap labor. Mass production in the second stage is profitable only because proto-industrialization has created a large enough market and distribution networks for consumer goods.<br /><br />Finally, the expansion of light industry in the second stage facilitates the formation of a large enough market for heavy industrial goods—such as means of transportation, energy, steel and heavy equipment. This is not only because the income of workers needs to be high enough to purchase big-ticket items such as automobiles, but because mass production of heavy industrial goods is profitable only after the second stage creates a mass-production chain to support their demand. 3Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-40739118140675296902022-09-21T10:20:29.504-07:002022-09-21T10:20:29.504-07:00Muneeb Sikander
@MuneebASikander
1/2 Pak Flood hit...Muneeb Sikander<br />@MuneebASikander<br />1/2 Pak Flood hit rural economy<br /><br />Work produces things of value and transforms physical world in ways to make life better and survival possible. <br /><br />But without organised and purposeful productive action, i.e., work, not possible for most people asis at the base of economic order<br /><br /><br />https://twitter.com/MuneebASikander/status/1572606162939289601?s=20&t=hDUZH4AawwsjZEdasU77jw<br /><br />----------------<br /><br />2/2 Flood hit rural areas <br /><br />Agrarian to agriculture/livestock based or limited workshop industry. Limited Agri TFP + 15.4 million at poverty risk<br /><br />1. Need for agri TFP improvement<br />2., Need to diversify economic base by Proto-industrialization, <br /><br />https://www.stlouisfed.org/publications/regional-economist/second-quarter-2021/how-jump-start-industrialization-sub-saharan-africa<br /><br />https://twitter.com/MuneebASikander/status/1572606221076819970?s=20&t=hDUZH4AawwsjZEdasU77jwRiaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-17686871401203491792022-06-17T13:32:02.499-07:002022-06-17T13:32:02.499-07:00Pakistan light oil pipeline project undertaken by ...Pakistan light oil pipeline project undertaken by CPP completed<br /><br />http://en.ce.cn/Insight/202206/13/t20220613_37750580.shtml<br /><br />FAISALABAD, Jun. 13 (Gwadar Pro) –Recently, the MFM MoGas Project – (MFM MP) Phase-II (TS-3 & TS-4), constructed by China Petroleum Pipeline Engineering Co., Ltd. (CPP) was officially completed and successfully passed the owner's inspection.<br /><br /><br />“Since we officially entered the Pakistani market in July 2014 and registered the Pakistan Branch of China Petroleum Pipeline Engineering Co., Ltd. in October 2017, we have completed a total of 9 projects here. Beyond all question, the light oil pipeline project means another challenge for us," said Wang Desheng from the TS-3 & TS-4 EPC Project Department in an exclusive interview with Gwadar Pro.<br /><br />“Our owner, Pak–Arab Refinery Limited (PARCO), operates a pipeline transportation system of more than 2,000 kilometers, from Karachi in the south to Lahore in the north, which can be described as the main artery that helps Pakistan’s north-south energy transmission. In recent years, demand for motor gasoline has grown rapidly in north and central Pakistan, so the PARCO started planning to use the same pipeline to transport gasoline to alleviate the shortage in the region, thereby stabilizing its market share in north-central Pakistan,” Wang told Gwadar Pro, “therefore, Mahmood Kot-Faisalabad-Machike (MFM) Pipeline Phase II Reconstruction and Expansion Project came into being, which also included our project.”<br /><br />The TS-3 and TS-4 stations are located in Faisalabad and Sheikhupura, Punjab, respectively. The former includes a single gasoline storage tank (42 meters in diameter, 12.6 meters in height, and a tank capacity of 15,000 cubic meters), a fire water storage tank (15.24 meters in diameter, 13.1 meters in height and a tank capacity of 2200 cubic meters), etc. The latter includes 2 single gasoline storage tanks (42 meters in diameter, 12.6 meters in height and a tank capacity of 15,000 cubic meters), a fire water storage tank (18.2 meters in diameter, 14.63 meters in height and a tank capacity of 3500 cubic meters) and related supporting facilities.<br /><br />According to Wang, their project has always adhered to the strictest engineering quality standards since the start of construction in November 2017 until the owner issued the completion certificate recently. “During the construction period of several years, our team overcame challenges such as local climate, customs differences, project safety, and successfully overcame the huge difficulties brought by the COVID-19 epidemic, and the project proceeded smoothly. It can be said that the owner's affirmation means our success,” Wang emphasized.<br /><br />Besides, as for employment, the project also created a series of jobs to local technical talents. The reporter learned that during the peak construction period, the total number of people on site reached nearly 400. The project department recruited a group of skilled and experienced Pakistani engineers, and the person in charge of HSE also provided training on epidemic prevention and various rules and regulations.<br /><br />In Wang’s view, there are huge opportunities for cooperation between CPP and Pakistani companies in the oil and gas industry, which has a considerable market in Pakistan. At present, the CPP has established good cooperative relations with major oil and gas industry owners such as SSGC, SNGPL, PARCO, ISGS, OGDCL, etc. in Pakistan, and has won a good reputation locally. “In the future, we will always pay attention to local policy trends and seize the opportunity to promote the comprehensive development of large-scale oil and gas projects in the China-Pakistan Economic Corridor. China-Pak friendship Zindabad!”<br />Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-45369558025711125572022-02-09T20:46:42.937-08:002022-02-09T20:46:42.937-08:00Pakistan, China agreement on industrial cooperatio...Pakistan, China agreement on industrial cooperation a breakthrough: Dawood<br /><br />https://www.brecorder.com/news/40153174<br /><br />The advisor added that the agreement will augment the process of B2B [Business to Business] collaboration and matchmaking. “[It would] pave the way for industrial relocation from China and export-led growth with numerous direct/indirect benefits to the economy,” he said.<br /><br />“I congratulate BOI for this landmark achievement,” said Dawood.<br /><br />The CPEC Joint Working Group (JWG) on Industrial Cooperation was established in 2016 and an MoU was signed between the parties in 2018. With the passage of time and as the CPEC entered its second phase, the need for a comprehensive Framework Agreement became imperative.<br /><br />CCoCPEC to fine-tune PM’s China agenda<br /><br />Both sides reached a consensus on the elevation of the MoU into a Framework Agreement in 2020.<br /><br />The agreement reaffirms prioritised development and operations of the nine CPEC SEZs, with primary focus on the early completion of Rashakai SEZ in KP, Allama Iqbal Industrial City in Punjab, Dhabeji SEZ in Sindh, and Bostan SEZ in Balochistan.<br /><br />For colonisation of these SEZs, the business-to-business matchmaking mechanism of Pakistani and Chinese enterprises has also been emphasised, which will proliferate the people-to-people and institution-to-institution linkages.<br /><br /><br />---------------<br /><br /><br />Abdul Razak Dawood<br />@razak_dawood<br />Signing of Framework Agreement on Industrial Cooperation between 🇵🇰Pakistan & 🇨🇳 China is a breakthrough for CPEC Phase II and a significant outcome of the PM’s visit to China. The agreement will augment the process of B2B collaboration and matchmaking 1/2<br /><br />https://twitter.com/razak_dawood/status/1491324260455190528?s=21<br /><br /><br />Abdul Razak Dawood<br />@razak_dawood<br />and pave the way for industrial relocation from China and export-led growth with numerous direct/indirect benefits to the economy. I congratulate BOI for this landmark achievement. 