NEWS FROM PAKISTAN

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NEWS of AUGUST 2005

31-08-2005 

Prime Minister Shaukat Aziz said the government is committed to boost the housing sector in the country to meet the residential requirements of the people. He was speaking at the groundbreaking ceremony held here to mark the inauguration of development work for D-12 sector which was pending for the last 17 years. (Business Recorder)

The Privatization Commission is holding a pre-bid meeting for the sale of 96.34 per cent shares in Javedan Cement Limited (JCL) on September 3, 2005. According to a hand out, the meeting is being organized to create better understanding of the transaction and the bidding process and to respond to the queries of the potential buyers. The Privatization Commission has received 43 Expressions of Interest (EOIs) from interested parties for the privatization of Javedan Cement Limited on an “as-is-where-is” basis through the sale of its 96.34 per cent shares held by State Cement Corporation of Pakistan (Pvt) Ltd. (SCCP) the holding Company. (Dawn)

The federal cabinet is likely to approve Axle Load Control Law, in its meeting to be held today under the chairmanship of Prime Minister Shaukat Aziz, it is learnt. According to the law, vehicles would be charged for damaging roads due to overloading. (Business Recorder)

The Privatisation Commission (PC) has decided to include four more units of State Engineering Corporation (SEC) i.e., Heavy Mechanical Complex (HMC), Taxila, Heavy Electrical Complex (HEC), Pakistan Machine-Tool Factory (PMTF), Karachi, and Enar Petrotech Services (Pvt) Ltd, Karachi, in the list of entities to be privatised. (Business Recorder)

Stocks maintained their winning streak as investors continued to build up long positions on oil and bank counters as both ensure handsome capital gains at the current lower levels owing to higher earnings. However, most of the gains were fractional and reflect that investors are taking an overview of their inventories before resuming normal activity. The perception that prices have already reached a saturation point may not be correct. (Dawn)

The Task Force on Economic Policy (TEP) discussed the outline of the proposed revised Poverty Reduction Strategy Paper (PRSP-II) and reviewed a presentation on Pakistan’s employment and its comparison with South Asian countries presented by Dr. Alia H. Khan. Dr. Salman Shah Advisor to Prime Minister on Finance and Economic Affairs chaired the 4th Meeting of the TEP. (Dawn)

Investors have shown keen interest in phase II of Karachi Export Processing Zone (KEPZ) where development work is at full swing and is expected to be completed by middle of next year. This was stated by Export Processing Zones Authority (EPZA) chairperson Mrs Rukhsana Saleem during a visit of Federal Minister for Industries, Production and Special Initiatives Jehangir Khan Tareen to the KEPZ. She apprised the minister about the progress of the development of Phase II and said the project was spread over 100 acres and had been duly approved by ECNEC. The development work, she said was being carried in four phases, she added. (Dawn)

Al-Tuwairqi Steel Complex, proposed to be spread over 220.21 acres of land at Port Qasim, will be declared Export Processing Zone (EPZ), besides withdrawal of controversial Statutory Regulatory Order (SRO) issued by the Central Board of Revenue (CBR), highly placed sources in the Industries and Production Ministry told. (Business Recorder)

Samsung Electronics, the worldwide digital Information Technology leader announced its expansion into the mid and large monitor market with the launch of the first high-resolution 20-inch LCD premium monitor, SyneMaster 204Ts. (Business Recorder)

Pakistan should join the South Asia Regional Energy Coalition (SAREC) to influence regional energy policy and the SAREC is right body through which this goal could be achieved. Aram B Zamgochian, Project Director, SAREC expressed these views, while talking to LCCI President Mian Misbahur Rehman. (The Nation)

The country’s steel production units have placed orders to import $102 million equipment from India and are now due to meet authorities in Islamabad seeking the nod to set up new plants with Indian technology. A 16-member Pakistani delegation, representing different steel re-rolling mills and production companies, has recently returned from India and now plans to meet highups in the industry and commerce ministries, in a bid to get support for co-operation with the Indian industry. (Daily Times)

Mr Bogdan Marcxewski, ambassador of Poland, has proposed a Pak-Poland joint venture for investment, saying that Polish investors would like to benefit from the conducive investment climate in Pakistan. This he said during a meeting with Sikandar Hayat Khan Bosan, federal minister for food, agriculture and livestock. They discussed ways and means to explore the possibility of technical cooperation in agriculture field. (Daily Times)

Multinet Pakistan, a subsidiary of Telekom Malaysia Bhd, launched the second phase of a $100-million 4,500-kilometer long fiber optic network that will link 77 cities across the country. “We have come here and taken a stake in Multinet; we are going to put $100 million to build the national fiber optic backbone,” Nur Jazlan, chairman of Multinet Pakistan and a member of the Malaysian parliament, said at the inauguration. (Daily Times)

Federal Minister for Information Technology Awais Ahmed Khan Leghari is likely to inaugurate the 2nd Annual South Asia Mobiles 2005 Summit to be held in Islamabad from 8 to 9 September 2005. The summit has been sponsored by Pakistan’s leading mobile phone company Ufone. The event has received endorsement and support from International Telecom organizations such as South Asian GSM Forum, Global Mobile Suppliers Association, UMTS and Asian Media Information and Communication Center. (Pakistan Observer)

Tourism is estimated to be the fastest growing industry and it is a multi-billion dollar industry with revenues currently standing at US $ 550 situation per anum, Federal Minister for Tourism Dr Ghazi Gulab Jamal said Although Pakistan is not a traditional mass tourism market at this point in time yet she earned US $ 185.6 million during the. year 2004-5 from foreign Tourism showing an increase of 36.9 per cent. (Pakistan Observer)

30-08-2005 

Prime Minister Shaukat Aziz called for increasing, expanding and institutionalising Pakistan’s economic relations with the Gulf Cooperation Council (GCC) for greater economic integration in the region. Talking to the Executive President Capital Market Authority of Oman, Yahya Bin Said Bin Abdullah Al-Jabri at the PM House, he said there was wide scope for further expansion and promotion of Pak-Oman economic relations to their mutual advantage. (The News)

The Board of Privatisation Commission is holding a crucial meeting in Islamabad tomorrow to review the ongoing privatisation programme, especially the post-privatisation scenarios relating to Pakistan Telecommunication Company Limited (PTCL) and Karachi Electric Supply Company (KESC). The meeting, to be chaired by Federal Minister for Privatisation and Investment Dr Hafeez Sheikh, would look into Etisalat’s request for payment of bid amount in different installments. Etisalat was declared the highest bidder for the PTCL as it offered $2.598 billion to acquire 26 per cent stake (at the rate of $1.96 per share) in the company along with management control. (The Nation) 

Prime Minister Shaukat Aziz said Khushhali Bank was playing a critical role in bringing about a positive change in the lives of rural people, especially women, who feel empowered as now they contribute to the family income. Following a presentation made to him on the performance of Khushhali Bank at the PM House, he said the number of borrowers of loans from the Khushhali Bank would touch the mark of one million by end of 2007. (The News) 

For Pakistan’s foreign investment competitiveness, the country must strive to attract and retain world-class professionals in various segments of the economy. Dr. Abdul Hafeez Shaikh Minister for Privatization & Investment stated this in a meeting with a delegation of career Pakistan organization led by Bilal Kayani who called on him and apprised him of the Reverse Brain Drain Programe. Dr. Hafeez Shaikh said the Individuals with foreign education or overseas work experience were in a peerless position to become carriers of international expertise to Pakistan. (Pakistan Observer) 

Prime Minister Shaukat Aziz has said that a new international airport will be constructed in Gwadar and till such time the existing airport will be upgraded and improved by the Civil Aviation Authority (CAA), said an official statement. (Daily Times) 

