353 replies to this topic

[Hellraiser006]

Thanks Psycho bhai!

Abbassia you can get a good nights sleep now bro.

[ABBASIA]

Thanks Psycho, thanks Hellraiser for taking note and fixing the problem.

[ABBASIA]

30 bike making units on verge of collapse
AZHAR ALI KHAN
KARACHI (May 31 2006): As many as 30 small and medium-sized motorcycle manufacturing units across the country are nearing closure and the manufacturers feared that their small-sized units would be in jeopardy by July this year, sources told Business Recorder on Tuesday.

Sources said that some 30 out of 38 units have been compelled to shrink their business volumes in the wake of rising competition, non-implementation of Tariff Based System (TBS) and largely provided credit facility by the big manufacturers to the dealers. They said that these bike makers across the country had formally come into the market two or three years back, are now facing adverse conditions in running their business.

"Whatever the circumstances we will face, we will not shut down our business," said a local bike manufacturer with a hope that the ultimate beneficiary would be those who would pass these sweltering days.

Nevertheless, industry sources said that most of the companies have cut down the size of their employees and have fired 70 percent of the staff members as these units are small in size and could not spend too much on employees salaries.

"In fact, we are now producing few units, sell those to our dealers and halt production process until we get new orders," said a manufacturer and added that in this way most of the motor bike assemblers and manufacturers avoid making unnecessary expenditures.

When asked, a manufacturer replied, "We could not afford permanent staff, therefore, for the past few months we have been hiring staff on daily wages for a specific time period." Another bike manufacturer informed that to run any factory properly, the manufacturer has to make 300 units on a monthly basis, while around 30 manufacturers stand below this graph.

"Giant-sized companies manufacture their motor bikes in bulk quantity and engage in offloading their stocks aggressively into the markets besides offering special and attractive packages to their dealers, which we could not," said a Karachi-based bike maker.

"How could we offer attractive packages to our dealers or customers in such a condition where we are striving hard to maintain our break-even level," he added.

"Large companies are throwing their units into the market and have conveyed to their dealers to sell their products either on full cash or through leasing," said an assembler on the condition of anonymity.

The small-sized motorcycle manufacturers are perplexed over the situation in which big companies are launching new models and designs, while, they (small-sized manufacturers) are fighting for their source of revenue. "On the one hand, we are competing with big companies by improving our product's quality and design, while on the other hand, the prices of our products have also declined significantly by some Rs6,000 per unit during the past six to eight months due to stiff competition," said an assembler.

"In these circumstances TBS is coming and we fear that the big companies would slash their products prices more significantly this time, consequently we could be deprived of our current market share," manufacturers said while commenting on TBS implementation. It may be mentioned here that the aggregate investment in the motorcycle industry of the country has reached to Rs5 billion, while the units which are nearing closure at this point in time, got the licenses and had invested approximately Rs50 million each some three years back.

http://www.brecorder.com/index.php?id=4320...&term=&supDate=

[ABBASIA]

Steel production in a country is an indication of a country's industrial prowess.
In 2005, China produces 349,400,000 metric tons of steel, equal to the combined total of US, Japan, Russia, and South Korea.
But on a per capita basis, it is not too much to crow about.

888888888888888888888888888888888888888888888

World Steel in Figures - 2006 edition now available online
19 May 2006
Brussels, 19 May 2006 - The 2006 edition of IISI's World Steel in Figures is now available online. World Steel in Figures contains essential facts about the world steel industry including steel production, consumption, trade, employment and basic statistics on scrap, iron ore, ###### iron and crude steel production.

As in previous years, World Steel in Figures lists the top steel producing countries and companies around the world.

In 2005 the five major steel producing countries were:

China (349.4 million metric tons mmt)
Japan (112.5 mmt)
United States (94.9 mmt)
Russia (66.1 mmt)
South Korea (47.8 mmt)
Total world production reached 1,131.8 mmt in 2005, up from 1,067.0 mmt in 2004.

The largest five steel producing companies in 2005 were:

Mittal Steel (63.0 mmt)
Arcelor (46.7 mmt)
Nippon Steel (32.0 mmt)
POSCO (30.5 mmt)
JFE (29.9 mmt)
A PDF version of World Steel in Figures can be downloaded for free from IISI's website. A hard copy version will be available from June and can be ordered through our Bookshop on the IISI website.

World Steel in Figures has been published by the International Iron and Steel Institute every year since 1971.



Related link: http://www.worldsteel.org/?action=newsdetail&id=159

[Tarbela]

600 MW electricity to be generated through wind
ISLAMABAD, June 6 (APP): Chairman Alternative Energy Development Board (AEDB) Air Marshall ® Shahid Hamid has said 600 megawatts of electricity costing 9.5 paisas per unit would be generated through wind turbines by the end of 2007.
He told a private tv channel that tariff for alternative energy generation was settled with two companies.     He said negotiations were continuing with various other companies for tariff fixing.The wind turbines would be set up along the coastal areas, he added.    
Besides, a plant was being installed in Landhi, Karachi with the collaboration of New Zealand for producing 25 megawatts electricity from cattle dung and trash.  
He said a plan for providing agricultural tools run by solar energy to the poor people in rural areas of Sindh and Balochistan was underway
http://www.app.com.pk/National.htm

[Tarbela]

Dutch dredger arrives at Karachi Port
KARACHI: The Karachi Port Trust (KPT) has procured the state-of-the-art Backhoe Dredger, which arrived at the Karachi Port from the Netherlands on Tuesday.

The KPT singed an agreement to procure this dredger with Shipyard De-Donge, a Netherlands company, on Feb 1 at a cost of 12.073 million euros, a statement of the KPT said.After the induction of this dredger having an average dredging capacity of 400 cubic meters per hour, it will be used for dredging sand, clay, soft and hard rocks from the Karachi Port channel. This facility will also be available to the two other port authorities.

The dredger's bucket capacity is 8.5 cubic meters and has an excavator penetration force of 100 tonnes with 180-degree range and can accommodate eight members on board. The dredger is classified by Bureau Veritas and complies with all class rules and regulations as well as convention for safety. It has self-propulsion of two hydro propellers of 350kws each.

It can work at a stretch for 14 days without any break, providing optimum efficiency and cutting time for deepening the channel and would permit large ships at the port in future.
http://www.dailytimes.com.pk/default.asp?p..._8-6-2006_pg5_3

[Tiberia]

In Pakistan the next cities to be launched by telenor recently are Mardan and Abbotabad,since im working in this project i can also answer any questions.

heh good job man...
so what u do with them....
is northern areas included in thier list....

[ABBASIA]

Daimler-Chrysler to invest $5.8bn


By Sher Baz Khan

ISLAMABAD, June 15: Daimler-Chrysler and Coastal Group has decided to invest $5.85 billion in Pakistan by starting production of Mercedes-Benz trucks, both commercial and military, buses and Mercedes cars of various types to create a vendor industry.

The group would set up their plant on 1,200 acres of land near Shaikhupura provided by the government. The investment would create 5,000 jobs directly and indirectly, said Umar Ahmed Ghumman, minister of state for Privatisation and Investment and chairman Board of Investment (BoI) at a news conference at the Parliament House here on Thursday.

Coastal Group would make all the financial investment in the project, while Daimler-Chrysler would provide technology transfer.

It is to mention here that on May 7, 1998 two of the world's leading car manufactures, the German Daimler-Benz AG and the USA-based Chrysler Corporation, announced the largest industrial merger in history. The new company, called Daimler-Chrysler, became the world's fifth largest car maker with combined revenues of around $130 billion, a combined operating profit of around $7 billion, and a combined workforce of more than 420,000 employees.

The minister said the group would export products to neighbouring countries as well as to the Gulf region, which would earn billions of dollars in foreign exchange for Pakistan. A training institute conforming to the international standards would also be established in Pakistan to update the technical knowledge in the country.

An industrial estate for vendor industry would also be set up to locally produce spare parts as per European standards for local and export purposes, Mr Ghumman said.

Black cabs: Responding to a question about the reported violation of rules in import of black cabs from the United Kingdom, Mr Ghumman said: "We are importing duty-free 300 black cabs for testing purposes. The government had to give this facility in order to invite $1 billion investment from Prime Transport Limited to assemble, manufacture and operate London taxis in Pakistan under joint venture partnership with LTI of UK and ST Electronics of Singapore."

The minister said 150 of the black cabs would be tested in Karachi, 100 in Lahore and 50 in Islamabad so that to keep in mind the local conditions while manufacturing the cabs locally. He said no rules of the Public Procurement Regulatory Authority (PPRA) had been violated as the matter did not involve any investment by the government and the investment did not create any scam.

"I have no personal connection with the person who has invested the money. He is a Pakistani and his name is Dawood Khan. He belongs to Karachi. He wanted to introduce a secure and safe taxi system in Pakistan after a 15-year-old girl from his family was raped and killed by a taxi driver," he said.

The minister said no one was ready to provide such an investment for the purpose-built black cabs, but still, “we invited the tenders through various newspapers to ensure transparency," he added.

The minister said that as per the agreement, the London taxis would charge Rs11 per km which was reasonable. To a question, he said the manufacturing plant of black cabs was being set up in Gharo, near Karachi on 300 acres. The plant had to be shifted to Pakistan because the manufacturing of a single black cab required 43,000 sterling pounds in the UK compared to the 22,000 sterling pounds in Pakistan.

He said the government wanted to change the culture of taxis in Pakistan by revolutionising, introducing and implementing the most economical, dependable, comfortable and safe satellite-controlled taxi service in the country.