2/2<br /><br />@investinpak<br /><br />@mincompk<br /><br />@aliya_hamza<br /><br />@MAzfarAhsan<br />#China #Pakistan<br />@CPEC_Official<br /><br />https://twitter.com/razak_dawood/status/1491324262359367680?s=20&t=YJ8CVsNeC58lFPWj4WYuRA<br /><br />Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-12948693551749450662022-02-02T06:50:17.456-08:002022-02-02T06:50:17.456-08:00ADB study stresses economic corridor development t...ADB study stresses economic corridor development to transform Pakistan's economy<br /><br />https://www.dawn.com/news/1672882<br /><br /><br />https://www.adb.org/sites/default/files/publication/768396/economic-corridor-development-pakistan.pdf<br /><br /><br />Explaining the rationale behind selecting the routes, the study said: "[They] offer real untapped economic potential with opportunities to diversify; good development synergy for linking production networks especially small and medium-sized enterprises with markets and other economic agents; close links to the CPEC (China-Pakistan Economic Corridor) and Carec (Central Asia Regional Economic Cooperation) routes; and favourable prospects for connecting and realising the economic potential of underdeveloped regions in Balochistan and Khyber Pakhtunkhwa."<br /><br />Maximising CPEC benefits<br />The study also touched upon CPEC and said that it could pull off a number of economic objectives if it was implemented successfully.<br /><br />However, it cautioned that CPEC alone could not improve the economy and would need to be supported by structural reforms to unleash its true potential.<br /><br />The ADB report suggested four policy recommendations to fully benefit from CPEC.<br /><br />Undertaking structural reforms to facilitate private sector development.<br />Broadening the tax base to make use of the country's tax revenue potential and improve fairness of tax collection.<br />Utilising transport infrastructure under CPEC to maximise investment return and turn it into a multilateral initiative.<br />Expediting development of nine special economic zones planned along CPEC routes.<br /><br />Unsubscribe from comment emails for this blog.Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-71563447096792548812022-02-02T06:49:44.781-08:002022-02-02T06:49:44.781-08:00ADB study stresses economic corridor development t...ADB study stresses economic corridor development to transform Pakistan's economy<br /><br />https://www.dawn.com/news/1672882<br /><br /><br />https://www.adb.org/sites/default/files/publication/768396/economic-corridor-development-pakistan.pdf<br /><br />Pakistan has the potential of becoming a hub of economic activity for Central, South and West Asian countries if it follows the model of economic corridor development (ECD), the Asian Development Bank said in a study released on Wednesday.<br /><br />The ADB study, titled "Economic Corridor Development in Pakistan: Concept, Framework, and Case Studies", examined how Pakistan could address economic challenges through ECD.<br /><br />In the foreword, ADB Central and West Asia Department Director General Eugene Zhukov noted that Pakistan had not yet been able to attain a sustained growth path "to move beyond its historic lacklustre and stop-and-go pattern, characterised by 'booms and busts' every three to four years".<br /><br />"Through market reforms, Pakistan needs to transform its economy into an export-led growth trajectory. In addition to improving the economy’s competitiveness and productivity with a vibrant private sector, it is critical to attracting domestic and foreign investments to support this transformation," he said.<br /><br /><br />The official went on to say that Pakistan had already adopted and implemented an ECD-focused strategy as part of its core development and growth framework.<br /><br />"ECD can be one of the most credible ways to help the government achieve its socio-economic objectives of reaching the upper-middle-income status by 2025," Zhukov said.<br /><br />However, he cautioned that private sector development and a fair and efficient tax system were also required for transforming the economy to export-led growth.<br /><br />Defining ECD, the study said that it aimed to promote economic growth by connecting different economic agents along defined geographic areas.<br /><br />When implemented successfully, ECD supports economies of scale and scope and induces economic transformation and diversification through foreign direct investment.<br /><br />"By enhancing domestic connectivity and linking lagging regions [including secondary cities] with urban growth centres, ECD can help Pakistan become a hub of economic activity for Central, South, and West Asian countries," the study said.<br /><br />It stated that the country could "revitalise" its economic growth through facilitating economic centres by bolstering them with an efficient transport network based on "robust infrastructure and supported by a business-enabling policy framework".<br /><br />However, it pointed out that Pakistan currently lacked the administrative machinery for effectively managing ECD.<br /><br />"Its complex tax administration and compliance requirements impede growth and expansion of private investment, project management and implementation are weak, and a coherent regulatory framework for land use and urban development is lacking."<br /><br />The study proposed several recommendations which could enable Pakistan to tackle these challenges:<br /><br />Empowering a central corridor planning and development agency to oversee the overall development and management of ECD.<br />Strengthening an overall policy framework for ECD, including streamlining policies for transport, logistics, public-private partnerships, land use, zoning regulations, business regulatory framework and taxation regimes.<br />Providing institutional support for skills development to align labour force skills with industry needs.<br />Link current industrial clusters and urban areas with new industrial hubs and urban centres through infrastructure networks.<br />Seeking ways to channel partial resources from overseas Pakistanis into profitable investment ventures to fund ECD-related projects.<br />The study also identified four routes that could be used for a pilot ECD programme: M4 Motorway linking Faisalabad and Multan, N70 (national highway) connecting Multan and Killa Saifullah, N50 (national highway) linking Dera Ismail Khan and Kachlak, and the Hazara Motorway (E35 Expressway) from Islamabad to Mansehra.Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-63370274064573070472022-01-04T22:17:22.016-08:002022-01-04T22:17:22.016-08:00First HVDC transmission line tested with full load...First HVDC transmission line tested with full load of 4,000MW<br /><br /><br />https://www.thenews.com.pk/print/878333-first-hvdc-transmission-line-tested-with-full-load-of-4-000mw<br /><br />Dubbed as flagship China Pakistan Economic Corridor (CPEC) project, 660kV Matiari-Lahore HVDC Line is the largest ever transmission sector project of the country in terms of its capacity as well as one of the longest in distance, connecting power generation units in the south with load centers upcountry.<br />“The HVDC line transcends a geographical length of about 900 km, marking the start of an era of long-distance power transmission in the country,” said an official of National Transmission and Despatch Company (NTDC).<br /><br />“It is a unique project in the sense that it introduces HVDC technology for the first time in the national grid, enriching the technology mix of the grid.”