A crucial and decisive meeting of the Privatization Commission with the investors group that offered second highest bid for divesture of 73 per cent shares of Karachi Electric Supply Corporation (KESC) is being held today at Islamabad. In the privatization auction of the KESC on February 4, Hassan Associates offered the second highest bid of Rs1.01 per share which comes to over Rs9 billion for 73 per cent shares. The highest bid of Rs1.65 per share or Rs20.24 billion (more than Rs300 million) was offered by Saudi investors group Kanooz Al Watan. (Dawn)  

Jahangir Khan Tareen, Federal Minister for Industries, Production and Special Initiatives has stated that a Special Cell would be constituted within a two week time to undertake "Aik Nagar Aik Hunar" (ANAH), a project initiated by the Prime Minster to enhance exports and employment opportunities in the rural areas. "Aik Nagar Aik Hunar" (ANAH), project is based on One Village One Product (OVOP) concept. (The News) 

Profit after tax (PAT) of 19 commercial banks listed at the stock exchanges grew by 96 per cent during the half year ended June 30, 2005. This was assessed by separate reports by brokerage firms JS Capital Markets and InvestCap. In its listed banks’ performance review, the JS Capital Markets report stated that 2005 would be the fourth consecutive year of double digit profitability growth of the banking sector as evident from the 1H2005 results. (Dawn) 

The completion of ‘Lube Revamp Project’ of National Refinery Limited (NRL) is a major event about which the chairman in his last quarterly report had stated: “Progress on revamp project is satisfactory. The best estimation for completion and commissioning remains third quarter of 2005”. NRL chairman’s review for the quarter ended on 30-03-05 had also noted: “The expected enhanced production of base oils from the revamp would not only further enrich refinery economics but also bring substantial savings in foreign exchange for the country.” (Dawn) 

Pakistan State Oil (PSO) and Star Petro Energy (Pvt) Limited, a subsidiary of Al Ghurair Group of Companies, Dubai, have signed a memorandum of understanding to ensure the availability of compressed natural gas (CNG) all over Pakistan. CNG will be supplied through a unique concept of unconventional mother-daughter CNG facilities at retail outlets on highways at every 80-100km where piped gas is not available. (Dawn) 

Stocks resumed trading on a higher note as investors continued to build up long positions on selected counters under the lead of oil shares followed by reports that world crude price has touched the record level of $70 per barrel and the banking sector posts higher earnings. Higher dividend and bonus shares by some of the leading companies were also enthusiastically received by investors amid hopes that others leading companies will follow the suit, adding to CFS-led buying euphoria. (Dawn) 

The State Bank of Pakistan (SBP) has adopted a new strategy about Islamic banking and now foreign Islamic banks would be encouraged to establish their Islamic banking business in Pakistan. This was informed by Governor SBP, Dr Ishrat Hussain at a two-day workshop on Islamic Banking, organised by International Credit Information Ltd (ICIL). (The News)

The federal government recently awarded licences to seven additional local companies for the manufacture and assembly of motorcycles in the country. With the issuance of these licences, the number of motorcycle producers in the country will reach 42 in the next three months. This number was 27 in May this year and currently stands at 35. (The News) 

State-run Pakistan Petroleum Ltd reported a 30 per cent jump in annual profit, as a hefty gas price increase offset a lack of new production. PPL, which operates Pakistan’s largest natural gas fields, supplies the state’s two main gas distributors, Sui Northern and Sui Southern, and its selling prices are based on crude, which is currently riding at record levels on international markets. (The News) 

A young exporter, concerned with a lack of information available on trade, has launched a website about importers, exporters and manufacturers all over the world to cater to the needs of Pakistani exporters. Rising Pakistan is Pakistan’s first website which provides a list of foreign importers, exporters and manufacturers without any cost to meet the needs of Pakistani exporters. (The News) 

The Ministry of Commerce has sanctioned Rs57 million for the expansion and upgradation of the SMA Rizvi Textile Institute. The Towel Manufacturers Association of Pakistan (TMA) said that the amount has been approved by the ministry on excellent performance of the institute. The Patron-in-Chief of TMA, SMA Rizvi, Board of Governors, Principal and faculty of the Institute, have thanked the Commerce Minister Humayun Akhtar for such a gesture. (The News) 

A three-day promotion campaign was launched to introduce Pakistani mangoes in the local market. Consulate General of Pakistan, Shanghai has imported a small quantity of mangoes, which were presented to local government leaders, various trade chambers and commercial organizations and fruit importers. An introductory free tasting of Pakistani mangoes was organised at Shanghai’s largest shopping centre (Carrefour) located in the centre of city. A large number of Chinese and foreign nationals visited the mango display booth to taste the mangoes. (The News) 

Telecom Malaysia has launched its operations in Pakistan with an initial investment of about $100 million to provide backbone infrastructure to mobile and internet services and use it as a base to enter markets in the Central Asia and South Asia. Datuk Nur Jazlan Bin Mohamed, chairman of Multinet Pakistan, a subsidiary of Telecom Malaysia, told Dawn that business environment in Pakistan was very conducive and hence his company would provide its services to all the major cities in Pakistan. Telecom Malaysia Berhad is the second largest listed company at Kuala Lumpur Stock Exchange, he said. (Dawn) 

The Federation of Indian Chambers of Commerce & Industry (FICCI) in association with Federation of Pakistan Chambers of Commerce and Industry (FPCCI) is organizing Made in India Exhibition with the approval of Ministry of Commerce Islamabad, from 10 –16 November 2005 at Physical Education Ground near Gaddafi Stadium Lahore. This was stated by Azher Saeed Butt Vice President FPCCI and Chairman Organizing Committee. He said that “Made in Indian” Exhibition in Lahore would be the first ever unique event of its kind in Pakistan which would reflect peace and tranquility prevailing in Pakistan which will augur well for foreign investment and healthy business environment. It will also establish our credibility act as our gesture of friendship. (Pakistan Observer) 

The government is according high priority to the development of Gwadar Port as it is a vital link in the logistics chain and essential to opening up new vistas of economic cooperation in the region, said the prime minister while presiding over a meeting of the Policy Board on Development of Gwadar Port, held at the Prime Minister’s House to review the progress made so far. (Daily Times) 

A three-day mango festival of mango salads, ice creams, shakes and other mango delicacies was arranged in Stockholm, Sweden, to introduce mangoes to the menu of high-income costumers visiting such venues. The event was held in the Commune Hall Nacka to commensurate with the Independence Day celebrations of Pakistan. The commercial ounsellor read out the messages of the president and the prime minister of Pakistan. The participants were briefed about investor-friendly government policies. (Daily Times)

29-08-2005 

Pakistan Steel Mills (PSM), a national asset, will be handed over to only a credible strategic bidder who must revamp and expand the mill to its designed capacity of three million tonnes per year. PSM should have sufficient land for this purpose, stated Dr Salman Shah, Financial Adviser to Prime Minister during his visit to Pakistan Steel Mills. He said that PSM turnaround was unprecedented and historic. Its after-tax profit of Rs6 billion and generation of Rs9 billion revenue from sales and income tax paid in the last financial year has significantly contributed to the national economy. (The News) 

Seventeen firms and international corporations are in the race for the 51 percent equity stake in nation’s largest oil distribution and importing company Pakistan State Oil (PSO). Three UAE firms included in the race are seen as favorites by the analysts who say that gulf will invest more in Pakistan after Etisalat bought 26% stake in PTCL. Privatisation Commission has recently pre-qualified 4 parties for PPL and 7 parties for participating in the further process of the privatisation of 51 percent equity stake in PSO. (Pakistan Observer) 

In view of the lower production but higher consumption and record imports by China foreseen in 2005-06, an increase of 23% in world market prices of cotton is expected this season on average. The world market cotton prices were projected at 64 cents per pound as against 52 cents per pound of last year’s average. Agriculture Development Commissioner (ADC) Dr. Qadir Bux Baloch stated. (Pakistan Observer) 