[ABBASIA]

Vast scope for Dutch companies in Pakistan

KARACHI (APP) - The President of the Netherlands-Pakistan Business Council, Martin J Leushuis, has spoken of immense opportunities for collaboration between the two countries in the realms of business and industry.
He is currently on a visit to Pakistan at the head of a three- member delegation.
In an interview with this agency here, Martin pointed out that there are tremendous possibilities for the Dutch companies here.
He said that in the Netherlands and Pakistan most of the people speak English and with the collaboration in the business and industry there can be a win-win situation for both the sides.
Martin informed that there are a lot of products, which cannot be produced in Holland because of the labour cost in comparatively much high there.
However, he further stated, these can be produced in Pakistan pretty well.
Martin was of the view that both the sides could build a suitable, long-term network. “ That is what we are looking for”.
He stated that we are looking for collaboration between the Netherlands and Pakistan and the companies of the two countries.
Martin was of the opinion that the situation was conducive in Pakistan for doing business here and that is why he is here along with a delegation to explore the possibilities in this respect.
The other members of the delegation were Harold Vreeman and Erik Jansen of the Menzing Industries of the Netherlands.
Meanwhile, a Dutch firm Menzing Industries will sign a Memorandum of Understanding with a Karachi based firm- Research and Development Engineering Company.
The MoU will be inked in Islamabad today (Wednesday), says the leader of a three-member business delegation from the Netherlands, Martin J Leushuis, while talking to this news agency here.
He said that the two countries would be working together. The initial test has already been performed.
Martin was of the view that the first step has been taken and after making some progress.
“We will look into the possibilities of investment and see what new products may come out as a result of such a collaboration”, he added.
Martin, who is also the President of the Netherlands-Pakistan Business Council, is looking for the Dutch companies and those from Pakistan to work together.
He said that the NPBC plans to use Pakistan as a hub for other countries in the region. There would be an ideal situation of export and re-export to other countries from Pakistan.
Martin was of the view that there are tremendous possibilities for the Dutch companies here.
Romy Moiz, Managing Director of Research and Development Engineering Company, located in Korangi Industrial Area here, said that Menzing has already sent material here for trial production.
He said that his firm and Menzing will sign an agreement in Islamabad on Wednesday (today) under the sponsorship of Pakistan’s Ministry of Industries and the Engineering Development Board.
Moiz said “we are signing this agreement with Menzing for cooperation and joint projects to be done in Pakistan in future. This is a first step which would lead to further investment here from Holland in a collaborative manner”, he remarked. Moiz further said that Menzing was also offering technology and inviting their personnel for training so that the same standard of manufacturing could be achieved in Pakistan.
Omar Zaman, Technical Director of research and Development Engineering Company, praised the initiatives the government of Pakistan was taking in the engineering industry.

http://www.nation.com.pk/daily/june-2006/28/bnews4.php

APMA delegation calls on EDB chief



By our correspondent

LAHORE: The motorcycle industry in the country is progressing so well as manufacturing of motorcycles has touched the 0.7 million mark in financial year 2005-06.

This was revealed in a meeting between a delegation of Association of Pakistan Motorcycle Assemblers (APMA) with the CEO of Engineering Development Board (EDB), Imtiaz Rastgar here on Tuesday.

The meeting was informed that the volume of motorcycles, manufactured, was going to cross one million mark by the year 2010. The increasing volume has compelled the vendor industry to increase the production of parts accordingly.

The members of delegation pointed out that crank case, crankshaft, transmission, shaft rocker arm, spindle, complete kick starter, spindle gear and spindle cam chain, guide sprocket were in short supply as the production capacities of vendors for these parts are very low, as a result the gap between supply and demand is met by import. The situation can be judged from the fact that crankcase is manufactured mainly by only two companies but their production capacity is approx 6,000 sets per month.

It is pertinent to mention here that Honda is manufacturing the parts for 70cc motorcycles only.

The CEO advised the APMA delegation that they should not only encourage the existing vendors to increase their production but also provide impetus to investors to invest in this industry for rich dividends in short period. The scale of volumes involved was now enough for new entrants to come forward and start producing these parts to fill the gap between the supply and demand, he added.

As evident from the existing scenario, the gap between the supply and demand of the motorcycle parts is going to widen with the increase in production of motorcycles. This gap is an open invitation to the progressive businessmen for availing this opportunity and venturing in the manufacturing of main parts.


http://www.thenews.com.pk/daily_detail.asp?id=12954

[sobank]

pakistan and Holand joint machinery engineering venture

[ABBASIA]

Govt plans to export 250,000 motorcycles

By Fida Hussain

ISLAMABAD: The government plans to export 250,000 motorcycles in the current financial year and the Engineering Development Board (EDB) has asked the government to finalize the duty drawback facility for motorbikes’ export and incorporate it in the Trade Policy 2006-07, EDB CEO Imtiaz Rasgar told the Daily Times on Wednesday.

If the recommendation of the EDB was approved, large-scale export of motorcycles would begin from this fiscal.

The proposed export would earn foreign exchange of 150 million US dollars for the country, said the EDB vice chairman.

He said that the EDB is demanding nothing extraordinary in the coming Trade Policy. We simply want the government to grant the sector duty drawback facility, which is actually the right of any sector playing a role in the country’s exports.

Mr Rastgar said that the proposed export of motorcycles would be the first step towards the opening up of engineering sector for exports. This will also help the government to diversify exports, which are dominated by textiles having a share of around 70 percent in the total exports.

“The government has been striving for diversification of exports. In this regard, the EDB has sent its recommendation for taking steps on behalf of the government to encourage motorbikes’ export in the current fiscal,” he said.

The motorbikes’ export will encourage other industry in the engineering sector to play their role in increasing the exports of the country. We need to enhance our exports. For this the government must encourage the engineering sector, he added.

In the recommendation, the EDB has asked the Central Board of Revenue to return customs duties to the tune of 5-10 percent to the manufacturers on motorbikes’ export. They pay the customs duty on the import of raw material. This is a just demand of the manufacturers, an official said.

The government has the facility of duty drawback for exporters in various sectors. The government has been providing compensatory duty drawback facility on textile exports. Under the compensatory facility, the textile sector is paid more than they pay in customs duty on the import of raw material, the official said. “In other words, the government subsidizes the export of cotton goods,” the official said.

Pakistan produced more than 650,000 motorbikes in the last fiscal. In 2006-07, the motorcycle manufacturers are expected to manufacture over one million units as a result of expansion of the existing plants. According to a study of the EDB, Bangladesh, Afghanistan and the East African region could be potential markets for Pakistan-made motorbikes, the official said.

Motorcycles’ manufacturing is a success story in the country. The industry is fully capable of meeting the domestic requirements. It is also capable of competing in the international market as Pakistan-made 70CC motobikes are famous in the international market. This company has been in the export of motorcycles since long, the official said.

http://www.dailytimes.com.pk/default.asp?p..._6-7-2006_pg5_1

[ABBASIA]

Auto industry growth: Prime Minister forms panel to prepare 10-year plan
ZAHEER ABBASI
ISLAMABAD (July 06 2006): Prime Minister Shaukat Aziz has constituted a committee comprising Planning Commission Deputy Chairman Dr Akram Sheikh, Secretary Ministry of Industries and Production, Kamran Rasool, and Chairman Central Board of Revenue, Abdullah Yousaf, to prepare a 10-year plan for the growth of local auto sector, Business Recorder learnt on Wednesday.

Sources said that the primary thrust of Pakistan Automobile Industry Development Plan (PAIDP) would be to encourage local manufacturers to increase investment by 100 percent to meet local demand and grab international market share through enhancing capacity.

A meeting recently, held in Prime Minister Secretariat, and attended by top brass of Ministry of Industries and Planning Commission, discussed in detail the PAIDP prepared and submitted by the Engineering Development Board (EDB) that led to formation of the committee to further look into its viability.

Under the plan, manufacturers will be given a target of 0.5 million cars and one million motorcycles production by the end of 2010-11. The plan will also address issues like delay in delivery of cars and bikes and suggests abolishment of illegal premium, which is an abhorred practice in the sector. The government has ensured the industry all-out support and return on investment but it would be required to enhance its capacity.

Meanwhile, representatives of the industry were of the view during the meeting with the EDB that import of used cars scheme and new entrants policy was a major concern for the local industry.

Sources said that the government wanted the industry to enhance its capacity and competitiveness as huge imports of vehicles has been disturbing the country's balance of payment. The production and sale details since 1995 show that local production of automobile was not enough to fill the demand-supply gap in the local market and the trend continues to widen during recent years.

Total local production till May 2006 of local industry in cars stood at 143,921 against sale of 140,071, whereas production of motorcycles, according to the officials of EDB, was around 600,000.

[ABBASIA]

Revo maker to expand production



By our correspondent

KARACHI: The maker of Pakistan’s first car - Revo - believes his indigenous development will start to attract people once enough of these vehicles are on road to catch their attention.

Deriving its name from the word - revolution - the car introduced seven months ago is made up of 68 per cent components manufactured locally excluding the most important part - engine.

But, Feroz Khan, CEO of Adam Motor Company Ltd, is closely observing international trends vis-a-vis development of car engines. Moreover, he intends to improve the quality of existing production before moving ahead. “Our cars will start to grab market once there are 4,000-5,000 vehicles on roads,” he said in an interaction with newsmen at AMC plant near Port Qasim on Tuesday.

Currently rolling out seven to eight cars a day, he is planning to increase the number to 20 by January 2007. Besides the 800-1,000cc cars, the company is also manufacturing heavy-duty jeeps and trucks.

“We are also planning to introduce a family van in future,” Feroz said and underlined the challenge in maintaining a balance between reliability of a vehicle and its cost.

The small number of 495 vehicles delivered up until now is not holding back Feroz, who, after enlisting Pakistan among the 16 countries designing and producing cars, has decided to set up an assembling plant in Bangladesh.

About the very low resale value of his cars, he said people still had doubts in their minds about the reliability of these vehicles but hoped the perception will change.


http://www.thenews.com.pk/daily_detail.asp?id=15138

Daimler-Chrysler project by year-end



By Imran Ayub

KARACHI: The world auto giant Daimler-Chrysler is likely to kick off $5.85 billion project by the end of 2006 for starting production of Mercedes-Benz trucks, both commercial and military, buses and Mercedes cars to create a vendor industry in Pakistan.

According to a senior official, two groups - Daimler-Chrysler and Coastal Group - had been working closely with the institutions concerned with an aim to start the project within next few months.

“We can’t speak anything on behalf of investors,” said Muhammad Jehangir Bashar, Secretary, Board of Investment (BoI). “But we all are sure that it’s a very serious plan of investors and is likely to be initiated by the end of this year (2006).”