<br /><br />The official added that the trial operation was being carried out through NTDC transmission system.<br /><br />“The Project has a design capacity of 4,000MW and will help evacuate power from cheaper Southern coal power plants and deliver it to load centers in the North of the country.”<br /><br />Above all, the official said, the ongoing trial operation of the transmission line helped in contributing the record highest power transmitted on August 11, 2021 at 24,467 MW through the national grid.<br /><br />“In 2020, peak load sustained by the national grid was 23,370MW for one day and in 2018 it was just 20,811 MW. With the launching of HVDC Matiari-Lahore Transmission Project, power dispersal capacity of the national grid has seen a massive jump of 4000mw in one go,” said an official.<br /><br />He added that the ongoing trial operation marked one of the last steps in the completion of the project.<br /><br />“In this last stage it will be trial-operated for a few days continuously at various power levels and under various configurations to test it in full running condition,” said the official.<br /><br />Furthermore, the Capability Demonstration Test of the Project will also be performed during this period.<br /><br />It is informed that the equipment debugging, station commissioning, and system commissioning up to the level of high power bipole testing of the project has already been completed, certified by both the Independent Engineer from Italy and Owner Engineer from Canada.<br /><br />Despite Covid-19 pandemic, the overall work was completed by end of 2020. Earlier, the project was expected to be commissioned by March 2021 after going through trial run. However, after reaching an amicable solution, the contractor and NTDC agreed in writing to conduct trial run during peak load of summer months with COD in September 2021.Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-13198898654686404992020-11-08T16:21:30.402-08:002020-11-08T16:21:30.402-08:00#China Radio on #CPEC: Improvements in #energy &am...#China Radio on #CPEC: Improvements in #energy & #transportation infrastructure have laid the foundation for the #industrial development of #Pakistan. The next phase of the CPEC project focuses on industrial cooperation. #industries #Manufacturing https://tribune.com.pk/story/2271510/cpecs-rapid-progress-laying-foundation-for-pakistans-industrial-development-cri-urdu<br /><br />The projects implemented under the China-Pakistan Economic Corridor (CPEC), a flagship project of the Belt and Road Initiative, will not only benefit certain areas but also development in Pakistan, commented China Radio International (CRI) Urdu on Sunday.<br /><br />“The way in which the CPEC projects have been implemented over the past five years and the results that have emerged show that the purpose of building up CPEC is not to benefit certain areas, but to promote development in Pakistan,” the CRI Urdu said of the progress made in the construction of CPEC projects.<br /><br />The Urdu service stated that the infrastructure, construction of industries and the elimination of energy shortages will provide an environment for Pakistan according to its resources, which will also benefit the people of Pakistan and guarantee a bright future.<br /><br />The Orange Line Metro train in Lahore is the first electric public transport project, the introduction of which not only increased travel facilities for the people but also created new jobs.<br /><br />In the past five years, CPEC projects have created 55,000 direct jobs in the road infrastructure sector, of which 48,000 have been created specifically for local Pakistanis.<br /><br />According to a spokesman for the Chinese Ministry of Foreign Affairs, major projects with a direct investment of US $25 billion have been completed since the inception of CPEC. The projects completed under it are are part of The Belt and Road Initiative.<br /><br />As for the shipping of cargo, the trade began at the Gwadar port during the first six months of this year, through which up to 20,000 tons of goods were shipped to Afghanistan; the initiative also created jobs in the shipping sector. There was no doubt that these projects entailed infrastructure as well as energy supply, and job opportunities, the CRI maintained.<br /><br />According to the proposed two-gap model of economist Hollis B Channery, developing countries should introduce foreign investment and stimulate exports to boost their national economies. In this regard, CPEC has played an important role in the development of Pakistan.<br /><br />The initiative has also addressed the issue of limited investment potential, insufficient foreign exchange savings and deficits in Pakistan, and has provided excellent quality for Pakistan’s economic growth.<br /><br />Pakistan’s GDP growth rate is significant and it has created 70,000 jobs in Pakistan, the China-based Urdu service added.<br /><br />Since its inception, CPEC has considered the elimination of energy shortages in Pakistan as an important sector for construction. Over a period of five years, energy projects under the CPEC framework added 3,340 MW of electricity to Pakistan in early April 2019, accounting for 11% of the installed capacity in the country.<br /><br />The shortage of electricity has been significantly reduced and in addition to power generation projects, China has built the Matiari-Lahore (an 878 km long, 660 kV) HVDC transmission line project in Pakistan – the second HVDC transmission line in the world to extend the life of the country's power grid.<br /><br />The construction of the corridor is progressing rapidly, significantly reducing Pakistan's energy problem in the process. Improvement in the transportation infrastructure has laid the foundation for the industrial development of Pakistan. The next phase of the project focuses on industrial cooperation.<br /><br />Given the pace of the projects, their completion and results, it can be said that CPEC is undoubtedly a new impetus for the sustainable development of Pakistan, the CRI added.<br /><br />Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-72442099035590030752020-05-07T08:09:12.158-07:002020-05-07T08:09:12.158-07:00Top CPEC Official @AsimSBajwa : Second phase of #C...Top CPEC Official @AsimSBajwa : Second phase of #CPEC crucial for #Pakistan's development: It has special emphasis on #agriculture, #industry, #trade, and #science and #technology. Just completed first phase was about #power and #infrastructure. #China http://www.xinhuanet.com/english/2020-05/07/c_139038471.htm<br /><br />The second phase of the China-Pakistan Economic Corridor (CPEC) is crucial for the economic development of Pakistan, local media quoted Chairman of CPEC Authority Asim Saleem Bajwa as saying on Thursday.<br /><br />The second phase of the multi-billion-dollar economic cooperation between Pakistan and China will have a special emphasis on agriculture, industry, trade, and science and technology, Bajwa said in an interaction with local media.<br /><br />He said that the Pakistani government's priority about the second phase of CPEC is to make special economic zones functional, besides development projects in Gwadar, according to the report.<br /><br />Bajwa, who also holds the additional position of the special assistant to the Pakistani prime minister on information and broadcasting, said that work for the completion of CPEC is in progress on a fast pace.<br /><br />"There is no political hindrance in its way. The project is Pakistan's future as well as a tangible reality and no compromise will be made on it," local media quoted the official as saying.<br /><br />Bajwa said Pakistan takes decisions which are within the best interest of the country and there is a political consensus that CPEC is the best for the interest of the country and for that matter "no external pressure against CPEC will be accepted," according to the report.