Buraq Telecom has the honor to be one of the 7 Pakistani investors in the galaxy of 12 Long Distance International operators (LDI). So far they have invested $ 2 billion. Only on the infrastructure $ 20 million have been invested plus another $35 million for securing licenses etc. Direct employment has been provided to 116 local youngsters along with 500 others who have been offered indirect jobs.  Chief Executive of Buraq Telecom Limited, Sadiq Yousuf Yalmaz said during an interview. (Pakistan Observer)  

Under the special directives of the government, the Punjab Small Industries Corporation (PSIC) has formulated a strategy for setting up industrial cluster parks and will support small and medium enterprises (SMEs) in the province. (Business Recorder)  

The car sales in the country have touched a figure of 127,000 in period ending July 12,2005. This figure indicates an increase over 32 percent over the same period last year. Pakistan Automotive Manufacturers Association (Pama) has revealed the information. (Business Recorder) 

Jean Pierre Caboufigue director of "Aqua Technique" will visit the country from August 28 to September 2, 2005. The Director will meet higher level Pakistani authorities during his visit. The Company a subsidiary of French Suez Group world leader on potable management and its presence is in more than 130 countries. (Business Recorder) 

Dadex Eternit Limited launched Pakistan's first standard uPVC Tubewell Casing and Screen Pipes System at a colourful launch ceremony recently. Brigadier Muhammad Lateef, Station Commander was the chief guest on the occasion who congratulated Dadex on their continuous efforts for introducing latest products in the construction sector for the convenience of the customers. (Business Recorder) 

The Asian Development Bank (ADB) has hinted at grant of $180 million for NWFP under Devolved Social Sector Delivery (DSSD), but termed its use for investment purposes as high risk. It recommended that the government of Pakistan (GoP) must ensure use of DSSD to supplement operational funding. (Business Recorder) 

China is going to double its trade volume with Pakistan and increase financial assistance. This was hinted at by the Chinese Ambassador to Pakistan Zhang Chun Xiang while speaking at a seminar and exhibition on "600th anniversary of Zheng He's Maritime expeditions" organised by Pakistan Institute of maritime Affairs (PIMA). (Business Recorder)

27-08-2005 

President General Pervez Musharraf said that Pakistan must establish oil refineries at Gawadar to refine oil of Gulf countries for the international market."If we can develop a large oil terminal and set up oil refineries at newly coming up Gawadar Port, located at the mouth of the Gulf, we can refine crude coming from the Gulf and going out to the world market," President Musharraf noted while speaking at the inauguration of $480 million, 817 kilometres white oil pipeline from Port Qasim to Mahmood Kot, built by Pak-Arab Pipeline Company (PAPCO). (The News)

President General Pervez Musharraf promulgated the Public Investment (Financial Safeguards) Amendment Ordinance 2005. Through this ordinance amendments were introduced in the Public Investments (Financial Safeguards) ordinance, 1960, which would come into effect immediately. According to amendment of section 4, ordinance XLVI of 1960, for the words, comma and figure “Companies Act, 1913”, the words, comma and figure “Companies Ordinance, 1984 shall be substituted and in the margin, for the figure and word “VII of 1913” the figures and word “XLVII of 1984” shall be substituted. Insertion of new section 9A in the said ordinance —”9A: Ordinance not to apply to PTCL — notwithstanding anything contained in this ordinance the Pakistan Telecommunication Company Limited upon its privatization pursuant to the privatization commission ordinance, 2000 (LII of 2000) shall not be deemed to be a corporation, institution or undertaking established with the aid of public revenues of the federation or the federal government for the purpose of this ordinance”. (Dawn)

Prime minister Shaukat Aziz said the NWFP could serve as a manufacturing hub for goods to Afghanistan and the Central Asian States (CARs). Talking to a 25-member delegation of Sarhad Chamber of Commerce and Industry (SCCI), which called on him he said the government was providing necessary infrastructure facilities to the business community. (Daily Times)

PM’s adviser on finance Dr Salman Shah said efforts were being made to attract maximum investment from Oman and the Middle East in the private sector and for the development of infrastructure of industrial estates in Pakistan. He stated this while talking to reporters after a presentation given by Pak-Oman Investment Company Ltd. About inflation, the adviser said that petrol price was a phenomenon and the government was pursuing a multifaceted strategy in which imports would be reduced and possible consumption of petrol would be replaced with gas in power generation. (Dawn)

Encouraged by an almost 85 per cent growth in exports in past five years, the planners now confidently project a quantum jump in Pakistan’s export by more than 100 per cent in next five years to touch $30 billion figure by 2010. Pakistan’s exports swelled from $8.56 billion in 2000 to $14.4 billion in 2004-05. Exports got a major thrust forward after 9/11 when Pakistan joined the US-led international war against terror and got increasing access into the European and US markets for its textile products. (Dawn)

Textile sector export registered a growth of 3.95 per cent in July and stood at $788.309 million as against $758.370 million during the same month last year. The other three important sectors of the economy — engineering, pharmaceutical and leather tanned — recorded a decline during the first month of the current fiscal year, according to official figures released by Federal Bureau of Statistics (FBS). (Dawn)

While appreciating the second-generation reforms programme, the International Monetary Fund (IMF) has suggested that Pakistan should continue to face challenges confronting its economy upfront. (Business Recorder)

The floodgates to cheap Indian goods in Pakistan would soon be opened on finalisation of the South Asia Free Trade Agreement (SAFTA) likely early next month, trade sources said. The SAFTA Secretariat had issued the draft proposal for the agreement in Kathmandu soon after its meeting asking member countries to finalise their list of sensitive items, the sources said. (The News)

The Federal Minister for Communications Shamim Siddiqui has said that government is computerising the post offices all over the country to improve the performance and facilitate the general public. He made these remarks while visiting the General Post Office Hyderabad along with Deputy Post Master General Noorul Qamar Qasimi, Chief Post Masters Akbar Ali Dero, Zafar Mohammed Qureshi and other officers. (The News)

Chairman National Highways Authority, (NHA) Farrukh Javed said organization is expediting efforts to integrate the main highways’ network in possible minimum time under the directive of Prime Minister Shaukat Aziz. (Pakistan Observer)

Kuala Lumpur Chamber of Commerce and Industry is planning to hold a single country exhibition in the month of December in collaboration with the Lahore Chamber of Commerce and Industry (LCCI). ‘A forty member delegation of top class Malaysian businessmen would be visiting Pakistan to participate in this exhibition as well as interact with their Pakistani counterparts.’ This was stated by Mohammad Hafiz Hashim, head of 5-member Malaysian delegation, while talking to LCCI Vice President Sheikh Mohammad Arshad. (Pakistan Observer)

China shows willingness to provide technical and investment support to Pakistan for setting up a textile city in Karachi. Zahid Zaheer, chief executive Pakistan Textile City (PTC) said this. He is heading a seven-member delegation here to promote bilateral cooperation in the textile sector. He said a Chinese company has offered to set up a large-sized spinning unit in the proposed city. (Daily Times)

Officials from Singapore and Pakistan concluded the initial round of negotiations over a possible free trade agreement. Singapore's Ministry of Trade and Industry said "fruitful discussions" took place during the three-day meeting. The next meeting is scheduled for November in Pakistan, the ministry said in a statement. (Daily Times)

The ministry of industries, production and special initiatives is yet to clear the names of companies for importing 10,000 tractors as the ministry of food, agriculture and livestock (MINFAL) has registered a complaint with the ministry of industries for not acting quickly on the subject. “The ministry of industries is yet to clear the names of companies which could import the tractors to fill the gap between demand and supply in the country,” a senior government official told. (Daily Times)