He said that both the groups were continuously working on the proposed investment plan with the local institutions including the BoI and authorities concerned. However, he said, it was a little bit early to give the exact month for the start of the project.

The government last month announced the plan of Daimler-Chrysler and Coastal Group to invest $5.85 billion in Pakistan by starting production of Mercedes-Benz trucks, both commercial and military, buses and Mercedes cars of various types to create a vendor industry.

As per the announced plan, Coastal Group would make all the financial investment in the project, while Daimler-Chrysler would transfer technology. A 1,200-acre land near Sheikhupura has been offered by the government for the production plant, which would create 5,000 jobs directly and indirectly.

Industry players and analysts see the foreign investment in the particular area as a fresh windfall for the growing local auto industry, which may inspire others to mark Pakistan to expand their business.

“Daimler-Chrysler seems eyeing Central Asian and Afghan market to export its products after manufacturing in Pakistan,” said Farhan Aziz Khan, an analyst at Noman Abid and Company Limited, a local brokerage house.

He said after the revised tariff structure announced by the Engineering Development Board, Pakistan offered the most lucrative business for the auto manufacturing companies across the world.

The EDB announcement last week rationalised the duty structure on off high-way dumpers and other trucks of five tonnes and above capacity.

The fresh structure reduces the duty rate of trucks of five tonnes and above capacity to 40 per cent and that on their CKD kits to 10 per cent.

Similarly, dump trucks and trailers for prime movers have also been placed in the same duty slab while customs duty on the import of prime movers has been reduced to 15 per cent and it has been exempted on their CKD kits to the extent of non-indigenised parts.

Farhan sees the foreign project as the huge investment plan by Daimler-Chrysler, which he says would more work as assembling shop for its export-focussed production.

“Daimler-Chrysler is likely to attract military-based production coupled with good potential market offered by Pakistan where local capacity is as low as 3,000 a year,” he said.

The German auto giant Daimler-Benz AG in 1998 announced the largest industrial merger in the history with the Chrysler Corporation of the United States. The new company, called Daimler-Chrysler, is the world’s fifth largest carmaker with combined revenues of around $130 billion and a combined operating profit of around $7 billion with a combined workforce of more than 420,000 employees.


http://www.thenews.com.pk/daily_detail.asp?id=15143

[ABBASIA]

EDB asks govt to encourage engineering industry

* Says domestic manufacturers of consumer goods facing stiff competition from foreign-made goods

By Fida Hussain

ISLAMABAD: The government has been warned that the local engineering industry will quickly lose market to cheaper China-made goods if the industry is not encouraged to export goods and carve a niche in the international market, a senior government official told the Daily Times on Thursday.

“This is the right time that the government encouraged the engineering industry. There must be an encouragement to the industry in Trade Policy 2006-07, otherwise the industry will not be able to keep its hold on consumers in the local market in the next few years as Chinese goods are quite competitive in terms of low prices,” CEO Engineering Development Board (EDB) Imtiaz Rastgar said.

He claimed that the engineering sector industry is well poised to take part in the country’s export from this fiscal.

The EDB has sent its proposals to the ministry of commerce for the upcoming trade policy in which we have identified household items such as refrigerators, deep freezers and washing machine as engineering goods to be exported.

Apart from 250,000 motorcycles, our plan also includes the export of more than 150,000 refrigerators in the current financial year.

The number of deep freezers and washing machines to be exported has not yet been decided, he said.

Consumer electronics and electrical sectors, which had seen a rapid growth in the previous two years, grew by a healthy 77 percent for electric motors, 20 percent for air conditioners, 12 percent for television sets, and 11 percent for refrigerators in the last fiscal.

Among automobiles, cars, trucks, light commercial vehicles (LCVs) jeeps and tractors exhibited healthy growths of 29, 58, 33 and 16 percent, respectively. Even the Planning Commission in the annual development plan 2006-07 said that automobile was distorted by the import of used cars and buses, especially the latter, whose production showed a decline of 62 percent.

Mr Rastgar said the production of steel items declined considerably in the last fiscal and there is a need that obsolete machinery, particularly coke ovens and the byproduct plant in the Pakistan Steel be repaired.

However, he said the government has allowed some considerable concessions for the import of raw materials used for manufacturing in the engineering sector. Pakistan is home to companies in the engineering sector, which are well known in some foreign countries. The need is to send their goods in the international market.

“The government has been striving for diversification of the country’s exports. In this regard, the EDB has sent its recommendation for taking steps on behalf of the government to encourage the engineering goods’ export in the current fiscal,” he said.

About the impression that there is saturation of capacity in some key sub-sectors, Mr Rastgar said the sector would expand once their goods got good response from consumers in the international market.

http://www.dailytimes.com.pk/default.asp?p...14-7-2006_pg5_3

[Tarbela]

Plan to steer engineering exports upto $ 10bln by 2010: EDB

ISLAMABAD, July 21 (APP): An ambitious plan has been evolved to enhance the exports of engineering products to $10 billion from $540 million within next four years, Chairman Engineering Development Board (EDB) Waseem Haqqi said Friday. Talking to private tv channel (Geo), he said exports target of this year has been fixed at $750 million. It will be enhanced to $ 01 billion within next two years.

The major chunk of engineering products were exported to Afghanistan, USA, Dubai, UK  and Germany. Exports to UAE and Saudi Arabia has also been initiated recently. Around 8,000 to 10,000 motorcycles have also been exported to Bangladesh, Nigeria and Sri Lanka. 2,500 Tractors have been exported to Afghanistan, South Africa and Nigeria.

He said the country attracted around $ 3.520 billion as foreign direct investment (FDI) during this year including $1.6 billion through privatisation of PTCL, Habib Bank and KESC.The net FDI remained at $1.9 billion during the last year. Production of cars have been enhanced upto 200,000 to 320,000 units.
While motorcycle production has been increased to 800,000 from 150,000 within three to four years. Television production has been enhanced up to one million from 125,000, he said.

            Around 500,000 cars would be produced in the country by 2009-10.Next year the capacity of car manufacturing would be at 250,000 units.The production of trucks, car and light vehicle remained 198,038 units during 2005-06 including 106,642 cars. Likewise around 46,000 used cars have also been imported.

Refrigerators production have been increased upto one million from 200,000. Air conditioner production have been enhanced upto 750,000.While 55,000 Tractors were manufactured during the last financial year.
http://www.app.com.pk/business.htm

[ABBASIA]

Car firm announces export of first batch of locally assembled 4-WD

KARACHI, July 21 (APP)- The sole distributor and assembler of Land Rover vehicles in Pakistan, Sigma Motors (Pvt) Limited has announced the export of first batch of Pakistan Assembled Land Rover Defenders to Democratic Socialist Republic of Sri Lanka.

High Commissioner of Sri Lanka General C.S. Weerasooriya, received the vehicles on behalf of his Government at a ceremony organised at Karachi Golf Club, Karsaz here on Friday.

Secretary, Ministry of Defence Production, Lt. Gen ® Shahid Siddiq Tirmezi, handed over the vehicles.

Sigma Motors hold a unique distinction of being the assembler, which has entered the export market. Since May 2002, when it started the assembly operation it has assembled more than 3000 Land Rover Defenders which are used all over Pakistan.

The company is geared to assemble 2000 Land Rover Defenders per year and is also aggressively pursuing other export opportunities besides looking after the needs of fleet customers in Pakistan.

It may be noted that Land Rover Defenders is icon of automobile industry and presently used in more than 150 countries around the world.

[ABBASIA]

Energy meter exports hit $2m



By our correspondent

KARACHI: The export of energy meter from Pakistan increased to $2 million in 2005 as compared to $0.133 million in 2004.

The chairman of the committee on energy meter sector, Shamim Ahmed said this in a presentation on growth strategy for energy meter sector in Islamabad on Monday. Shamim said that world trade of energy meter was $1 billion and Hungary was the top exporter with total exports of $132 million in 2004. He added that the strength of the industry was 50 years of experience of local energy meter production and complete know-how in metering technologies, systems, testing and certifications, depth of indigenization and vendor base, and possibility of involving local engineering institutions for product developments.

He said that the local meter manufacturing industry had been operating for the past 50 years and has been nurtured through tariff protection. Its existing capacity of single phase meter was 2.5 million units per annum and 1.5 lakh three-phase meters.

Technology and business is purely centred around WAPDA regulations and its metering system and major manufacturers are producing only for one customer - WAPDA. The industry has no export orientation for sustainable growth, he added.

Minister of industries, production and special initiatives Jahangir Khan Tareen directed that a meeting of all manufacturers should be called in order to evolve a roadmap for realising export potential of the industry.

He added that the ministry was ready to facilitate the industry in order to enhance its competitiveness in the world market. The committee was constituted by Engineering Development Board to define a framework for growth of energy meter sector in Pakistan.

[Tarbela]

Energy meter exports hit $2m
good news  

[ABBASIA]

Pakistani Motorcycle Exports Likely to Start This Fiscal Year
KARACHI, Aug 8 Asia Pulse - After consuming enormous imported and locally manufactured motorbikes for a long time, the auto market is geared up to export 'made in Pakistan' two-wheelers in 2006-07.

A senior official said the government has extended duty drawback facility for motorcycle export incorporating it in the Trade Policy 2006-07 announced last month.

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"After such facilitation, we expect that by the end of this fiscal, we would be able to export 100,000 motorbikes," Imtiaz Rastgar, Chief Executive Officer Engineering Development Board said.

"In the first phase, we will target the regional market in a bid to explore new areas for our engineering goods, as the EDB tries to bring more options for the local industry, which has potential to meet global demand for engineering goods."

He said the motorbike manufacturers were keen to enter into export venture but it depended purely on their production capacity, as the domestic market itself offered lucrative business opportunities to the local auto industry.