<br /><br />Many projects focusing on infrastructure and energy sectors in the first phase of CPEC have been completed and are already operational, and work on the second phase is underway. EnditemRiaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-12762969155549448962020-05-07T08:08:39.104-07:002020-05-07T08:08:39.104-07:00Top CPEC Official @AsimSBajwa : Second phase of #C...Top CPEC Official @AsimSBajwa : Second phase of #CPEC crucial for #Pakistan's development: It has special emphasis on #agriculture, #industry, #trade, and #science and #technology. Just completed first phase was about #power and #infrastructure. #China http://www.xinhuanet.com/english/2020-05/07/c_139038471.htm<br /><br />The second phase of the China-Pakistan Economic Corridor (CPEC) is crucial for the economic development of Pakistan, local media quoted Chairman of CPEC Authority Asim Saleem Bajwa as saying on Thursday.<br /><br />The second phase of the multi-billion-dollar economic cooperation between Pakistan and China will have a special emphasis on agriculture, industry, trade, and science and technology, Bajwa said in an interaction with local media.<br /><br />He said that the Pakistani government's priority about the second phase of CPEC is to make special economic zones functional, besides development projects in Gwadar, according to the report.<br /><br />Bajwa, who also holds the additional position of the special assistant to the Pakistani prime minister on information and broadcasting, said that work for the completion of CPEC is in progress on a fast pace.<br /><br />"There is no political hindrance in its way. The project is Pakistan's future as well as a tangible reality and no compromise will be made on it," local media quoted the official as saying.<br /><br />Bajwa said Pakistan takes decisions which are within the best interest of the country and there is a political consensus that CPEC is the best for the interest of the country and for that matter "no external pressure against CPEC will be accepted," according to the report.<br /><br />Many projects focusing on infrastructure and energy sectors in the first phase of CPEC have been completed and are already operational, and work on the second phase is underway. EnditemRiaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-79528968622175938282020-01-08T10:23:54.017-08:002020-01-08T10:23:54.017-08:00#Pakistan sees #FTA with #China, Belt and Road as ...#Pakistan sees #FTA with #China, Belt and Road as path to recovery. #CPEC has entered a new phase, focusing not only on #energy and #infrastructure but also #industrialization and #socioeconomic development, and #modernization of #agriculture and #tourism https://asia.nikkei.com/Editor-s-Picks/Interview/Pakistan-sees-FTA-with-China-Belt-and-Road-as-path-to-recovery<br /><br />On Jan. 1, the second phase of the Pakistan-China free trade agreement kicked-off. According to the minister, the first phase "resulted in a huge trade deficit in Pakistan," but the country recognized the need to correct the problem. "Under [the second phase], we can export 313 new items -- especially textile, surgical instruments, sportswear and agricultural products -- to China with zero duties."<br /><br />Pakistan expects the new phase of the FTA will increase exports by $500 million to $600 million.<br /><br />The 38-year-old minister noted other bright spots in the economy, saying that "tax revenues in July-November 2019 rose 17% from last year," driving down the current-account deficit by 73% in the same period.<br /><br />Continuing on the upbeat note, Azhar said that Pakistan rose in the World Bank's Ease of Doing Business ranking to 108th, up 28 places from last year. He also pointed out that foreign portfolio investment has returned after three years, and that the benchmark stock index Karachi Stock Exchange 100, rallied 11,000 points in five months, hitting the 40,000 mark.<br /><br />Furthermore, ratings agency Moody's upgraded Pakistan's outlook in December 2019 from Negative to Stable, based on a positive evaluation of policy changes and improvement in the country's balance of payments.<br /><br />"The Pakistani economy has been stabilizing since last year," Azhar said. "Once we've completed stabilization, then we'll shift gears and enter a higher growth phase from [fiscal 2021]. I think we're out of the economic crisis."<br /><br />Regarding GDP growth next year, the minister said it "depends on whether inflation and interest rates come down, but it will be certainly higher than the current fiscal year."<br /><br />However, Pakistan is not yet out of the woods. Retail inflation in November was 12.7%. In addition, due to servicing a $6 billion bailout package from the IMF, the country had to hike gas and power tariffs. Inflationary pressure remains high.<br /><br />"Most of the inflation is in food, and is seasonal. 20% to 25% of our economy is based on agriculture," Azhar explained, adding that suspending trade with India affected food prices. To reverse the trend, the minister stated that "our cabinet is already considering to lift the import embargo on medicines and essential items from India."<br /><br />Pakistan also needs to increase tax revenues, partly by improving domestic tax collection. "Despite [declining] imports, tax collection is rising," he said. "If you look at domestic tax collection, it's growing at close to 25% to 30%."<br /><br />The minister added that the government is becoming more aggressive in its approach. "We're using the latest technologies to track the flow of money and [guarding against] smuggling."<br /><br />Pakistan's industry lobbies are chiming in with more demands for business-friendly policies to promote investment. They also want custom duties lowered and more government incentives. Last December, import duties on cotton were slashed to help the country's textile industry. In addition, Azhar has promised to increase lending to small and medium-sized enterprises, which contribute almost 40% to Pakistan's GDP.Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-27889872643444386132019-09-09T09:38:04.666-07:002019-09-09T09:38:04.666-07:00#CPEC 2.0 Focus on Boosting #Exports: Promotion of...#CPEC 2.0 Focus on Boosting #Exports: Promotion of business to business relationship for #technological, #industrial investment & development to augment #Pakistan’s capacity to #export products, Says #Chinese Envoy to #Islamabad https://www.app.com.pk/pakistans-capacity-of-export-to-be-augmented-under-cpec-2nd-phase-envoy/ Associated Press Pakistan<br /><br />Chinese Ambassador in Pakistan Yao Jing on Friday said that under second phase of China Pakistan Economic Corridor (CPEC), promotion of business to business relationship for technological and industrial development in order to augment Pakistan’s capacity to export was a priority area for the Chinese government.<br /><br />He was speaking to Federal Minister for Economic Affairs Muhammad Hammad Azhar here at the minister’s office, said a press release.<br /><br />The envoy congratulated Hammad Azhar on his elevation as Federal Minister.<br /><br />The Ambassador reiterated commitment of his government to the strategic relationship with Pakistan and hoped that appointment of Federal Minister for Economic Affairs will further strengthen relationship between the two countries.<br /><br />The Ambassador updated the minister on the progress made on account of implementation of CPEC related projects.<br /><br />The envoy stated that in the second phase socio-economic sector projects, with grant financing for direct benefit of common man were also priority areas.