The Advisor to Prime Minister on Finance and Revenue, Dr Salman Shah, said that the government would announce National Finance Commission (NFC)Award within the next two months. (Business Recorder)

Asian Development Bank (ADB) and other donor institutions have advised Pakistan Government to build up investors confidence, focusing on investor protection, sector and investor's legal and regulatory fairness and consistency, property rights, transparency of sector policy frameworks, strategic direction, sector development, monetary stability and exchange regulations, and efficient contract enforcement. (Business Recorder)

Asian Development Bank (ADB) President Haruhiko Kuroda will also visit Pakistan on his first trip to South Asia as head of the Manila-based multilateral development bank. A press release issued by the ADB in Manila said that Kuroda will be in India from 31st August to 1st September, and in Pakistan from 5-6 September. (Business Recorder)

"World Trade Organisation rules and regulations regarding trade among the nations will result in a fierce competitive climate around the world. Prosperity will come to the countries that face the challenge successfully." (Business Recorder)

The Consult General of Republic of Poland, Ireneusz Makles, has said that Poland wanted to establish strong relations with Pakistan, especially economic and trade ties through mutual co-operation. (Business Recorder)

A presentation and signing ceremony to kick off the construction of Expo Lahore was held at Chief Minister Punjab office. Chaudhry Pervaiz Elahi Chief Minister Punjab presided over the meeting in which Federal Minister for Commerce, Humayun Akhtar Khan also participated along with members of the Board of Directors of Expo Lahore (Pvt) Limited. (Business Recorder)

The LCCI President Mian Misbahur Rehman, Senior Vice President Sohail Lashari, Vice President Sheikh Mohammad Arshad and Executive Committee members have expressed grave concern over stoppage of issuance of visas by Royal Thai Consulate in Lahore. (Business Recorder)

A six-member delegation from the Ministry of Trade of the Socialist Republic of Vietnam will visit the Karachi Chamber of Commerce and Industry (KCCI) on August 27. (Business Recorder)

Abbott Pakistan recently achieved Class 'A' accreditation against the Oliver Wight ABCD Checklist. This was an achievement puts Abbott Pakistan as the first pharmaceutical company to secure this distinction and amongst some of the best global companies. (Business Recorder)

The Ministry of Tourism will hold an International Paragliding Show in November to promote tourism and create goodwill. As many as 50 para-gliders from countries including Germany and France will compete in the event, an official statement quoted the Minister for Tourism Dr G G Jamal as saying. (Business Recorder)

23-08-2005 

The World Bank has identified five major barriers to foreign investment in Pakistan that include land acquisition, financial regulation, tax administration, business registration and labour regulation. A study completed by Foreign Investment Advisory Services (FIAS) — a joint service of International Finance Corporation (IFC) and the World Bank — suggested that 79 per cent investors identified land acquisition and site development regulation as barrier to investment in Pakistan. (Dawn)

The second highest bidder of Karachi Electric Supply Corporation — Hassan Associates — has agreed to match the highest bid of Rs15.86 billion to take over 73 per cent shares along with management of the utility. Minister for Privatization and Investment Dr Abdul Hafeez Sheikh told reporters that the group had informally agreed to match the highest bid and formalities would be finalized soon. (Dawn)

A delegation of Saudi investors led by Hilal Al-Tuwairqi, chairman of Al-Tuwairqi Group, has expressed its keen interest in the privatization of Pakistan Steel Mills Corporation (PSMC). The visiting delegation showed its interest in a meeting with Federal Minister for Privatization & Investment Dr Abdul Hafeez Shaikh. The minister said that as the Govt., was implementing liberalization, deregulation and privatization policies to facilitate investment, more and more foreign investors were coming to Pakistan from various parts of the world. (Dawn)

The government economic policies are now set to yield progressive results and FDI is likely to touch $ 3 billion during the year 2005-06 said Federal Minister for Investment and Privatization Dr Abdul Hafeez Shaikh. Speaking at inaugural session of workshop on “Administrative Barriers to Investment” Dr. Hafeez Shaikh said five year back FDI was around $322 million, which has now increased to $1.52 billion during the last fiscal year.As a result of government policies, he said, the country’s economy is successfully progressing and all economic indicators are showing positive trend, reflecting healthy sign of the economy. He said, “We are eyeing at $ 3 billion plus figure this year and this increase in foreign investment reflect that things have changed to a large extent in Pakistan”. (Pakistan Observer)

A Two day conference of Pakistan Iran Joint Committee on Road Transportation began in Quetta today to discuss various issues confronting the transporters and traders of both the countries. The eleven member Pakistan delegation headed by Joint Secretary Ministry of Communications, Firdous Alam while ten members Iranian delegation led by Director General, Transportation and Terminal, Ahmed Khast Khodaie are attending the conference. (Pakistan Observer)

The exports of leather and leather-made goods of Pakistan are expected to cross the $1 billion mark this fiscal year due to incentives provided by the government, said leading exporters of the sector. In the last fiscal year, the total leather and leather products’ exports of the country stood at $883 million. In 2003-04 the country had exported leather and leather products worth $750 million, according to official data. (Daily Times)

Pakistan’s carpet industry, which was in its infancy about 50 years ago and has been struggling for its survival for a long period of time, has come of age. Despite the presence of hand-knotted carpets from China, Iran and India, which are dominating the international market, Pakistani hand-knotted carpets are still a favourite and demanded across the globe. During the financial year 1954-55, Pakistan exported carpets worth Rs0.13 million. Between July 2004 and April 2005, this figure has now risen to $226.7 million. (The News)

Stocks finished with an extended gain on strong follow-up support aided by the perception that the acceptance of major demands of bourses by the SECP after the prime minister’s intervention could give the needed push to share trading in the coming weeks. The introduction of continuous fund system, a modified form of badla financing making available enough liquidity for the investors for a smooth trading after a protracted bearish spell, appears to be one of the instant morale boosters for investors who flooded the market by buy-stops. (Dawn)

20-08-2005 

Pakistan attaches high priority to relations with Bangladesh both in bilateral context and in the framework of regional co-operation, President General Pervez Musharraf said. He was talking to the visiting Bangladesh Foreign Secretary Hemayatuddin who made a courtesy call on the President. (Business Recorder)

 Prime Minister Shaukat Aziz said the government has decided to replace badla finance with continuous fund supply (CFS) to ensure stability in the stock exchanges. Talking to members of stock exchanges at PM House, he said, the government wanted to bring more reforms in stock market. The prime minister explaining the achievements of the economic policies said last year was good for country and expressed the hope that the Govt., would maintain growth in the current fiscal year. (Dawn)

Business leaders have appreciated the government move for setting up two desalination plants at Port Qasim and hoped that it will speed up industrialization in the area. Many industrialists have already acquired plots in Port Qasim industrial area but are reluctant to set up industries in the absence of basic utilities i.e. water and power. (Dawn)

The TCP said it had extended the deadline for bids into its purchase tender for 50,000 tons of white sugar to August 22 from August 20. “An extension has been allowed to facilitate the bidders,” TCP Chairman Masood Alam Rizvi told Reuters. He said the decision to delay the bidding was made after a meeting with suppliers. The bids would be opened after the 1100 GMT deadline, with shipment due in September. (Dawn)

Federal Minister for Petroleum and Natural Resources, Amanullah Khan Jadoon has said Pakistan’s oil and gas sector has opened for local and foreign investors and invited China Petroleum Engineering and Construction Corporation (CPECC) to participate in the upcoming cross border gas pipeline projects, construction of gas storages and exploration activities for mutual advantage. He was talking to the CPECC delegation headed by Executive Director Zhoung accompanied by Director Quoe who called on him and exchanged views on investment opportunities in the oil and gas sector. (The News)