"One of our total seven manufacturers has prepared itself and hopefully it would mark the motorbike export from Pakistan with 100,000 pieces by the end of 2006-07," added Rastgar.

http://sg.biz.yahoo.com/060808/16/42n34.html

[GreenBeret]

heh good job man...
so what u do with them....
is northern areas included in thier list....

northern areas like gilgit,para chinar etc also parts of kashmir was included in the list,although im not in that project anymore i used to supervise installation of telecom equipment,then commissioning them as integrated system and then integrating them with other sites for link up and finally bringing site on-air so u guys get the signals:)

[ABBASIA]

EDB discusses sheet industry progress



By our correspondent

KARACHI: A meeting of Engineering Development Board (EDB) was held in Islamabad on Wednesday under the chairmanship of Imtiaz Rastgar, CEO, to discuss the availability, quality, price fluctuations, reduction of production cost and growth of sheet industry.

Representatives of Pakistan Steel Mills, People Steel Mills, auto assemblers, pipe & home appliance manufacturers, CBR, commerce ministry and Planning Commission attended it. The participants appreciated the role of EDB in providing tariff protection to the industry in the current budget and hoped that it will facilitate them in finding solutions of their problems.

Rastgar called upon the industry to improve its competitiveness in order to play its role in world market. The reduction of duties on raw material in the current budget was the first step in this direction, he added.

He underlined the importance of small scale industry in the progress of the country. He said that EDB had surveyed the potentials of the SMEs in engineering sector in various cities of the country, in order to facilitate their growth.

The people sitting in small towns like Daska, Sahiwal, Okara, Mian Chunno need government support at least in availability of raw material at low price, he said and criticised the steel policy of the country and said that many foreign investors had packed up, as it revolved around Pakistan Steel Mills.

The participants severely criticised the performance of Pakistan Steel Mills and raised many questions about its quality of production and delivery schedules. The representative of the Steel Mills admitted that they were meeting only 23 per cent demand of the industry and the rest was imported.

The industry demanded abolition of NOC requirement by Pakistan Steel Mills for import. They supported the ideas of transfer of the function to neutral organisation like EDB. The industry representative also suggested establishment of coil centres in big cities, material and steel banks. The industry also demanded availability of cheap land for establishing production units. They were of the view that their expansion plans were withheld on account of higher cost of land.

http://www.thenews.com.pk/daily_detail.asp?id=19990


Vendors face labour shortage as carmakers eye Pakistan



By Saad Hasan

KARACHI: Automotive parts’ suppliers in Pakistan are facing a dearth of skilled workforce at a time when opportunity to capture lucrative contracts from foreign car assemblers is just around the corner.

Japanese automakers are gearing up to outsource their parts manufacturing from Pakistan, which has recently come under the limelight of their European counterparts. Director of Japan External Trade Organization (JETRO) Shinichiro Ashizawa told The News that carmakers from his home country, other than those already having operations in Pakistan, were interested in expanding business, primarily attracted by increase in annual production of vehicles now nearing 200,000.

Also, recently their European counterparts announced to make roots into Pakistan, which Ashizawa conceded was one of the reasons for renewed Japanese interest in the country. But local vendors deplore that years of neglect on the part of successive governments has weakened the foundations of the vending industry, which is still dependent on old production techniques and has no experience in tools and dies making - the most essential component in vending business.

While Pakistan is facing a lack of trained workmen, Indian automobile industry has grown leaps and bounds over the years and now enjoys a position where the country provides end-to-end services from designing auto parts to production of made-in-India vehicles.

The story of Indian success can be traced back to early 1950s when it opened polytechnic institutes to upgrade labour skills. Four decades later, European auto giants are contracting Indian firms to design and manufacture auto parts.

But now the automobile industry is driven by cost competitiveness unlike previous years when Detroit served as a symbol of pride for United States’ cars, placing Pakistani vendors in a favourable position with their relatively cheap auto parts.

Domestic vending industry is catching up slowly. It has started to concentrate on skill development of workforce and is on its way to train people in making tools, dies and moulds indigenously.

Almas Haider, Chairman Technical Up-gradation and Skill Development Corporation (TUSDEC), Lahore, is optimistic about the future. “Currently, our auto parts are least value-added but as soon as we start producing more refined workforce, impact will start to emerge,” he said.

Local vending industry has expanded in numbers in recent years since the biggest carmaker, Pak Suzuki, established its production plant near Karachi in the 80s. It is using most of the localized products of these vendors and one such part manufacturer has even elevated himself to a higher rank with the launch of first Pakistani car - Revo. Almas, who has been in the vending business for the last 26 years, believes that the local vending industry is one step behind India.

“Such institutes are being set up throughout Pakistan now,” he said referring to Karachi Tools, Dies and Moulds Centre (KTDMC) - a project of the Ministry of Industries. “In two years, these training centres will start to bear fruit.”

He said only a few vendors could afford to import dies and moulds for shaping plastic-made bumpers to steel doors and almost every component of external and internal car structure. Some 30,000 parts make up a car, which can more economically be produced on a large scale with local dies and moulds, he added.

“I have latest machinery in my workshop but I couldn’t find anyone to use them,” Muneer Bana, a vendor who has been assigned the task to head KTDMC said. “A die is a basic foundation for any car part and it should be 100 per cent accurate.”

Most of the vendors in Pakistan use low quality dies, which they are only able to make after several attempts, he said, adding that acquiring a die from abroad is not financially feasible at all.

Local vendors use outdated methods for making dies with little use of computer-based system for designing and manufacture of these dies, which have become a necessity these days, Bana said.

“Government understood the need of training workforce and in the initial stage two such centres are being set up, one in Karachi and the other in Gujranwala,” he said, adding the availability of skilled workforce would encourage him to induct latest die-making machines into business.

Imtiaz Rastgar, CEO Engineering Development Board (EDB), said a lot of businessmen are putting efforts into this initiative aimed at filling the gap, which has emerged over the years between Pakistani vendors and their regional counterparts.

Though demand for cars has increased in Pakistan following the introduction of liberal auto financing schemes brightening the prospects for industry’s further expansion, the yellow-cab controversy of 1991-92 still haunts one car parts’ supplier.

“We need consistency of government policy,” Mehdi Ali Rizvi, Vice Chairman, Pakistan Association of Automotive Parts and Accessories Manufacturers said, dilating on the outcome of import of yellow-cabs that literally paralysed the auto assemblers and allied industry.

http://www.thenews.com.pk/daily_detail.asp?id=19981

[ABBASIA]

EDB wants to expand motorbikes exports

From Our correspondent
ISLAMABAD - Chief Executive Officer of Engineering Development Board (EDB) Imtiaz Rastgar has said that motorcycle industry should concentrate on increasing export by penetrating in African, South African, Bangladeshi and Nepalese markets.
He was addressing the management of a leading motorcycle-manufacturing company at their Sheikhupura plant on Wednesday. He also briefed them about restructuring of EDB, its performance and future plans, a Press statement issued here by EDB said.
A briefing about activities of the Group, especially motorcycles manufacturing, was also given to him. He was told that the company has introduced the concept of 5S in which sale, spare parts, service, re-sale, financing and leasing services are provided under one roof through the network of the dealers.
It was in export business for last seven years but the number was nominal, he was informed.
The CEO appreciated its vendor improvement program (VIP), in which services of more than 300 vendors are evaluated and technical services provided to remove weaknesses.
He also expressed satisfaction over the achieving of 92 percent deletions by the company.
Rastgar was told that its CEO was in Japan currently to study the possibility of using worldwide network of the main company for providing services to the African countries.
He was also informed that motorcycle industry has the capacity of manufacturing of 1.5 million units annually, out of which its share is 7 lakhs.
Only 50 percent capacity of the industry was being used currently. The company was manufacturing 2,000 motorcycles daily and it takes only 35 seconds to assemble one unit.
Later, Rastgar noted that almost the whole workforce was in their 20s and had technical education background. He also praised its Human Resource development policy.

[ABBASIA]

Bike production to hit 800,000 this year



Manufacturers increase to 50, more seeks licence

By Imran Ayub

KARACHI: The number of motorcycle manufacturers in the country has reached 50 as majority of the local producers have acquired Chinese technology and are expected to produce 800,000 bikes by December 2006.

A top official said that the government offered manufacturing licences in May 2006 but there were still several players, with both local and foreign investments, waiting to get a nod from the authority concerned.

“A meeting of our body was held before the federal budget 2006-07 in which licences were awarded to the interested parties, which increased the number of local motorcycle manufacturers to 50,” said Imtiaz Rastgar, Chief Executive Officer of Engineering Development Board (EDB).

“Since the announcement of budget we have not yet issued a single licence, but our policy is to expand the local market for both local and international players in a bid to increase competition and enhance quality.”

He said less than half a dozen motorcycle manufacturers were operating with Japanese technology as most of the new entrants preferred to adopt Chinese techniques of motorcycle production.

“Now those manufacturers with Japanese technology are planning to expand their production capacity to compete in the market,” said Rastgar.

The country’s motorcycle production industry started witnessing phenomenal growth some three years ago, when several local assemblers acquired Chinese technology with most of the production units set up in different industrial estates of Punjab.

By the end of 2005, some 35 assemblers were producing different categories of motorbikes in different industrial estates. Pak Hero Industries, Atlas Honda, Pakistan Cycle Industrial Co-operative Society Limited, Saigols Qingqi Motors Limited, Excel Industries, New Asia Automobiles, United Sales, Blue Star Automobile, Pacific Motor Company Limited, HKF Engineering (Pvt) Limited, Sazgar Engineering Works Limited, Star Asia and Zxmco Pakistan enjoyed the major market share by the end of last calendar year.

Similarly, Suzuki Motorcycle Pakistan Limited, Dawood Yamaha Limited, Dewan Motorcycles Limited, Ahmed Automobile Company, NJ Auto Industries, Sitara Auto Impex and AB Engineering also designed plans to produce different-styled motorbikes last year.

The EDB chief said there were several other players who were interested in investing in the country’s auto industry and they would enter the market by the end of current financial year.

He said increase in Chinese motorcycle brands had pushed the Japanese assemblers to increase their interests in Pakistan and plan fresh investment strategy for the country.

“It is our market expansion policy, which encouraged Honda Atlas to set up a new motorcycle assembly plant in Lahore to meet growing demand,” added Rastgar.