<br /><br />The minister stated that the CPEC is a flagship programme of Belt and Road initiative which is now entering into a new phase. He reiterated commitment of his government for implementation of next phase of CPEC for the benefit of people of Pakistan.<br /><br />He acknowledged the historic relationship with China and the generous support it has been extending to Pakistan.<br /><br />The minster also acknowledged the economic and financial assistance provided by China to Pakistan during difficult times. China’s position on the current situation in occupied Kashmir was vehemently appreciated.Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-22296298506597172982019-08-03T19:35:47.901-07:002019-08-03T19:35:47.901-07:00#CPEC likely to contribute 3.5% to #Pakistan's...#CPEC likely to contribute 3.5% to #Pakistan's #GDP: 'We have discussed trade amounting to almost $2.5 trillion which is going to be routed through various corridors and Pakistan sits at the epicentre of all this activity' http://a.msn.com/0F/en-xl/BBV7roZ?ocid=st<br /><br />China's investment of over $60 billion in Pakistan's infrastructure and power projects under the China-Pakistan Economic Corridor (CPEC) is expected to increase Pakistan's economic growth by around 3.5 percentage points, said Standard Chartered Bank (Pakistan) CEO Shahzad Dada on Thursday.<br /><br />'CPEC projects are estimated to contribute around 3.5 percentage points to Pakistan's GDP (gross domestic product) growth once they are fully delivered,' he emphasised while speaking at an event in Karachi.<br /><br />Dada noted that most of the Chinese companies investing in Pakistan under CPEC were clients of the bank and Standard Chartered was itself involved in financing some of the projects as well.<br /><br />Early harvest projects under CPEC are expected to be completed in the current calendar year. Later, short-term projects are anticipated to be completed by 2022, medium-term projects by 2025 and long-term projects by 2030 and beyond.<br /><br />Pakistan achieved a 13-year high GDP growth of 5.8% in FY18. However, the growth is expected to slow down to around 4.4% in the current fiscal year and 4.1% in FY20, according to Fitch Solutions.<br /><br />Dada highlighted that China and Pakistan signed a memorandum of understanding for investment of over $60 billion, of which infrastructure and power projects worth over $30 billion were under way. CPEC is part of China's wider Belt and Road Initiative (BRI).<br /><br />'We have discussed trade amounting to almost $2.5 trillion which is going to be routed through various corridors and Pakistan sits at the epicentre of all this activity,' he pointed out. 'With the Belt and Road Initiative, there is expectation that trade is going to double, quadruple or rise even further.'Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-51538119107936262472017-10-18T10:20:48.859-07:002017-10-18T10:20:48.859-07:00#Pakistan, #China to fast track #industrial cooper...#Pakistan, #China to fast track #industrial cooperation under #CPEC. #SEZ #economy #Manufacturing<br /><br />http://nation.com.pk/business/18-Oct-2017/pakistan-china-to-fast-track-industrial-coop-under-cpec<br /><br />Pakistan and China have agreed to fast track the industrial cooperation under China Pakistan Economic Corridor (CPEC) to accrue maximum benefits of this important phase and ensure win-win situation for both countries.<br /><br />This was decided in the first meeting of Joint Expert Working Group (JEWG) on industrial cooperation, held on Tuesday in Islamabad. The Pakistan side was led by Board of Investment (BoI) Secretary Azher Ali Chaudhry and the Chinese delegation was led by China International Engineering Consulting Corporation Director Du Zhenli.<br /><br />On the occasion, the BoI secretary said that the main gain from the CPEC is the industrial cooperation which will not only provide a win-win situation for both countries but will ensure sustainability of this multi-billion dollar project. He said that the Chinese experience regarding establishment of industrial parks will be instrumental for Pakistan by using it as a tool for economic and social development of the country.<br /><br />Zhenli, head of the Chinese delegation, mentioned that the entire visit remained highly productive and would go a long way to frame the future plans of industrial development in Pakistan. Both sides had a detailed discussion on relocation of industry from China, incentive package for relocation of industry, opportunities available under export promotion zones, identification of industry to be parked in special economic zones (SEZs), terms of engagements (ToE) for establishment of SEZs and upgradation of human resource development through promotion of technical education.<br /><br />Both sides agreed to ensure finalisation of feasibilities and other codal formalities of prioritised SEZs before 7th Joint Cooperation Committee (JCC) meeting, expected to be held by the end of this year. The Chinese side expressed their satisfaction over the incentive package announced by Pakistani side and informed that a number of Chinese developers and enterprises are willing to invest in these SEZs.<br /><br />Both sides agreed that SEZs under CPEC are open for all foreign and local Pakistani investors. Chinese developers and enterprises could enter into joint ventures with local developers and investors to ensure successful cooperation in this important sector of CPEC. Pakistani side shared a proposal to upgrade skill development in Pakistan in line with needs of CPEC which includes transformation of National Training Bureau (NTB) into state-of-the-art institute of technical and vocational training centre in federal capital for producing skilled workforce for CPEC projects, establishment of joint China Pak Training Institutes in the main cities falling under CPEC routes such as Gilgit, Abbottabad, Islamabad, DI Khan and Quetta as well as establishment of Public centres for a vocational training at Islamabad for imparting training to the youth and instructors on the “model of public centre” for vocational training, Tianjin. It was decided that the proposal would be further discussed in detail on the forum of JWG on industry cooperation likely to be held next month.<br /><br />The Chinese Expert Group is on its eight-day visit to Pakistan to ensure transfer of knowledge and share Chinese experience in development of industrial sector with Pakistani officials, members of academia and business community. Besides conducting three training workshops in Karachi, Lahore and Islamabad, the group visited SEZs sites in Sindh, Punjab and Khyber Pakhtunkhwa.Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-88775080903771936552017-09-20T20:42:33.501-07:002017-09-20T20:42:33.501-07:00Long term plans to be finalised in 50th CPEC revie...Long term plans to be finalised in 50th CPEC review meeting<br /><br />https://www.thenews.com.pk/print/231356-Long-term-plans-to-be-finalised-in-50th-CPEC-review-meeting<br /><br />The long term Pakistan-China cooperation plan (2015-2030) will be finalised in the 50th China-Pakistan Economic Corridor (CPEC) 'review meeting' scheduled to be held today (Thursday) under the chair of Ahsan Iqbal, federal minister for planning and interior, a statement said on Wednesday.<br /><br />“The meeting will finalise the long term plan in consultation with federal ministries and provincial governments, while ministry of railways will brief the meeting about the upcoming financing plan for the up-gradation of Mainline-1 (ML-1) from Peshawar to Karachi will be discussed,” the ministry said in the statement. <br /><br />The ministry added that Pakistan and China were in the process of finalising the financing plan of $8.5 billion for the ML-1, whereas the next joint working group (JWG) meeting was expected to be held probably next month as the financing plan for the track was also expected to be finalised by November this year.