The Asian Development Bank (ADB) said that it has approved a 25-million-dollar loan to Pakistan to help implement an infrastructure development program. The project will help the government develop its infrastructure sector in an integrated manner that will provide electricity, transportation and water, the ADB said in a statement from its headquarters in the Philippine capital. (The Nation)

Pakistan and Brunei Darussalam will sign the Avoidance of Double Taxation agreement today.  The final round of negotiations on all the articles of the proposed agreement was started at the Central Board of Revenue on August 18, and the officials representing both the contracting states completed their work. (Daily Times)

Securities and Exchange Commission of Pakistan (SECP) and International Finance Corporation (IFC), the private sector arm of the World Bank signed a Memorandum of Understanding (MoU) in Islamabad to promote and support corporate governance reforms in Pakistan.  (The Nation)

Japan will assist Pakistan in the development of One Village One Product and National Technical and Vocational Training Authority projects. The Japan Bank for International Cooperation (JBIC) has not only promised to provide project loans but also indicated the possibility of offering programme loans, an official told. (Daily Times)

Pakistan and Turkey have so far failed to make any progress on a Preferential Trade Agreement (PTA) due to the lukewarm attitude of Turkish bureaucracy, a senior government official told. In a latest move, Pakistan has sought GSP (Generalized System of Preferences) from Turkey on certain 20 items which Turkey has refused, saying that it cannot extend the required preferences as it is bound due to the rules of the Customs Union of the European Union. (Daily Times)

Trading Corporati-on of Pakistan (TCP) has floated a tender for the import of 75,000 metric tonnes urea in bulk from international sources to meet domestic requirements. A TCP official said bidding for this tender will be held on August 29. This will be an open tender and the successful parties can supply urea of any origin, he added. (Daily Times)

The Export Promo-tion Bureau (EPB) would set up a fashion design institute in Karachi soon. Vice chairman EPB Zafar Mahmood, while speaking at the conclusion of the three-day fashion forecast workshop organized in collaboration with the CBI of Holland, said this the institute would be affiliated with the world’s leading designing institutes including the Paris Fashion Design School. (Daily Times)

The Pakistan National Accreditation Council (PNAC) will sign the International Mutual Recognition Agreement (MRA) on laboratory and inspection agencies accreditation to broaden export base and reduce technical trade barriers till 2007. (Business Recorder)

The construction of under ground electrical distribution system in Sundar Industrial Estate (SIE) has started as per directions of Punjab Chief Minister. The chief minister has desired to make SIE as a role model setting standards of facilities for forthcoming industrial estates, said Punjab Industrial Estate Development and Management Company (PIEDMC) Chairman Mohsin M Syed - the umbrella organisation for SIE. (Business Recorder)

The net profit of Pakistan National Shipping Corporation for FY 2004-05 may cross Rs 3 billion target, sources in ministry of port and shipping told. (Business Recorder)

The federal government proposes to set up a state-of-the-art tool, dye and mould (TDM) centre in Orangi, Karachi, which is projected to produce tools, dyes and moulds to the tune of $2.5 million per year for the domestic engineering industry. (Business Recorder)

18-08-2005

16-08-2005

National Engineering Services Pakistan (Nespak) has been engaged to provide consulting services for building the Madian Saleh Airport in Al-Ula region of Saudi Arabia. (Business Recorder)

10-08-2005

Leading Japanese companies have agreed to invest in gas import pipeline projects –- with Iran, Qatar and Turkmenistan — besides a number of other industrial, tourism, energy and textile sectors in Pakistan. The heads of Japanese companies expressed their willingness to invest heavily in Pakistan in their separate meetings with Prime Minister Shaukat Aziz. They include Itochu Corporation, Japan Gasoline Corp., (JGC), Japan External Trade Organisation, Honda Motors and Mitsubishi Corporation. (Dawn)

President General Pervez Musharraf called for greater trade between the Muslim countries through removal of barriers for their rapid and sustainable socio-economic development. He was addressing a meeting pertaining to the reform of the Islamic Dev., Bank aimed at making it an effective institution, capable of facilitating speedy development of the Muslim world through enhanced trade and investment. (Daily Times)

Federal Minister for Investment and Privatisation, Dr Abdul Hafeez Shaikh said that the government had set $3.5 billion Foreign Direct Investment (FDI) target for the financial year 2005-06. "The FDI figure for 2004-05 touched $1.5 billion and now we have set the target of $3.5 billion for the next fiscal," he told after the inaugural ceremony of ITCN Asia 2005 at Expo Centre, Karachi.(The News)

The Board of Investment, and Pakistan Infrastructure Project, IBC Asia (S) Pte Ltd are jointly organising a two-day high-profile event titled 'Pakistan Infrastructure Projects Conference 2005' on September 13 and 14 in Islamabad.  (Business Recorder)

Federal Minister for Investment and Privatisation Dr Abdul Hafeez Shaikh hinted at emergence of South Asian region for potential investment that has been focused by developed countries. The countries include Pakistan, China, India and Bangladesh among the targeted places for investment. (Business Recorder)

Import of meat from regional countries including India, China and Middle East is gaining momentum as in May-July around 730 tons of beef and 70 tons of mutton reached the country. Although the import was going on for the last six months, it remained very slow. However, in last three months some leading importers entered the trade, which accelerated the imports. (Dawn)

Commerce Minister Humayun Akhtar Khan says the government has announced several incentives for the country’s basic and value-added textile industry in the budget and the trade policy for 2005-06 in order to bolster textile exports, which make up 60 per cent of Pakistan’s total merchandize exports. (Dawn)

The big investors of UAE are very keen to invest in Pakistan by setting up their industries. “Over $1 billion investment from UAE have already come to Pakistan.” Dr. S. Qaiser Anis, President, Pakistan Business Council, a UAE based organization said this while visiting Karachi Chamber of Commerce & Industry. Warid, Etisalat, Bank Alfalah and other big groups have already established in Pakistan, he said and added that in line with the business development between two countries. (Pakistan Observer)

The Central Board of Revenue (CBR) has declared that black economy has no future in the country, and appropriate measures will be taken to bring the informal sector into the formal sector in the country with the help of the business community. CBR Chairman Abdullah Yusuf, addressing a seminar on “business community's role towards a prosperous Pakistan”, organized under the CBR and the FPCCI. (Daily Times)

Etisalat International - the investment arm of Emirates Telecommunications Corporation, advised by HSBC Amanah, appointed a group of seven banks to act as mandated lead arrangers in a $2.114 billion facility to finance 90 per cent of its share in the acquisition bid for a 26 per cent stake (‘B’ shares) in Pakistan Telecommunication Company Ltd (PTCL). (The News)

The State Bank of Pakistan allowed foreign airlines operating in Pakistan to repatriate their sales funds (surplus) twice a month on receipt of payments from travel agents.In FE Circular No 09, the SBP pointed out the decision had been taken as a further step towards liberalisation of foreign exchange regime and in order to facilitate airlines operating in Pakistan. (The News)

Private Power Infrastructure Board (PPIB) is going to finalise the applications of 25 firms by November 15 that applied for seven proposed hydropower projects in North West Frontier Province (NWFP) and Azad Jammu Kashmir. A source close to the PPIB told that the Board was evaluating pre-qualification of 25 firms including local, UK, US Canadian and Chinese companies interested in the seven projects and it was hoped that they would be short-listed soon and a final decision would be taken by November 15. (The News)

Afghanistan has emerged as the 4th major buyer of Pakistani products in financial year 2004-05, it was learnt. In last fiscal year Pakistan has exported $732.18 million worth of different items to land-locked and war-ravaged Afghanistan while in 2003-04 exports to this country stood at only $403 million dollars. In percentage Pakistan’s exports to Afghanistan marked a record increase of 81 per cent in 2004-05 over the preceding fiscal year. (The Nation)