Like Honda, he said, other foreign manufactures of motorcycles in Pakistan would also increase their capacity in the days to come.

Honda a few months ago set up a new $39.13 million motorcycle production plant in Lahore. The new plant would increase company’s combined annual production to 500,000 motorcycles from the current 400,000 motorcycles.

In 2005-06 total seven foreign assemblers managed to sell 516,640 pieces of the product compared to 417,066 sold out in 2004-05. The assemblers produced total 520,124 motorcycles during 2005-06 compared to 416,189 manufactured in 2004-05.

http://www.thenews.com.pk/daily_detail.asp?id=21863

[ABBASIA]

Foundry industry aims to enhance quality
By our correspondent

LAHORE: Pakistan’s foundry and casting industry is poised to appear on international manufacturing map in a big way after putting extra focus on research and development and technology upgradation initiatives.

In a bid to attract buyers from west and other countries and increase interaction for enhancing quality of production, the Pakistan Foundry Association (PFA) is going to arrange the first ever symposium on foundry in Pakistan - “International Foundry Congress & Exhibition-(IFCE)”, from December 5-6, 2006 in Lahore.

The Congress will be attended by prominent speakers from different countries sharing their experiences and focusing on the most modern techniques adopted in the foundry industry worldwide.

This was informed in a press conference here on Monday at a local hotel which was addressed by Sikandar Mustafa Khan President Pakistan Foundry Association, Imtiaz A Rastgar CEO Pakistan Engineering Board, Aasim Qadri Secretary General PFA and leading industrialist Laeeq Uddin Ansari.

Speaking on the occasion, Sikandar Mustafa Khan said the Congress is set to attract delegates from automobile and engineering industry, Defence, Technology suppliers and seekers, trade delegations, R & D Institutions, consultants and many others.

He added that besides the Congress, an Exhibition will also be running side-by-side where exhibitors from engineering sector will be exhibiting their core competence in the foundry industry.

He maintained that IFCE-2006 has been supported by World Foundry Organization (WFO) and has invited participants from England, Iran, Turkey , India , China and Japan .

Jehangir Khan Tareen, Federal Minister for Industries, Production and Special Initiatives, would preside the inaugural session. Imtiaz A Rastgar said Foundry Congress & Exhibition is designed to act as a catalyst to research development and technology up gradation initiatives in Pakistan and will provide an opportunity for participants to interact with industry experts of the world.

He said strengthening of foundry industry was indispensable for promotion of whole engineering sector as it played a fundamental role for manufacturing sector. He expressed the hope that a quantum jump in exports of engineering products was on the card. He added that various incentives had been given to manufacturing sector in order to reduce input cost and increase productivity. He said ministry of industries would support domestic foundry and casting industry in getting international exposure in order to get export orders.

Aasim Qadri, Secretary General PFA, said this mega event will also include two-day technical session and provide opportunity to have one-on-one meetings besides a series of industrial tour.

The technical session will highlight latest developments in the castings industries worldwide, along with identification and resolution of the issues faced by foundry men looking to succeed as part of the global supply chain. It will also be an opportunity to showcase the benefits of casting process as manufacturing route to designers and engineers.

He said membership of Pakistan Foundry Association is also open for all foundries of the country. Laeeq Uddin Ansari of Bolan Casting said massive capacity enhancement was being done by local industry to enter into international market.

http://www.thenews.com.pk/daily_detail.asp?id=22652

[ABBASIA]

Japanese cos invested $100m in 3 years

Staff Report

LAHORE: Japanese Ambassador to Pakistan Seiji Kojima has said that Japanese companies have invested more than $100 million in Pakistan over the last three years.

"I hope that the volume of Japanese investment in Pakistan, particularly in the automobile sector, will increase further in the near future," he said while speaking at a seminar on "Global Challenges for Corporate Sector" at a local hotel on Tuesday.

Punjab Secretary Commerce and Investment Saeed Ahmad Alvi and Lahore Chamber of Commerce and Industry (LCCI) President Mian Shafqat Ali were also present on the occasion.

The Japanese ambassador hoped that with the expanding demand for automobiles in this part of the world Japanese vendors and suppliers would also invest here.

"This will improve the production quality of the local vendor industries that are still dependent upon old production techniques," he said. Mr Kojima said that Pakistan's automobile sector has a great potential for growth. Higher quality standards, he added, would help the Pakistani automobile sector to target the international market besides meeting the domestic demand. The Japanese ambassador said that both Japan and Pakistan need to work together to further promote their bilateral economic relations to survive the tide of globalization. He said that the volume of Japan's exports to Pakistan had increased from $500 million in the year 2001 to $1.5 billion in 2005. However, the volume of Pakistan's exports to Japan decreased from $600 million in 1995 to only $143 million in 2005, he regretted.

Enumerating the ways to rectify this situation, Mr Kojima said that the corporate sector must strive to improve its competitiveness and increase its economic value addition to move up the technological ladder and become more innovative.

He said that the Japan International Cooperation Agency (JICA), Japan External Trade Organization (JETRO), AOTS and other Japanese organizations could assist Pakistani small and medium enterprises through human resource development and technology transfer. "In this connection the JICA has contributed to imparting technical skills on plastic mould to the Pakistan Industrial Technical Assistance Centre (PITAC), Lahore," the envoy said.

http://www.dailytimes.com.pk/default.asp?p..._6-9-2006_pg5_3

[ABBASIA]

Manufacturing units to get TUSDEC assistance



By our correspondent

LAHORE: The proposed Technology Up-gradation and Skill Development Fund (TUSDEF) with seed money of Rs1 billion will extend financial assistance to the manufacturing units for technology up-gradation and skill development.

This was informed in a meeting, which was held at TUSDEC head office to discuss the modalities of the proposed fund. Arif Kitchlew, Director Financial Services, TUSDEC, gave a presentation on the proposed fund and said that the basic idea behind the concept was to create the need of a fund that will provide financial assistance to the manufacturing industry of Pakistan.

It was told that TUSDEC Fund would enable entrepreneurs and industry to source funds with minimal security after ensuring its feasibility with the financial institutions. The R&D team at TUSDEC will identify sectors where fund could help enhance technology.

The participants of the meeting were of the view that sector analysis will form grounds for quantum of investment that will be required from the Fund. Furthermore, TUSDEC will devise different mechanisms/products in order to ensure equal benefit to all the firms. It was decided to carry out more focused research on the modalities of the fund in consultation with various potential stakeholders of this facility.

The meeting was attended among others by Avais Mazhar Hussain, Director, TUSDEC; Farooq Hassan Gillani, Advisor to Secretary Finance, nominated by the Ministry of Finance; Manzar Shamim, CEO, DDFC; Rana Shahzad Hafeez, CEO,NM Corporation; Dr Shahzad Alam and Javaid Iqbal nominated by the Ministry of Science & Technology; Waqar Ajmal, Corporate Head North, Standard Chartered Bank; Anwar Sheikh, Central Regional Head, Askari Commercial Bank; Tahir Ejaz, AVP Lahore Habib Bank Limited.

Suhael Ahmed, MD, Arif Kitchlew, Director Financial Services, and Ahsan Malik, Director Communications & Linkages, represented TUSDEC.


http://www.thenews.com.pk/daily_detail.asp?id=22779

Iron, steel institute to produce skilled manpower



By our correspondent

LAHORE: CEO Engineering Development Board Imtiaz Rastgar has said establishment of Pakistan Iron and Steel Institute will go a long way in meeting the demand of the industry and will especially ease the dearth of skilled manpower.

He was addressing a meeting of founder members of the Iron and Steel Institute here on Tuesday.

Imtiaz Rastgar, who is also chairman of the institute, underlined the importance of steel sector in the development of the country, adding the industry was facing severe shortage of skilled manpower and the institute would go a long way in meeting the demand of the industry.

He reiterated the support of the Engineering Development Board for the development of steel industry and its linkages with world supply chain.

The institute, the first of its kind in Pakistan, is being established under publicñprivate partnership and each founder member has contributed Rs1 million for this purpose.

The government had earlier announced a matching grant for the project.

The meeting decided to expedite the completion of formalities and directed the draft articles and memorandum of the institute should be finalised for discussion in the next meeting in the first week of October.

The Pakistan Iron and Steel Institute is being established in the wake of a proposal floated by Jahangir Khan Tareen, Minister for Industries, Production and Special Initiatives in August last year.

He advised the industry to have a world class steel research and development institute. Since then, the industry has been striving hard to set up the institute. The EDB is assisting the founder members in this regard.


http://www.thenews.com.pk/daily_detail.asp?id=22787

[ABBASIA]

Motorbike makers to eject investment

MONEM FAROOQI
LAHORE-The motorcycle manufacturers are planning to roll back some of their investment following the obstacles created by the enforcement of Tariff Based System (TBS) that had also intensified competition and eroded profitability, industry sources told The Nation on Thursday.
The industry sources said that the anomaly and confusion persisted in TBS implementation, which had been drafted in utter haste despite the fact that the Engineering Development Board (EDB) had taken two years in finalising the system as the board had been facing internal management problems.
These sources said that the TBS should not be implemented as unified as there were size variations among the manufacturing units.
Sources quoting SRO 656 said that EDB had yet to define the missing link for 8 per cent of the parts in the TBS for the exempted components, which include sub-components, components, sub-assemblies and assemblies but exclude consumables, imported in any kit form, for assembly or manufacture of vehicles.
Sources said that around 20 small and medium motorcycle makers producing 400 per month had been facing added stiff competition in sales, marketing and reduction of products’ prices had been compelling these units to wind up their plants.
Inam ul Haq, senior vice president Federation of Pakistan Chamber of Commerce and Industry (FPCCI) standing committee for Auto Industry and former secretary PAAPAM said that the current conditions would throw the small units out of this industry by the end of this year.
He said that local players were lamenting over the unnecessary delay in implementation of TBS. He said that TBS contained lot of confusion, which in fact was the continuation of the so-called replacement of the deletion programme.
The aggregate investment in the motorcycle industry has now reached Rs 4 billion, which could shed to Rs 2.5 billion if these companies back off, sources said.
The motorcycle makers said that with the induction of local companies in the motorcycle industry, people who could only purchase second-hand bikes might able to get a brand new locally manufactured bike at affordable prices.
Industry sources said that a ‘price war’ among all manufacturers had been taking its turn as the Honda has slashed its 70cc motorcycle price to Rs 52,000 from Rs 70,000 in just two years. “The ex-factory price of locally manufactured motorcycle ranges from Rs 33,000 to Rs 37,000, which ranged from Rs 35,000 to Rs 40,000 six months back,” said a dealer at Mcleod Road.
The industry players said that the giant-size motorcycle companies had also announced different incentives, or discount packages, for their dealers as well as customers, which have badly hurt the small investors, who could not offer such incentives. “Our dealers are asking for discount packages these days, besides giving indications that they would contact our business rivals for marketing of their motorcycles,” said a small manufacturer.
Market players said that a small motorcycle plant costs Rs 50 million, and if 20 units shut down operations, it would cause an aggregate loss of Rs 1 billion. Market sources said that the demand for motorcycles in the country stands at 200,000 units annually, and if the government gives free hand to local manufacturers, they could export their units as well by establishing their Research and Development (R&D) Department.
“We could export our motorbikes to South Africa and other countries, like Bangladesh, Sri Lanka and Nepal,” said a leading manufacturer, adding that the locally manufactured 125cc bikes would be appreciated in the European countries and United States if they would be provided conducive environment by the government.