<br /><br />“Admitting the requirement for having overriding institutional framework to execute $46 billion China-Pakistan Economic Corridor (CPEC) under long term plan till 2030, Beijing and Islamabad have also agreed to build model industrial parks, each in all provinces, with Chinese financing of multimillion dollars,” the ministry said.<br /><br />Moreover, it said that it was also under consideration to build model cities along the bank of Indus River, having a range of 300 kilometers, but it was yet to be seen as to how this ambitious plan was going to be finalised in a synergised manner.<br /><br />“Officials from Chinese Embassy at Islamabad probably Chinese Ambassador, Chinese companies and officials from ministry of planning, line ministries and provincial governments would participate in the meeting,” the ministry said. It further said the forum would review progress on the ongoing projects including schedule and agenda of the next JWGs of energy, transport infrastructure, planning, and Gwadar. “It will further review the progress on consortium of business schools and Pakistan Academy of Social Sciences,” the statement said.Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-69786565925236596712017-09-19T12:42:05.949-07:002017-09-19T12:42:05.949-07:00China signs MoUs worth $375m for investment in rea...China signs MoUs worth $375m for investment in readymade garments sector in Pakistan<br /><br />https://tribune.com.pk/story/1510133/china-signs-mous-worth-375m-investment-pakistan/<br /><br />Chinese companies from different cities and provinces have expressed their interest in relocating their textile, garment and accessory production units to Punjab, with an expected investment of at least $25 million estimated for each unit.<br /><br />This was stated by Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA) Central Chairman Ijaz Khokhar at the three-day 18th International Textile Asia Exhibition. Besides marking the participation of over 500 foreign delegates, the exhibition also witnessed signing of MoUs worth $375 million for investment in Pakistan through joint ventures with local companies<br /><br />Speaking on the occasion, Khokhar said that foreign companies are also committed to transfer their technologies, besides buying back Pakistani products after value-addition here, which would enhance export and lower Pakistan’s trade deficit with China.<br /><br />Quoting the Chinese, he said, “We will make joint ventures with local companies from Gujranwala, Lahore, Sialkot and Faisalabad, and provide training to engineers from these cities and buy back products to export to China.”<br /><br />The event was jointly organised by PRGMEA and Ecommerce Gateway Pakistan, who also signed an agreement to continue to jointly conduct this mega textile event in the future on an annual basis.<br /><br />The PRGMEA chairman announced this on the last day of the exhibition. In his concluding remarks, he said that around 52,000 trade visitors registered their presence in the textile fair in three days.<br /><br />Also present on the occasion, PRGMEA Vice Chairman Jawwad Chaudhry said that machinery and equipment displayed at the exhibition were of immense use to manufacturers producing value-added products for increasing volume of exports.<br /><br />He hoped that local businessmen would benefit from this technology by adding value to their products.<br /><br />He said that the Textile Asia Expo also featured businessmen to businessmen (B2B) meetings, a lot of important industry-related presentations and seminars on textile sector.<br /><br />Chaudhry observed that the entire chain of the local textile sector was invited to attend the country’s largest textile show. The exhibiting countries included Austria, China, Czech Republic, France, Germany, India, Italy, Korea, Taiwan, Turkey, UK and USA among others.<br /><br />Ecommerce Gateway Pakistan CEO Dr Khurshid Nizam said that such textile machinery fairs in Pakistan would increase productivity, resulting into better competitiveness.<br /><br />Chinese textile units interested in relocating to Pakistan<br /><br />The exhibition is aimed at focusing the Punjab potential of textile and garment machinery, accessories, raw material supplies, chemicals and allied services under one roof, as around 80% of textile industry is located in this province, Nizam added.<br /><br />The exhibition also provided an effective platform for joint ventures and collaborations to the textile sector’s SMEs, he remarked.<br /><br />The CEO observed that the three-day mega fair provided the local small textile industry a good opportunity where more than 315 international brands from around 27 countries displayed their products in more than 515 stalls.<br /><br />Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-69941359428171347772017-05-14T22:05:20.265-07:002017-05-14T22:05:20.265-07:00Exclusive: CPEC master plan revealed
https://www....Exclusive: CPEC master plan revealed<br /><br />https://www.dawn.com/news/1333101<br /><br />For industry, the plan trifurcates the country into three zones: western and northwestern, central and southern. Each zone is marked to receive specific industries in designated industrial parks, of which only a few are actually mentioned.<br /><br />The western and northwestern zone, covering most of Balochistan and KP province, is marked for mineral extraction, with potential in chrome ore, “gold reserves hold a considerable potential, but are still at the exploration stage”, and diamonds. One big mineral product that the plan discusses is marble. Already, China is Pakistan’s largest buyer of processed marble, at almost 80,000 tons per year. The plan looks to set up 12 marble and granite processing sites in locations ranging from Gilgit and Kohistan in the north, to Khuzdar in the south.<br /><br /><br /><br />“There is a plan to build a pilot safe city in Peshawar, which faces a fairly severe security situation in northwestern Pakistan”.<br /><br /><br /><br />The central zone is marked for textiles, household appliances and cement. Four separate locations are pointed out for future cement clusters: Daudkhel, Khushab, Esakhel and Mianwali. The case of cement is interesting, because the plan notes that Pakistan is surplus in cement capacity, then goes on to say that “in the future, there is a larger space of cooperation for China to invest in the cement process transformation”.<br /><br />For the southern zone, the plan recommends that “Pakistan develop petrochemical, iron and steel, harbor industry, engineering machinery, trade processing and auto and auto parts (assembly)” due to the proximity of Karachi and its ports. This is the only part in the report where the auto industry is mentioned in any substantive way, which is a little surprising because the industry is one of the fastest growing in the country. The silence could be due to lack of interest on the part of the Chinese to acquire stakes, or to diplomatic prudence since the sector is, at the moment, entirely dominated by Japanese companies (Toyota, Honda and Suzuki).Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-71799779642364935102017-02-28T14:14:01.741-08:002017-02-28T14:14:01.741-08:00Chinese investors are contemplating to build a che...Chinese investors are contemplating to build a chemical and automobile city in Gwadar under the umbrella of #CPEC<br /><br />https://tribune.com.pk/story/1341071/gwadar-china-build-automobile-city/<br /><br />Chinese investors are contemplating to build a chemical and automobile city in Gwadar under the umbrella of the China-Pakistan Economic Corridor (CPEC).<br /><br />According to a private news channel, sources linked to CPEC project stated that the Chinese authorities have already initiated paperwork on said projects, which reflects their seriousness.