Pakistan called for a "level playing field", while India urged an exchange of technology to boost bilateral trade between the arch-rivals during a fresh round of commercial talks in New Delhi. (Business Recorder)

Pakistan will sign two loans and three grant projects worth $177 million with the Government of Japan on Wednesday. The two project loans were for Lower Chenab Canal System Rehabilitation ($118 million) and Load Dispatch System Upgradation ($36.2 million). (Business Recorder)

Business and Industry Promotion Association of Pakistan (Bipap) will hold its IInd National Industrial Exhibition in Lahore from December 25 to 29 this year. Earlier this exhibition was scheduled in August in line with celebrations of Independence Day, but the exhibition was postponed due to certain reasons. Business Recorder)

09-08-2005

The data room for the due diligence of Pakistan Petroleum Limited (PPL) will be opened on August 20, 2005, which will initiate the privatization of 51 per cent equity stake with management control in the oil exploration giant. Analysts at stock brokerage firms commented in their reports on the Friday’s decision by the Privatization Commission Board, pre-qualifying four parties for PPL and seven parties for participating in the further process of the privatization of 51pc equity stake in Pakistan State Oil (PSO). (Dawn)

The Governor, State Bank of Pakistan, Dr Ishrat Husain, has called upon the chief executives of multinationals and members of the Overseas Investors Chamber of Commerce and Industry to take the benefit of conducive investment policies of Pakistan for mutual benefit. (The News)

Prime Minister Shaukat Aziz arrived for talks with Japanese business and political leaders expected to focus on economic co-operation. The Prime Minister timed his visit to attend the World Exposition, a six-month showcase of technology and innovation under way in the central prefecture of Aichi. (Business Recorder)

NWFP Governor Khalil ur Rehman called on President General Pervez Musharraf. During the calls, Governor Khalil ur Rehman briefed the President about progress of on-going development projects in the province, particularly in federally administered tribal areas (Fata). (Business Recorder)

Central Board of Revenue (CBR) has withdrawn the condition of seeking ‘no objection certificate’ (NOC) from Oil and Gas Regulatory Authority (OGRA) for importing CNG equipment and machinery. (The News)

Chief Executive Officers (CEOs) of main Japanese car manufacturers and assemblers have urged government to change the policy of liberalization of import of used cars under the new trade policy for 2005-06 that will wrap up their plans worth billions for expansion of plants to enhance production, sources in ministry of Commerce said. (Pakistan Observer)

Punjab Minister for Fisheries, Sardar Jam Muhammad Hashim Ghalija said a soft-term loan scheme would be introduced after two months to boost fish farming sector.“Initially Rs 50 million have been allocated for the loan disbursement that would begin as and when the scheme, which is presently being studied by planning and development department, gets final approval”, said the minister. (Pakistan Observer)

The Ministry of Food, Agriculture and Livestock (Minfal) will issue an SRO for import of wheat flour today. Sources said the Minfal has completed all formalities with regard to specifications and quality of the wheat flour to be imported and the Central Board of Revenue (CBR) has also issued SROs for withdrawal of customs duty, sales tax and 6 percent withholding tax. (Pakistan Observer)

Warid Telecom is one of the participants, actively participating in the three-day ITCN Asia Exhibition at the Karachi Expo Centre beginning from today. Since its launch in the country and the keen interest shown by the customers across the country, it is expected that the telecom would most probably steal the show and attract an unexpected number of the aspirant customers. (Pakistan Observer)

The Central Board of Revenue (CBR) imposed a regulatory duty on the import of five types of goods and raw materials into the country and has changed the duty rate on different items for rectification of budget anomalies. (Daily Times)

The government has removed fee on imports of live animals from India, earlier charged per animal from importers, in an attempt to boost cattle purchases from the neighbouring country. (Daily Times)

Abu Dhabi Chamber of Commerce and Industry (ADCCI) and Pakistan Business Council Dubai have planned to invite business delegations from Pakistan to Abu Dhabi from November 19 to 21. It would provide opportunity for joint ventures between the businessmen of the two countries. (Daily Times)

A six member Pakistan delegation led by Syed Asif Shah, Additional Secretary Commerce left for New Delhi to hold second round of trade talks with India under the on-going composite dialogue between the two countries on August 9-10. (The News)

Lyon Associates of USA and Arthur D Little of Singapore have jointly made the lowest bid of Rs 97 million for Consultancy of Gwadar seaport, sources in Ports and Shipping Ministry told. (Business Recorder)

The Civil Aviation Authority (CAA) has initiated the process for expansion of the air services agreements (ASAs) with India, South Africa and Kenya to enable Pakistani private airlines commence their operations to these countries. (Business Recorder)

08-08-2005

Prime Minister Shaukat Aziz said Pakistan is an investor-friendly country which provides a lot of investment opportunities to local as well as foreign investors. He was holding a brainstorming session with the country's leading businessmen and industrialists at the PM House who would be accompanying him on his forthcoming visit to Japan and Hong Kong. (Business Recorder)

The Privatisation Commission intends to divest 51 per cent of government stake in the National Investment Trust Ltd (NITL) along with transfer of strategic control to more than one prospective buyer soon. Federal Secretary for Privatisation and Investment Tehseen Iqbal talking at the National Privatisation Conference 2005 said: "The 51 per cent shares in the NITL carrying a non-LOC (letter of comfort) status would be sold off to various prospective buyers." (The News)

Feroze Khan believes his future was already determined when his homeless mother gave birth to him on a car porch. More than half a century later, he has launched Pakistan's first home-grown automobile. (Business Recorder)

The government is planning to link Azad Jammu and Kashmir (AJK) with main railway network of the country, it is learnt. "We are planning to link the AJK with the main railway network and we will soon start carrying out a feasibility study in this regard costing nearly Rs 150 million," sources in Ministry of Railways told. (Business Recorder)

Provincial Minister for Agriculture Marketing, Rana Qasim Noon said road trade with India is a big breakthrough, which would help in decreasing the prices of vegetables of daily use besides, overcoming the artificial shortage of vegetables. The import of agri produces from India is not a long-term policy of the government but it is based on demand and supply basis. The Minister said MoUs have been signed with China and Iran for the export of citrus, rice and mangos. One MoU for the promotion of investment has been signed with China for transfer of cheaper processing technology. (Pakistan Observer)

Second Compressed Natural Gas (CNG) Conference will be held on September 21-22 at Lahore with the objective to promote CNG as a cheap fuel in vehicles. "The conference is expected to be inaugurated by Secretary Ministry of Petroleum, Ahmad Waqar and Federal Minister for Environment, Malik Amin Aslam while Federal Minister for Petroleum, Amanullah Khan Jadoon will address the concluding session," Naeem Qureshi, Chief Organiser of National Forum for Environment and Health said. (The News)

Pakistan will hold a single-country exhibition in China by the end of this year to introduce its products in the local markets. "We are considering organising the exhibition in Guangzhou, a major business city," said Zafar Mahmood, Vice Chairman Export Promotion Bureau who concluded his week-long visit to China. He told that he held very useful talks with the Chinese officials and members of the business community, who showed willingness to strengthen their mutually beneficial cooperative partnership. (The News)

The India-Iran gas pipeline project involves laying a 2,500-km pipeline between India and Iran via Pakistan; of the pipeline, 1000km, 800km and 700 km respectively will be laid in Iran, Pakistan and India. Should the project materialize, it will be a win-win situation for all three countries. For Iran, there will be assured demand for its gas and the 1,000-km long pipeline will entail huge investment; Pakistan will get an annual revenue of $400-500 million in terms of transit tee; India will be assured of a regular supply of gas through the pipeline resulting in savings of around $300 million. The cost of the project is to be borne by Iran, Pakistan and India in the ratio of 48:32:20. (The Nation)