http://www.nation.com.pk/daily/sep-2006/8/bnews1.php

[ABBASIA]

Govt plan to renegotiate agreements: Automobile export

By Ihtasham ul Haque

ISLAMABAD, Sept 11: The government is considering a proposal to ‘renegotiate’ existing agreements with foreign partners to permit export of cars and tractors from Pakistan.

Similarly, official sources told Dawn on Monday the government was contemplating another proposal, submitted by a group of experts, to encourage tripartite partnership amongst foreign investors, technology partners and local industrialists with assured work load.

But they urged the government to improve the country’s image in terms of law and order situation, environment, security, trained labour force, and cost of doing business.

These proposals were contained in the draft of "Technology - Based Industrial Vision and Strategy for Pakistan’s Socio-Economic Development" which was presented to the government for approval jointly by Pakistan Institute of Development Economics (PIDE) and Higher Education Commission/COMSTECH for substantially enhancing the share of industrial and engineering sectors.

Talking about the globalisation, the draft, a copy of which was also made available to Dawn, said that there was a need for relocation of industries from industrial countries to Pakistan by attracting large multinational companies to invest in Pakistan and make the country a hub of the global supply chain.

The government was also urged to make Saarc and Economic Cooperation Organisation (ECO) effective trade blocs.

It was advised to bridge the widening technological gap with the developed countries through invigoration of engineering industry by providing conducive environment including the required technological, financial and physical infrastructures, and creating a seamless integration with emerging trends of global production systems.

About the policy framework, the government was advised to formulate a long-term industrial policy with the consultation of stakeholders to avoid sadden business shocks.

The draft believes there is need to reform taxation system to ensure effective implementation of research and development tax benefits and timely tax refunds and that there is need to remove discrepancies/anomalies of preferential treatment of duty-free imports of products, particularly for infrastructure projects.

In this regard, the government was also urged to implement intellectual property laws and enforcement system and further rationalisation of tax and tariff regimes.

The government was also urged to invest $10-12 billion for increasing the share of industrial sector in GDP to 25 per cent and the share of engineering goods to 30 per cent of manufacturing by 2010.

This will provide goods of international quality at competitive prices for domestic and international markets, support other sectors of economy, and will facilitate in exploiting the niche in global translocation of industrial production.

To meet the target an investment of $10-12 billion would be required up to 2010, another $20-25 billion up to 2020 and $30-40 billion by 2030. It will initially generate employment for two million people.

If these joint proposals were accepted and implemented, the government was told that this would help increase the exports of engineering sector to $2 billon, $5 billion and $12 billion by 2010 and 2030 if low scenario of exports is assumed.

However, this can only be achieved through a growth-led strategy of value-added quality production.

The allocation of additional resources from the technology development fund, common facilities centres, technology centres and technical manpower development, the draft said, could take Pakistan to the path of rapid industrial development.

With continued cooperation between Central Board of Revenue (CBR) and the ministry of industries and production for further rationalisation of taxes, tariffs and SROs can positively affect the overall output of the country.

"Given the political will, commitment and patronage, it is possible to achieve these targets with full participation of the private sector stakeholders".


http://www.dawn.com/2006/09/12/ebr1.htm

[ABBASIA]

Foundry industry aims to enhance quality



By our correspondent

LAHORE: Pakistan’s foundry and casting industry is poised to appear on international manufacturing map in a big way after putting extra focus on research and development and technology upgradation initiatives.

In a bid to attract buyers from west and other countries and increase interaction for enhancing quality of production, the Pakistan Foundry Association (PFA) is going to arrange the first ever symposium on foundry in Pakistan - “International Foundry Congress & Exhibition-(IFCE)”, from December 5-6, 2006 in Lahore.

The Congress will be attended by prominent speakers from different countries sharing their experiences and focusing on the most modern techniques adopted in the foundry industry worldwide.

This was informed in a press conference here on Monday at a local hotel which was addressed by Sikandar Mustafa Khan President Pakistan Foundry Association, Imtiaz A Rastgar CEO Pakistan Engineering Board, Aasim Qadri Secretary General PFA and leading industrialist Laeeq Uddin Ansari.

Speaking on the occasion, Sikandar Mustafa Khan said the Congress is set to attract delegates from automobile and engineering industry, Defence, Technology suppliers and seekers, trade delegations, R & D Institutions, consultants and many others.

He added that besides the Congress, an Exhibition will also be running side-by-side where exhibitors from engineering sector will be exhibiting their core competence in the foundry industry.

He maintained that IFCE-2006 has been supported by World Foundry Organization (WFO) and has invited participants from England, Iran, Turkey , India , China and Japan .

Jehangir Khan Tareen, Federal Minister for Industries, Production and Special Initiatives, would preside the inaugural session. Imtiaz A Rastgar said Foundry Congress & Exhibition is designed to act as a catalyst to research development and technology up gradation initiatives in Pakistan and will provide an opportunity for participants to interact with industry experts of the world.

He said strengthening of foundry industry was indispensable for promotion of whole engineering sector as it played a fundamental role for manufacturing sector. He expressed the hope that a quantum jump in exports of engineering products was on the card. He added that various incentives had been given to manufacturing sector in order to reduce input cost and increase productivity. He said ministry of industries would support domestic foundry and casting industry in getting international exposure in order to get export orders.

Aasim Qadri, Secretary General PFA, said this mega event will also include two-day technical session and provide opportunity to have one-on-one meetings besides a series of industrial tour.

The technical session will highlight latest developments in the castings industries worldwide, along with identification and resolution of the issues faced by foundry men looking to succeed as part of the global supply chain. It will also be an opportunity to showcase the benefits of casting process as manufacturing route to designers and engineers.

He said membership of Pakistan Foundry Association is also open for all foundries of the country. Laeeq Uddin Ansari of Bolan Casting said massive capacity enhancement was being done by local industry to enter into international market.

http://www.thenews.com.pk/daily_detail.asp?id=22652

[ABBASIA]

TUSDEC setting up TDM Centre in Gujranwala

Staff Report

LAHORE: Technology Upgrada-tion and Skill Development Company (TUSDEC) is setting up Tools, Dies and Moulds (TDM) Centre in Gujranwala at a cost of Rs 900 million to provide technological support to the manufacturing sector of this Central Punjab industrial town.

According to a spokesman of TUSDEC here on Monday, a revised PC-1 for this project has been submitted with the Planning Commission for its inclusion in the upcoming CDWP meeting for necessary approval. This project will be yet another step for the uplift of the industry especially the manufacturing sector.

The TDM Centre will provide the local TDM and related industry with state-of-the-art design, training, consultancy and manufacturing facilities. This will be important in particular to the small and medium enterprises, which cannot make huge investment for the development of such facilities on their own. A major aim of this facility is to enable local industry to produce TDM products of international quality

http://www.dailytimes.com.pk/default.asp?p...0-10-2006_pg5_9

[ABBASIA]

Japanese vendors coming to Pakistan



By Munawar Hasan

LAHORE: Japanese investors are eyeing expanding automobile sector of Pakistan and it is expected that technologically advanced foreign vendors and suppliers would invest here in near future.

“As the demand for automobiles is expanding in Pakistan, it is hoped that in the coming future, the Japanese vendors and suppliers would also invest here. This will certainly improve the production quality of local vendor industries that are still dependent on old production techniques,” said Seiji Kojima, Ambassador of Japan replying to e-mail queries of The News.

About direct investment, he said that Japanese companies have invested more than $100 million in Pakistan in the last three years and there is hope that the volume of Japanese investment, particularly in the automobile sector, would increase further in the near future.

Talking about Pak-Japan economic relations, he stressed that Pak corporate sector must enhance competitiveness to face stiff competition in world trade. Regarding globalisation, he observed that Japan and Pakistan needed well thought out strategies and to further promote bilateral economic relations.

Japanese envoy said although the volume of Japan’s exports to Pakistan has increased from $500 million in 2001 to $1.5 billion in 2005, the volume of Pakistan’s exports to Japan has decreased from $600 million in 1995 to a mere $143 million in 2005.

He suggested ways to rectify this worrisome situation. First and foremost, he opined, the corporate sector must strive towards improving its competitiveness and increase value addition, move up the technological ladder and stay innovative.

On the Japanese part, he informed, JICA, JETRO, AOTS and other Japanese organisations could assist Pakistani small and medium enterprises through human resources development and transfer of technology. In this connection, he maintained, JICA has contributed to imparting technical skills in plastic mould to Pakistan Industrial Technical Assistance Centre (PITAC) in Lahore.

Seiji Kojima said Japan and Pakistan have been enjoying friendly and cordial relations for more than five decades since the establishment of diplomatic relations between the two countries. “Japan has consistently played its role as a major trade partner, investor as well as a major donor in the social and economic development of Pakistan,” he said adding Japan has contributed $5.16 billion to Pakistan by the end of 2004.