<br /><br />Analysts have advised owners of local automobile industry to start joint ventures with Chinese as this would help in transfer of technology as well as boost the local industry. Earlier, China announced to set up a steel factory under CPEC apart from various other projects.<br /><br />China is developing the Gwadar port as a strategic and commercial hub under its ‘One-Belt One-Road’ initiative that promises shared regional prosperity. CPEC is one of many arteries of the ‘One-Belt One-Road’<br /><br />In 2013, Pakistan handed over the Gwadar port to the Chinese company by annulling a deal with a Singapore company that could not develop the port after taking over in 2007. The ECC further approved amendments in the Gwadar Port Concession Agreement for operating and developing the Gwadar port and free zone.<br /><br /><br />On October 31, hundreds of Chinese trucks loaded with goods rolled into the Sost dry port in Gilgit-Baltistan as a multibillion-dollar project between Pakistan and China formally became operational.<br /><br />The corridor is about 3,000-kilometre long consisting of highways, railways and pipelines that will connect China’s Xinjiang province to the rest of the world through Gwadar port.Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-2106928706913300902016-10-06T18:47:17.454-07:002016-10-06T18:47:17.454-07:00Excerpts of Deloitte & Touche report on CPEC:
...Excerpts of Deloitte & Touche report on CPEC:<br /><br />It is estimated that if all the planned projects are implemented, the value of those projects would exceed all<br />foreign direct investment in Pakistan since 1970 and would be equivalent to 17% of Pakistan's 2015 gross <br />domestic product. It is further estimated the CPEC project will create some 700,000 direct jobs during the<br />period 2015–2030 and add up to 2.5 percentage points to the country's growth rate.<br /><br />The CPEC will open doors to immense economic opportunities not only to Pakistan but will physically connect<br />China to its markets in Asia, Europe and beyond. Almost 80% of the China’s oil is currently transported from<br />Strait of Malacca to Shanghai, (distance is almost 16,000 km and takes 2-3 months), with Gwadar becoming<br />operational, the distance would reduce to less than 5,000 km. If all goes well and on schedule, of the 21<br />agreements on energy– including gas, coal and solar energy– 14 will be able to provide up to 10,400<br />megawatts (MW) of energy by March 2018. According to China Daily, these projects would provide up to<br />16,400 MW of energy altogether.<br />As part of infrastructure projects worth approximately $11 billion, and 1,100 kilometer long motorway will be<br />constructed between the cities of Karachi and Lahore,2 while the Karakoram Highway between Rawalpindi and<br />the Chinese border will be completely reconstructed and overhauled. The Karachi–Peshawar main railway<br />line will also be upgraded to allow for train travel at up to 160 kilometers per hour by December 2019.3<br />Pakistan's railway network will also be extended to eventually connect to China's Southern Xinjiang<br />Railway in Kashgar.4 A network of pipelines to transport liquefied natural gas and oil will also be laid as part of<br />the project, including a $2.5 billion pipeline between Gwadar and Nawabshah to transport gas from Iran.5<br />Oil from the Middle East could be offloaded at Gwadar and transported to China through the corridor, cutting<br />the current 12,000 km journey to 2,395 km. It will act as a bridge for the new Maritime Silk Route that<br />envisages linking 3 billion people in Asia, Africa and Europe, part of a trans-Eurasian project. When fully<br />operational, Gwadar will promote the economic development of Pakistan and become a gateway for Central<br />Asian countries, including Afghanistan, Uzbekistan, linking Sri Lanka, Iran and Xinjiang to undertake marine<br />transport.6<br />Over $33 billion worth of energy infrastructure will be constructed by private consortia to help alleviate<br />Pakistan's chronic energy shortages,7 which regularly amount to over 4,500MW,8 and have shed an estimated<br />2-2.5% off Pakistan's annual GDP.9With approximately $33 billion expected to be invested in energy sector<br />projects, power generation assumes an important role in the CPEC project. Over 10,400MW of energy<br />generating capacity is to be developed between 2018 and 2020 as part of the corridor's fast-tracked "Early<br />Harvest" projects.10<br /><br />https://www2.deloitte.com/content/dam/Deloitte/pk/Documents/risk/pak-china-eco-corridor-deloittepk-noexp.pdf<br /><br />Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-49400839287512013042016-09-18T19:48:01.455-07:002016-09-18T19:48:01.455-07:00Published: 27 Jun 2016
Pakistan Vision 2025 seeks ...Published: 27 Jun 2016<br />Pakistan Vision 2025 seeks to enhance the national transportation infrastructure by establishing an efficient and integrated transportation and logistics system. Establishing industrial parks and developing SEZs along the China–Pakistan Economic Corridor (CPEC) will strengthen the transportation network and logistics infrastructure. Road freight transportation contributed over 90% of the goods transported by land. Rail freight is likely to gain share due to modernization and expansion. High priority is given to road network development. Private sector participation in logistics infrastructure development is likely to gain momentum, and transportation and warehousing are likely to lead logistics industry growth during 2016–2020.<br /><br />The potential opportunities in the logistics industry in Pakistan, is estimated at approximately US $ 30.77 billion in 2015. Key targets set in the national development initiatives for the transportation sector include reduction in transportation costs, effective connectivity between rural areas and urban centres, inter-provincial high-speed connectivity. Also high priority is given for the development of integrated road/rail networks between economic hubs (including air, sea and dry ports) and high capacity transportation corridors connecting with major regional trading partners<br /><br />Up-gradation of all major airports to trans-shipment hubs, development of cargo villages, modernization of rail transport, E-commerce, CPEC related investments in industrial centres and Special Economic Zones (SEZs) will serve as primary macro drivers for logistics sector growth. CPEC related projects intend to upgrade and modernize road transport and related logistics infrastructure such as logistics park and establishment of cargo villages at major airports. Hence, high priority is given for road network development; private sector participation in logistics infrastructure development is likely to gain momentum.<br /><br />Storage and Warehousing demand from CPEC related industrial corridors are likely to derive increased storage and warehousing requirements including cold chain logistics, establishment of Cargo Villages Ports will facilitate goods traffic to central Asian countries and evolve as a major transhipment hub in the region.<br /><br />Freight forwarding opportunities expected to increase due to increasing trade activities through Karachi and Port Qasim. Trade reforms expected to increase volume of trade with increase in inter and intra-regional trade. Development of new port at Gwadar generates demand for warehousing, special economic zone, road and railway infrastructure network. As the connectivity and linkage improves, this port will emerge as one of the major transhipment hub in the region - transhipment goods to China, Central Asian countries<br /><br />Energy and Transportation sectors are expected to see high growth due to increased investment relating to CPEC and National Transportation Plans between 2016 and 2020. This is expected to growth of transportation and warehousing segments between 2016 and 2020.