THE response to recently advertised _expression of interest (EOI) by the private power and infrastructure board (PPIB) for implementation of seven hydroelectric power projects has been overwhelming. These raw-site projects, mainly large-scale, are to be implemented on international competitive bidding (ICB) basis, are located in the NWFP and Azad Jammu and Kashmir (AJK). (Dawn)

THE stocks recovered on active short-covering at lower levels in an oversold market, last week. This was triggered by the positive COT reports in the light of Shaukat Tarin Committee’s recommendations. The chief stimulant to rope in the investors was based on the hopes that their liquidity problems will end once the SECP announced its modified reform package. This will aid in pulling the market out of its current sluggishness. (Dawn)

06-08-2005

President General Pervez Musharraf appreciated decline brought about in Pakistan's debt burden in the last six years and underscored the need for having a borrowing strategy which is need-based and its positive effects are seen on ground. He was addressing a meeting on debt reduction strategy, which was also attended by Prime Minister. (Business Recorder)

The Privatization Commission (PC) has stopped Pakistan Telecommunication Company Limited (PTCL) from making any new investment or selling any thing till Etisalat of the United Arab Emirates (UAE) deposits its remaining amount of $2.25 billion to the government. PTCL authorities gave a detailed presentation to the PC officials and informed them that the UAE company would deposit the remaining 90 per cent amount by the end of this month or early September to take over the management control of the PTCL. (Dawn)

Pakistan has approved a total of 11 potential bidders to participate in the privatization of two state-run oil companies, the government said. The Privatization Commission said seven companies had pre-qualified to enter the race for a 51 per cent stake in Pakistan State Oil after 15 had expressed interest in January. Four had approval to bid for a 51 per cent stake and management control of Pakistan Petroleum Limited (PPL). (Dawn)

Prime Minister Shaukat Aziz asked the Export Promotion Bureau to come up with practical proposals to restructure the bureau as a marketing organization for introducing Pakistani brands in the international market. Prime minister also directed EPB Chairman Tariq Ikram for reworking on the proposed restructuring plan of the organization and coming up with comprehensive proposals within seven days. (Dawn)

The Securities and Exchange Commission of Pakistan (SECP) has relaxed the mandatory requirement regarding the disclosure of capacity of an industrial unit, its actual production and reasons for shortfall in the annual accounts of listed companies and their subsidiaries. The commission stated it had bee observed that certain industries like automobile, manufacturing and textile were facing difficulties in providing precise disclosure regarding the industrial capacity and actual production required under Clause 3(i) of Part-I of the Fourth Schedule to the Companies Ordinance, 1984. (Dawn)

Pakistan and China have finalized two separate lists of 52 items on which duty will be reduced to zero by each side from January 1, 2006. An agreement to this effect was arrived at a meeting between the officials of the EPB and the Chinese ministry of commerce. (Dawn)

BADR field gas will start production by November and will initially produce 45 million cubic feet gas per day, enhancing this capacity up to 60 million cubic feet in the following year. This was stated by Petroleum Exploration Ltd (PEL) chief executive Zaheeruddin, who called on Petroleum and Natural Resources Minister Amanullah Khan Jadoon. (Dawn)

Trading Corporation of Pakistan (TCP) has awarded contract for import of 110,000 MT urea fertiliser at a price of $200 per MT and $239.70 per MT cost and freight (C and F) Karachi.The urea Purchase and Price Evaluation Committee of TCP constituted by the government met the other day to decide the offers received for import of 75,000 MT urea. The successful parties include Kazmobil Group, Kazakistan, (25,000 MT at $200 per MT), Dreymoor-MF, Switzerland (35,000 MT at US$ 239.70) and Transammoina, Switzerland (50,000 MT at US$239.70). (The News)

State-run Sui Northern Gas Pipeline Ltd (SNGPL) is planning to carry out pre-feasibility study for establishing Coal Gasification Plant at Bhakkar. SNGPL was going for coal gasification with a view to tapping source of gas supply. He said catalytic coal gasification was developed as a more efficient and less costly process to produce gas from coal. Methanol or synthetic gas can be produced from Thar coal at the coalfield and can easily be transported by pipeline throughout the demand centres. (The News)

Pakistan, Bangladesh and Myanmar should enter into trilateral joint ventures for high profits to all. The meeting between Pakistan’s High Commissioner-designate to Bangladesh, Alamgir Babar and the members of Federation of Pakistan Chambers of Commerce and Industry (FPCCI) at the Federation House noted that Myanmar was rich in minerals and other raw materials, which could be transported to Bangladesh at very low cost. (The News) 

The import of sugar will cost around Rs 16.5 billion as the government is planning to import 350,000 tons refined and 700,000 tons raw sugar to supplement the commodity’s availability this fiscal, an official source in the Ministry of Industries told. However, the official said that the permission to import sugar from India would certainly lead to decrease in the sugar prices in local market. (The Nation) 

Second hand car dealers anticipate arrival of 30,000-35,000 second hand cars in the current fiscal year following government’s decision to amend baggage, transfer of residence and gift scheme for second cars under the Trade Policy 2005-06. (Pakistan Observer) 

The Karachi stock market made some gains, as buying on dips in most of the leading stocks kept the index from falling further. Once again the market moving privatisation-related scrips supplied the needed support to the market with news about them, said analysts. The KSE-100 Index closed at 7,418.61 points, rising by 13.66 points, or 0.18 percent, from the closing level of 7,404.95 points in the previous session. (Daily Times) 

Milk is distinguished from other foods because of its balance proportion of fat, protein, carbohydrate, minerals and water coexisting as emulsion colloidal suspension and true solution. In Pakistan, total fresh milk production is 2.78 million tonnes. Dairy industry is flourishing rapidly. At present several milk processing plants are producing UHT milk with installed capacity of 39.6 million liter per year (Anonymous 2002-03). (The Nation) 

Ambassador of Indonesia to Pakistan Anwar Santaso and an Indonesian delegation have said that Indonesia and Pakistan enjoy close people-to-people links and these have contributed in strengthening of trade and investment between both the countries. (Business Recorder) 

The programme for the establishment of separate companies for five industrial areas of Karachi and to put them under the management of respective industrialists, was finalised at a meeting held under the chairmanship of Sindh Governor. (Business Recorder) 

The Rawalpindi Chamber of Commerce (RCCI) has announced to actively participate in China's Xingjiang Urumqi foreign economic relations and trade fair 2005, as a joint sponsor of the trade fair, to be held from September 1 to 5 this year. (Business Recorder)

05-08-2005

President General Pervez Musharraf said there was a need to establish new tourist resorts and provide recreation facilities for promotion of tourist industry in the country. The President said care must be taken to ensure minimum damage to environment of the area as a result of the project. (Business Recorder)  

Prime Minister Shaukat Aziz said private airlines have been allowed to develop and expand their network in line with the spirit of government's policies of deregulation and encouraging private sector. Talking to Airblue Chairman Dr Tariq Chaudhry, who called on him at the Prime Minister House, he said there exists great potential in the country's aviation industry.  Airblue signed an agreement with Airbus SAS for procurement of 10 aircraft at a cost of around $790 million. (Business Recorder) 

Pakistan and Austria signed a convention for the avoidance of double taxation and fiscal evasion with respect to income between two countries. CBR Chairman M. Abdullah Yousuf and Austrian Ambassador to Pakistan Dr Guenther Gallowitsch signed the convention on behalf of their respective governments.  (Dawn) 

Pakistan and Malaysia are likely to ink a Free Trade Agreement in October this year. “The officials of both the countries are giving final shape to the proposed agreement ahead of the visit of Prime Minister Shaukat Aziz to Malaysia in the first week of October this year,” a senior commerce ministry official privy to the under-discussion FTA told. (The Nation) 

Two international parties of Dubai, Singapore and the Globe Marines have sent their Expressions of Interest (EoIs) to the Ports and Shipping Ministry to run Gwadar Seaport, likely to be commissioned in June 2006. (Business Recorder) 