About Japan role in the region, Japanese Ambassador said observer status of Japan in the South Asian Association for Regional Cooperation (SAARC) is a testimony to the deepening of relationship between Japan and the SAARC member states.

“Japan is of the view that the peace and development of South Asia is becoming increasingly important for the stability and prosperity of Asia and the international community,” he said.

In relation to this, he added, it must also be recognized that peace and stable development in Pakistan is inseparably linked to peace and stability in the whole of South Asia, including India.

Keeping the development aspects insight, Japan-SAARC Special Fund was established in 1993 and since then Japan has been supporting the cooperative activities among the South Asian countries through this fund ($4.2million, 1993-2002).

About future initiatives in the region, he said, Japan is looking forward to increasing greater ‘connectivity’ in the region through expansion of infrastructure facilities for goods and services as well as to foster communications across the border among business, academics, civil society groups, and media. Besides this, Japan will also cooperate in capacity building in the institutions of the SAARC countries. Japanese top diplomat in Pakistan said his country is making an outstanding effort for worldwide peace and security as well as the uplifting of the developing countries.

http://www.thenews.com.pk/daily_detail.asp?id=27608

[ABBASIA]

Jadoon for accelerating mineral exploration



ISLAMABAD: Federal Minister for Petroleum and Natural Resources Amanullah Khan Jadoon has said that application of state-of-the-art technology was must for identifying and exploring new mineral deposits in the country.

He expressed these views while presiding over a high level meeting to review the mineral sector’s goals here Monday. Minister of State for Petroleum and Natural Resources Mir Mohammad Naseer Mengal and Secretary Petroleum Ahmad Waqar also attended the meeting.

The Minister underlined the need to accelerate the pace of mineral exploration activities aimed at increasing its share in the growth of national economy as the country was endowed with vast deposits of coal, copper, lead Zinc and other precious metallic and non-metallic potential.

He said the Geological Survey of Pakistan (GSP) should gear up its activities for updating geological mapping and seismic data as early as possible that could provide Geological Information about new mineral deposits and its quality.

DG, GSP Talib Hassan Mirza, in his detailed presentation, informed the meeting that 50 percent task of the geological mapping has been carried out and 48,000 sq km area for mapping and 18,000 sq km for geo-chemical exploration were to be covered under the accelerated geological mapping project.

He said that availability of geological maps and related data of mineral potential would attract foreign investment in the country. The DG said that evaluation of iron and associated base metals in Punjab and NWFP, exploration of massive sulphides in Uthal and Lasbella districts and tertiary coal in central salt range in Punjab were in progress.


http://www.thenews.com.pk/daily_detail.asp?id=27615

[ABBASIA]

Polyethylene maker eyes $100m exports



By our correspondent

KARACHI: Trans Polymar, UK, which is planning a 310,000 tonnes production facility of high-density polyethylene (HDPE), Linear Low Density Polyethylene (LLDPE) and Low Density Polyethylene (LDP) at Port Qasim, will be in a position to export their products worth 100 million dollars in first year of its operation.

Peter Leoyed Cooper, an official of the company, stated this while talking to chief executive officer of Engineering Development Board Imtiaz Rastgar in Islamabad on Wednesday. Both discussed the polyethylene (PE) project in detail.

The company has entered into agreements with various firms for procurement of plant and equipment, licensing for PE manufacturing process and supply of raw materials. The plant will produce about 248,000 tonnes initially, increasing capacity in the third year to 360,000 tonnes per annum.

This plant can meet the entire demand for polyethylene in Pakistan. The production capacity can be easily expanded further, depending upon the demand, by up to 100 percent.

Estimated cost of the project is 400 million Euros (about $480 millions) with debt/equity ratio of 70:30. The Naptha Cracker project and the Polypropylene projects, to be set up after the successful completion of the Polyethylene Project, will cost about Euro 900 million ($1.1 billion). The British company is demanding tariff protection for 10 years for all the items in the PE, Naphtha Cracker chain.

The CEO assured the company official of full cooperation of the Board. However, he expressed dissatisfaction on export performance of multi-nationals in Pakistan.

He said that these companies were enjoying tariff protection for the last so many years without entering into export market. Trans Polymar should give due importance to this aspect, he said.

http://www.thenews.com.pk/daily_detail.asp?id=28795

[ABBASIA]

Renault seeks tariff concession in Pakistan



By our correspondent

KARACHI: Jerard Etourebet, a senior official of Renault Group, called on Imtiaz Rastgar, chief executive officer of Engineering Development Board in Islamabad on Thursday and exchanged views about starting assembly of cars and trucks in Pakistan.

He said that his company was discussing the project with the Pakistani authorities since November 2005 and “now is the time to finalise things.” He added that the facility would be mainly used for export purposes, so they need incentives in the shape of tariff concession and duty drawbacks.

When asked to give specific proposals, he said that South African scheme would suit them. He assured that maximum local component would be used in assembly of their products. In this regard, he referred to his earlier meeting with the officials of PAAPAM.

The CEO EDB informed him that South African proposal given by him during his last visit was considered seriously by the Engineering Development Board and a delegation was sent there to study the system in-depth.

On return of the delegation recommendations were submitted to the authorities, which could be looked at now. He also gave overview of export potential of the local auto sector and incentives given by the government. He specially mentioned two SROs of CBR having inbuilt incentives for exporters. However, he underlined the importance of sustainable long-term policy for development of the auto sector.

He said that the EDB was working on a duty drawback scheme for engineering sector including auto with the approval of the CBR, which will be ready by the end of next month, having inbuilt incentives for the sector.

It will also meet specific needs of the engineering sector, which are different from others. He assured that the scheme was totally business friendly and based on views expressed by all the stakeholders. The French Ambassador to Pakistan Pierre Charasse was also present in the meeting.

http://www.thenews.com.pk/daily_detail.asp?id=28950

[ABBASIA]

ECC likely to okay new auto policy today

* Also expected to grant sales tax exemption on CNG buses’ import

By Sajid Chaudhry

ISLAMABAD: The Economic Coordination Committee of the Cabinet is expected to approve on Tuesday the proposed auto policy, exemption from sales tax for the public transport sector and the development of New Gwadar International Airport on turnkey basis, a government official told the Daily Times on Monday.

The ECC that will meet under the chairmanship of Prime Minister Shaukat Aziz will take up a 14-point agenda. It will take important decisions relating to different economic sectors. The ECC will consider the proposed auto policy to facilitate the sector and enable it to meet the national requirements as well as exports from the country.

The Engineering Develop-ment Board (EDB) had asked the government to give a long-term tariff structure for at least seven years to the investors in the automobile sector and the Board had described it as the only way to encourage investment both in expansion in the existing industry and setting up new auto firms in the country. The new policy is to be finalized keeping in view of investment committed by three new auto-makers, especially Renault and Mercedeze Benz.

The proposed policy, prepared by the EDB, is backed by the ministry of industries, production and special Initiatives (MOIP&SI). The official, however, admitted that the tax authorities would place their point of view at the ECC meeting to the structure proposed by the EDB. It has been drafted on the demand of the industry to have a long-term policy to enable the industry to make future investment decisions. The draft policy is aimed to have a holistic view of the industry to seek solutions on investments, competitiveness and integration in the international supply chain.

The ECC is also expected to consider exemption of sales tax on the import CNG buses for the public transport sector. The government has been asked to offer CNG to CNG only buses at reduced prices to attract the private sector to invest heavily in the sector and help the government to control environmental problems.

The EDB, which strongly supports the environmentally-friendly CNG buses, is of the view that the government should study and follow the Korean model where nine CNG filling stations for buses with a capacity to fill 20 buses simultaneously have been installed in Seoul by the Korean government. New rules should be incorporated in the urban transport system for exclusive routes of CNG buses. Incentives are required to be offered by the government for attraction of transport operation for only fully dedicated CNG buses.

The ministry of petroleum and natural resources has proposed to the ECC utilization of Production Bonus Obligation of the exploration and production companies in the oil and gas sector like utilization of royalty. The ministry has proposed that this bonus may be deposited with the federal government which onwards be transferred to the relevant province and subsequently be transferred to the district concerned for development projects.

The ECC is to allocate gas from Mari Deep Zamzama to the power sector. The ECC will also fix the price of gas for the fertilizer plant being set up near Qadirpur. The meeting will also give go-ahead to the establishment of a coastal oil refinery at Khalifa Point by IPIC of Abu Dhabi.

The meeting is expected to convert a Rs 10 million loan into equity granted to the National Book Foundation.