<br /><br />http://www.frost.com/sublib/display-report.do?id=9AB2-00-57-00-00&src=ww2Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-27085931477082542182016-08-11T20:45:47.170-07:002016-08-11T20:45:47.170-07:00Via @NPR: #India's Lagging #Manufacturing Sect...Via @NPR: #India's Lagging #Manufacturing Sector Slows Job Creation. #Modi #Achhedin #BJP<br /><br />http://www.npr.org/2016/08/11/489584349/india-s-lagging-manufacturing-sector-slows-job-creation<br /><br />India needs an uptick in manufacturing to employ millions who enter the labor force every year. The slow expansion is imperiling India's ability to create jobs and lift millions out of poverty.<br /><br />And you often hear about India having the world's fastest-growing economy. And it is growing at 7.6 percent. But beneath that headline is another reality. Manufacturing in the country is lagging, and that's hurting India's ability to create jobs and lift millions of people out of poverty. Let's go to New Delhi and NPR's Julie McCarthy.<br /><br />JULIE MCCARTHY, BYLINE: Manish Dhariwal, chief financial officer of PPAP Automotive Limited, steps onto the factory floor as a downsized second shift punches in.<br /><br />MANISH DHARIWAL: Each part has a different design.<br /><br />MCCARTHY: He sweeps his hand across a display case of strips that seal car doors and windows, components he sells to the largest Japanese car manufacturers. PPAP enjoys a 90 percent market share, but Dhariwal says sales are flat, and his operation is running at just 65 to 70 percent capacity.<br /><br />DHARIWAL: There's a big problem because facilities are already there, and they are not, then, getting fully utilized. And the cost of manpower increases on an annual basis. So how do I find the money for that if there's no sales growth?<br /><br />MCCARTHY: Dhariwal's company is hiring no new workers. That undercuts Prime Minister Narendra Modi's pet project, to make manufacturing the engine of employment. Ten million Indians enter the workforce every year. But according to the Labour Bureau, eight labor-intensive sectors, including automobiles, created only 135,000 jobs last year, the lowest in seven years...<br /><br />RAJIV KUMAR: It's a ticking time bomb.<br /><br />MCCARTHY: ...Meaning social instability. Rajiv Kumar adds, if you have no new jobs...<br /><br />KUMAR: You don't, therefore, address poverty in any real sense. And you exaggerate inequalities in our country.<br /><br />MCCARTHY: Kumar is former head of the Federation of Indian Chambers of Commerce. He says India's nearly 8 percent growth rate reflects a jump in the service sector but disguises sluggishness in manufacturing. Kumar urges the government to stop boasting about the GDP and focus on the number of jobs created.<br /><br />KUMAR: Because that's what is the key. And if you have that as the key macroeconomic target, then growth will follow.<br /><br />MCCARTHY: But Mihir Sharma, author of "Restart: The Last Chance For The Indian Economy," says India can unleash growth only if it becomes easier to do business. He says roads here are so bad, the bureaucracy so hidebound, it's often cheaper to fly raw materials in from overseas than to clear the hurdles within India. That includes, he says, India's labor laws, which make it hard to fire workers in shops with more than 100 employees.<br /><br />MIHIR SHARMA: It might take months. It could take years. And that's to fire one person. We are not competitive because we just can't get the scale and get the flexibility that every other country in the world has.<br /><br />MCCARTHY: Flexibility in the workforce is useful in the lean periods, says Vishal Lalani, whose factory churns out dashboards for commercial vehicles, a sector that tumbled. A recovery has kicked in. But Lalani says 6 to 8 percent inflation is eating at his bottom line. And Lalani echoes other entrepreneurs who say Prime Minister Modi's campaign, Make in India, is more slogan than substance.<br /><br />VISHAL LALANI: That's the way I see it. And it's probably boosting India's image and giving people a feel-good factor. But there's not that much happening on the ground.<br /><br />MCCARTHY: Demand in India's auto sector is picking up, but the number of new jobs created is negligible. Even in aspirational India, demand can only go so far without gainful employment. Julie McCarthy, NPR News, New Delhi.Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.comtag:blogger.com,1999:blog-5848640164815342479.post-17294563511923458662016-07-30T10:44:10.341-07:002016-07-30T10:44:10.341-07:00Modernising #Pakistan through #China. #CPEC by Far...Modernising #Pakistan through #China. #CPEC by Farhan Bokhari<br /><br />http://gulfnews.com/opinion/thinkers/modernising-pakistan-through-china-1.1870853<br /><br />Reality check long overdue<br /><br />While Pakistan’s civil institutions responsible for public work increasingly show a dismal performance, the Pakistan army continues to remain responsible for a variety of construction-related mega projects in otherwise inaccessible areas.<br /><br />This follows more than five decades of experience by the army in undertaking challenging assignments including the Karakorum Highway or KKH, the road built with Chinese assistance, which links China’s Xinjiang province with Pakistan’s northern Gilgit-Baltistan province and onwards to the country’s plains. At the outset with the CPEC too, the army’s promise to provide a full security cover for Chinese workers in Pakistan, marked the critical element that buttoned up this project.<br /><br />In the long term, Pakistan’s ruling politicians may have a valid point in seeking to lead the CPEC initiative. And yet, that ambition needs to be built with a long overdue reality check. The country’s civilian authorities need to embark on an internal reform plan first rather than seek to block the army from assuming a lead role in the execution of the CPEC.<br /><br />Such a plan must be built upon three equally vital aspects. First, there needs to be a complete political consensus over the geographic layout of the CPEC and its associated projects. Signs of infighting between different political groups have in fact harmed the view of Pakistani politicians, reinforcing their image as a short-sighted warring bunch rather than a mature and politically responsible community.<br /><br />Second, it’s vital to put safeguards in place for a radical improvement in the performance of key civil institutions, enabling them to take greater responsibility for the execution and eventual management of CPEC related projects. The total work cut out under this initiative will likely continue till the end of the next decade if not beyond. This creates a sufficient time frame for the army to first take charge of this valuable initiative and hand over responsibilities for its eventual management to Pakistan’s civilian infrastructure following a set of robust reforms.<br /><br />Finally, it’s important for Pakistan’s ruling politicians to consider different types of fallouts from antagonising the armed forces, all in the name of promoting democracy. In the case of the CPEC, some politicians have eagerly pushed for exclusive civilian control on this project as a step towards strengthening Pakistan’s democratic evolution. Yet their initiative will only be an exercise in futility until such time that they reconcile themselves with Pakistan’s fundamental realities.<br /><br />For now, General Raheel Sharif and the Pakistan army exclusively remain the main guarantors for the success of what is set to transform Pakistan as never before.<br />Riaz Haqhttps://www.blogger.com/profile/00522781692886598586noreply@blogger.com