Three offers to buy prestigious Metropole Hotel, Karachi have been submitted before Sindh High Court. These offers have been submitted in response to a decision of SHC. SS Estate Developers has submitted an offer of Rs850 million, Brent Cross offer is of Rs860 million and AKD Securities has offered Rs850 million to buy Metropole Hotel. (The News) 

The Azad Jammu Kashmir government has focused special attention in new fiscal year (2005-06) budget towards the uplift of human resources, poverty alleviation and creation of more job opportunities for the unemployed educated youth, official sources said. Elaborating the priorities fixed by the state government in the current financial year budget for ensuring the speedy socio-economic uplift Azad Jammu Kashmir, the sources told that the Rs. 17848.278 million budget provides development outlay to the tune of Rs. 5100 million, which shows 13 per cent increase in the current fiscal year allocations. (Pakistan Observer) 

The Economic Affairs Division (EAD) and the Planning and Development Division (P&D) have launched a strategy to attract foreign donors other than the World Bank (WB) and Asian Development Bank (ADB) to fund development schemes which are launched through funding from the Public Sector Development Programme. (Daily Times) 

India expects to strike quick sugar deals in Pakistan which this week removed a four-year ban on imports from its old rival, traders said. They said enquiries from private trade in Pakistan were growing and Islamabad was looking for early consignments to contain rising domestic sugar prices. “Sugar prices in Pakistan are under fire and for fire-fighting they will have to look towards us,” said Prakash Naiknavare, managing director of the Maharashtra State Sugar Factories Federation Ltd. (Dawn) 

Foreseeing a shortage of gas supplies in the country from 2010 when it is expected that local demand will outstrip supplies, the government has been looking at various alternatives to source cheap fuel both from abroad as well as from home. One alternative that holds great promise and on which the government is focusing is coal, a sector in which a flurry of activity is being witnessed. (The News) 

Ample opportunities for investment and bilateral trade between Indonesia and Pakistan are available, hence, the entrepreneurs and traders of both friendly Muslim countries should fully exploit these opportunities. (Business Recorder) 

Federal Minister for Water and Power, Liaquat Ali Jatoi reiterated the need for development of coal based power projects aimed at increasing the power generation capacity of the country. He stated this while chairing the meeting of 56th Board of the Private Power and Infrastructure Board (PPIB) said. (The News) 

The government of Punjab will develop two industrial incubators cum service centers at Gujranawala and Faisalabad Small Industries Estate (II) at a cost of Rs 40.50 million. Punjab Small Industry Corporation will execute these two projects and it would be completed in 5 years. These projects will be sponsored by provincial ministry of Science and technology.  (The Nation) 

The Executive Committee of the National Economic Council (Ecnec) approved 40 mega projects worth Rs 95.1 billion with the main focus on infrastructure, social sector development and water-related projects. Prime Minister Shaukat Aziz chaired the meeting. Planning Commission Deputy Chairman Dr Akram Shaikh and Planning Commission Secretary Humayun Furshori briefed newsmen about the Ecnec decisions. (Business Recorder) 

The NWFP Senior Minister Siraj-ul-Haq has expressed satisfaction on decisions made in Executive Committee of National Economic Council (Ecnec) meeting that decided approval of certain mega projects for NWFP amounting to about Rs 9 billion. (Business Recorder) 

Advisor to the Ministry of Finance Dr Ashfaq Hassan Khan said that inflationary trends were declining rapidly and temporary phenomena of price hike would end in the near future. The highest inflation level was registered during April at 11.1 percent, which declined to 9.8 percent during May and 8.7 percent during June. (Business Recorder) 

An international trade fair is being held in Izmir (Turkey) from September 8 to 18. The show that is an annual feature attracts thousands of trade visitors each year. The event, which is one of the oldest trade fairs in Europe attracts traders dealing in food items, furniture, decoration, marble, construction industry, household appliances, IT and machinery. (Business Recorder) 

The government is planning to approach foreign donors other than the ADB and the World Bank to fund development schemes under the Public Sector Development Programme (PSDP). The economic affairs division (EAD) and the planning and development division have jointly initiated a strategy to seek foreign funding for the PSDP schemes. (Business Recorder) 

The Pakistan Council of Scientific and Industrial Research (PCSIR) will organise industrial exhibitions to critically analyse local products in the wake of WTO regime. PCSIR spokesman Tariq Mehmud said it is the need of hour to produce quality products to meet international standards. (Business Recorder) 

The Sindh Minister for Education and Literacy Dr Hamida Khuhro, and M Siddique Shaikh of Federation of Pakistan Chambers of Commerce and Industries (FPCCI) have agreed in principle to work in collaborate towards promotion of education in the province. (Business Recorder) 

Government is planning to establish a model quarry for marble in federally administered tribal area (Fata) with the objective to minimise wastage of the valuable resource and impart training to the local for promotion of marble and granite sector. (Business Recorder)

03-08-2005

The Chairman, Board of Investment (BoI), Waseem Haqqie, has said that the government is ready to offer land on deferred prices for setting up industrial units. Talking to members of the Karachi Chamber of Commerce and Industry (KCCI), he said that the vast holding of land by state-run departments like Pakistan Railways, Karachi Port Trust, Wapda, PIA and provincial departments should be utilized for setting up industry that could help mitigate the issue of availability of land at reasonable price. He said the government land would not be given free or on concessional prices. However, he added, the land to be sold to businessmen on market price, could be offered on deferred payments. He said the government was planning to invest Rs306 billion to improve the infrastructure to ensure that the industrial estates and zones get proper communication network, gas, electricity and water. (Dawn) 

Prime Minister Shaukat Aziz has said that the government policy was to get balanced growth in which all segments of business could play their role. The Prime Minister stated this while presiding over a meeting where new avenues of investment and industrialisation were identified to leverage Pakistan's full potential. (Business Recorder) 

The government expects to achieve the target of $3 billion foreign direct investment (FDI) during 2005-2006 as many countries have shown their interest to invest in Pakistan. This was stated by the Chairman Board of Investment (BOI), Waseem Haqqi while addressing the members of Karachi Chamber of Commerce and Industry (KCCI). He said power and telecom sectors would be attracting foreign investment of $1 billion per annum. "The government has achieved $1.5 billion foreign direct investment target this year and will also achieve the target of $3 billion by the end of this year." The BOI chief declared that there is no possibility of declining of petroleum prices, as requirement for oil per day is much higher than total supply at international market. (The News) 

The Economic Coordination Committee (ECC) of the cabinet approved $85 million guarantee to Pakistan International Airlines (PIA) to purchase seven new ATR 42-500 turbo-prop aircraft to replace its decades-old fleet of Fokkers. The meeting presided over by Prime Minister Shaukat Aziz also allowed injection of Rs66 billion in the First Women Bank Limited, sale of about 1,400 acres of Pakistan Steel’s land, exemption on small agricultural engines, Economic Adviser Dr Ashfaque Hassan Khan. (Dawn) 

The Karachi Branch Council of Institute of Cost and Management Accountants of Pakistan (ICMAP) is organising a daylong National Privatisation Conference on August 6. Federal Minister for Privatisation and Investment Dr Abdul Hafeez Shaikh would inaugurate the conference. (Business Recorder) 

National Productivity Organization (NPO) has joined hands with Technology Up-Gradation and Skill Development Company (TUSDEC) in a joint endeavour for making Pakistan’s knitted and woven garments more competitive in the international market. NPO will carry out bench marking of the garments sector with an ultimate aim of setting standards for the enhancement of productivity and value-addition process, Chief of NPO, Saquib Mohyuddin said. (Pakistan Observer) 

PRIVATIZATION and liberalization are two basic ingredients of market reforms. Common