The ECC will also review the economic performance, imports and exports, tax collection and foreign exchange reserves position and flows of foreign direct investment during the first quarter (July-September) period of the current fiscal year. The meeting will be informed about cement, edible oil, ghee, sugar and other essential commodities’ availability and prices in the country. The ECC will also review the prices of essential items in the countries of the region.


http://www.dailytimes.com.pk/default.asp?p...1-10-2006_pg5_1

[ABBASIA]

POF to sign MoUs during 'IDEAS' Exhibition 2006

NAVEED SIDDIQUI
WAH CANTT - Pakistan Ordnance Factories (POF) Wah has announced that it will launch co-production of arms and ammunition with Germany and Korea from January 2007. Chairman POF Lt. Gen Syed Sabahat Hussain told journalists here on Tuesday after the opening session of the two-day seminar on public-private partnership.
He said that Memorandum of Understandings (MoUs) to this effect would be signed during the forthcoming International Defence Exhibition (IDEAS) 2006. To a query, the Chairman said that POF was devising a future strategy to launch more projects of co-production with the local private partners in the field of arms and ammunition.
Sabahat Hussain was of the view that technologies once branded as “hush hush” were now being offered to the POF as joint ventures for co-production and co-marketing by companies no less than international giants Diehl of Germany and Poongsan of Korea. He said similar offers have also been received from some other countries.
Earlier, speaking at the seminar, he said that the core technology and system integration would continue to be the centre of POF’s main activity. He said that the private sector would also benefit as down stream industry.
He observed that Pakistan had been blessed by Allah Almighty with extraordinary resources and skills combined with the flexibility for adaptation to the changing global environment.
He said that the POF was the lifeline to the Pakistan Armed Forces since its creation and had played a vital role in the development of both the present public as well as private sector industries.
He said over the years the industry had not only expanded in size and volume but had also excelled in the acquisition of new technologies and diversification of its product range. “This turn has given the country the essentially required self-reliance and helped boost trade and reduce imports,” he added.
Federal Minister for Defence Production Major (retd) Habibullah Warraich urged the public sector to enhance the capability of private sector and work in harmony for an effective utilisation of resources in both cultures.
He said that the POF was undoubtedly the major defence industry in Pakistan and with its vast resources and range of products and processes had presented itself as an ideal industrial complex for the other industries to seek guidance and help. He said in Pakistan, the rapidly expanding automobile and oil and gas sector and the ever-vibrant textile sector needed support from the public sector. He stressed that it was the time to take a step to bridge a gap for a sustainable cooperation.
Khawar Nawaz, a senior official of the POF in a presentation on “POF’s role in the development of engineering sector in Pakistan” said that the POF was the largest defence industrial complex under the ministry of defence production, producing conventional arms and ammunition of the international standards. He said an international name in quality and reliability, all manufacturing units of POF are ISO-9001 - ISO-14001 certified. Its metallurgical testing labs and ballistic proof ranges have the world class recognition of ISO 17025. He said with technologies and equipments acquired from USA, UK, France, Germany and China, these factories employ some of the latest state of the art processes, including computerised numerical controlled machines and flexible Manufacturing systems for the production of precision components.
The wide range of products include a variety of NATO caliber Infantry weapons and their ammo, Tank ammo, Air craft and anti air craft ammo, Artillery ammo, Rockets, Air craft bombs, Pyrotechnics, Mortar bombs and Hand grenade and a number of ordnance and commercial products.
The Chief Executive of Small and Medium Enterprises Development Authority (SMEDA) Shahab Khawaja said that the SMEDA was established in October 1998 to take on the challenge of developing Small and Medium Enterprises (SMEs) in Pakistan. He said with a futuristic approach and professional management structure it has focus on providing an enabling environment and business development services to small and medium enterprises. Mohsin Khalid, Chief Executive Ittehad Steel Islamabad also made presentation on “steel sector overview-the way forward”. He underlined the need to take advantage of the unending appetite of steel in the region.

http://www.nation.com.pk/daily/nov-2006/8/bnews2.php

[ABBASIA]

Abraaj Capital acquires stake in Pakistan’s largest steel forging house
[Sunday, November 26, 2006 3:30:00 pm]  

Abraaj Capital has acquired a controlling interest in MS Forgings, Pakistan’s largest steel forging house, specializing in steel components for the automotive industry domestically and abroad. The acquisition of the 80% stake in MS Forgings marks the first investment by the Abraaj BMA Pakistan Buyout Fund L.P. which was announced earlier in the year and had its first closing on June 2006.

Founded in 1974, MS Forgings has evolved into the leading supplier of steel forged components for the domestic automotive industry. The automotive industry has seen tremendous growth over the past five years with the market for locally assembled vehicles growing at over 30% per annum. Analysts expect current growth levels to continue largely on the back of the macroeconomic growth in the Pakistan economy and the continued proliferation of automobile financing.

By identifying the global outsourcing trend in the automotive parts industry early on, MS Forgings has focused on high quality production in-line with international standards and has developed a unique export capability. Roughly 50% of revenues are from exports to major automotive markets such as the Europe and the US. Going forward, MS Forgings is looking to further leverage this trend and is considering strategic acquisitions within Pakistan as well as in established markets such as Europe and the US as a means to widen its customer base and to capture additional market share internationally.

“The automobile component industry in Pakistan represents one of the most attractive growth sectors in the economy” said Arif Naqvi, CEO and Vice Chairman at Abraaj Capital. “We believe that MS Forgings through its leadership position and existing export base is especially well-positioned to become one of the top players globally in this high-growth segment” added Naqvi.

“One of the key mandates of our Fund is to create globally competitive businesses through the numerous consolidation opportunities available in fragmented industries in Pakistan. MS Forgings is the ideal platform on which to help consolidate the automobile component industry” said Tom Speechly, Executive Director at Abraaj Capital.

“We are extremely excited about this partnership with Abraaj” said Shahid Khan, CEO at MS Forgings. “Their regional experience with businesses within Pakistan and the Middle East will add enormous value to the existing base at MS Forgings and help take us to the next level of growth”.

“The Abraaj BMA Pakistan Fund is the largest private equity fund ever to target investments in the country,” added Farrukh Khan, CEO of BMA, one of the leading investment firms in the country and along with Abraaj Capital, a shareholder in the domestic investment manager to the Fund. “While there are clearly multiple opportunities for consolidation across Pakistan, the fund is focused on quality transactions like MS Forgings where we can build on strong, existing assets, and add value for both partner companies and shareholders.” “Pakistan is one of the most attractive emerging markets for private equity investment, yet has largely been overlooked by all of the global private equity majors. The opportunities for private equity involvement in firm consolidation, expansion capital, and government privatizations are superb. We possess a robust deal pipeline currently and expect to close a number of high quality transactions such as MS Forgings over the coming months” added Moazzam Malik, Managing Director at BMA.

http://archive.gulfnews.com/articles/06/11/27/10085450.html

[ABBASIA]

Steel making from iron ore: MoU inked with China on transfer of technology
ISLAMABAD (November 28 2006): A memorandum of understanding (MoU) was signed here on Monday between Chinese Company MCC-Beris and Mughal Steel in the presence of Jahangir Khan Tareen, Minister for Industries, Production and Special Initiatives.

It covers transfer of technology for steel making from indigenous iron ore reserves. The match making between the two companies was done by Engineering Development Board. The Chinese Metallurgical Construction (Group) Corporation Baotou Engineering and Research Corporation of Iron and Steel Industry and Mughal Steel have agreed on a commercial project of Section Mill and 500m blast furnace.

It also envisages a visit of Pakistan Steel delegation consisting of prominent private sector key players to China.

With the completion of the project present production capacity of Mughal Steel will increase to one mtpy with modern equipment and automation and control system, widen products range and improve quality. Both sides have recognised the importance of optimum utilisation of the facilities and services available in Pakistan.

The Chinese firm will also arrange training for Pakistani engineers and technicians. The project is planned to be completed by end of March 2008. Addressing on the occasion the Minister highlighted the significance and salient features of the MoU and said that it was first agreement of its kind between two steel making organisations of China and Pakistan. Imtiaz Rastgar, CEO, EDB, senior officials of the Ministry and Board were also present on the occasion.

http://www.brecorder.com/index.php?id=5018...m=&supDate=

[ABBASIA]

Auto output to be 0.5m units soon: Tareen

KARACHI: Federal Minister for Industries, Production and Special Initiatives Jahangir Khan Tareen said on Tuesday that the government would make all efforts to raise current automobile production from 200,000 to 500,000 under a long-term policy.

He was talking to reporters after presiding over a meeting of automobile assemblers in Pakistan at PIDC here Tuesday. He said that the auto policy would ensure that local industry should cater to the growing domestic demand for vehicles.

To a question, he said Pak-Suzuki Motors was acquiring more land for setting up a new plant for enhancing their capacity. Currently they are producing 100,000 units annually, he added.

He pointed out that the progress on cab manufacturing plant was slow but the plan was still intact. Replying to a question about the recently signed free trade agreement (FTA) with China, Jahangir Tareen said that this has opened venues for Pakistani industry in Chinese market. This will be a big boost to the local industry, as they will get duty free access in vast Chinese market, he noted.

To a question about setting up model industrial parks in northern and southern region, he said that National Industrial Parks and Management Company would set up these parks. Sindh and Balochistan will be covered by the south region while Lahore, Islamabad, NWFP and FATA will come under north region. He stated that Rs 175 million would be allocated for setting up model industrial parks in the country.

PIDC board approves setting up of hunting, sports arms co: The board of directors of PIDC on Tuesday approved setting up of Pakistan Hunting and Sporting Arms Development Company (PHSADC) at a cost of Rs 100 million at Peshawar to upgrade the arms manufacturing industries in Darra Adam Khel. The PHSADC will establish a common facility and training centre at Darra Adam Khel, a Gunsmith Skill Development Centre in Peshawar and an industrial estate with modern facilities at Darra Adam Khel.

The meeting was chaired by Federal Minister for Industries, Production and Special Initiatives Jahangir Khan Tareen.

http://www.dailytimes.com.pk/default.asp?p...9-11-2006_pg5_8

[ABBASIA]

EIAL acquires 70pc stake in US firm



By our correspondent

KARACHI: Engro Innovative Automation Limited (EIAL), a subsidiary of Engro Chemical Pakistan has acquired 70 per cent stake in a US firm Advanced Automation Association (AAA) a company provides industrial automation based in Pennsylvania.

Chief Executive Officer (CEO) EIAL, Bakhtiar Wain while addressing a press conference here on Tuesday said that primary line of business of Advanced Automation Association (AAA) and EIAL was similar and added that the total investment by EIAL in this venture would be around Rs450 million.

“EIAL after developing a world standard skill set through extensive experience of Pakistan and Middle East’s industrial automation now has decided to venture into North American market by acquiring stakes in AAA.”

He said that strategic acquisition of the majority shares would allow company to raise the expertise of its team to the next level by implementing best engineering practices and synchronization of business process across the world.

“The outsourcing model that we envisage after seamless integration of two organizations would set the stage of future acquisitions in North America,” he said.

Bakhtiar said that automation services provided by EIAL is only for industries not for services and added that the project would generate employment for high end of value chain and around 80 to 100 were given high end jobs.

“Earlier company used to get 60 to 70 percent business from local industries and now it is getting 50 percent work from local while remaining from foreign companies,” he said and added that EIAL started as a business division of Innovative Automation in July 1995 to implement industrial automation, electric engineering & process control systems for local industry. However it was acquired by Engro Chemical Pakistan to form ECPL subsidiary.