LAHORE: Punjab Government has assured All Pakistan Textile Mills Association (APTMA) of offering unprecedented incentives better than any other country to attract Chinese investors to relocate their operations to Pakistan in the wake of current tariff war between US and China.
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This assurance was extended by Chaudhry Shafay Hussain, Provincial Minister for Industries and Commerce Punjab during his meeting with delegation of top textile exporters at Lahore. Chairman APTMAÂ Kamran Arshad, Chairman APTMA North Mr. Asad Shafi, Treasurer Muhammad Qasim, Senior members of APTMA S M Nabeel, Mr. Muhammad Ali, Mr. Faisal Jawed, Mr. Ahsan Shahid, Mr. Habib Anwar, Mr. Sufian Akhtar, Mr. Hussain Ahmed Fazal, Mr. Ismail Fareed Sheikh and Secretary General Mohammad Raza Baqir were included in APTMA delegation.
Shafay said that a mechanism would be evolved to ensure continuity in policy irrespective of change in government.
He fully supported the idea of establishment and operation of Garments Parks in the Punjab on the pattern of ‘Plug and Play Model’.
He added that such industrial parks will be equipped with the state of art infrastructure to attract foreign and local investors. He added that that the Punjab government would also ensure full scale security for the Chinese investors operating in the province. He asked all relevant departments of Punjab to finalize their recommendations on all aspects of setting up of garments parks either in the existing industrial estates or on any other dedicated sites.
Talking about the current tariff war, Shafay expressed the confidence that Pakistan would emerge as victorious not only in attracting large foreign investment from China but also remarkably upsurge its exports through massive industrialization.
He expressed the hope that APTMA would provide all technical assistance and know how to the Punjab Government for attracting Chinese investors.
Earlier, Chairman APTMA Kamran Arshad stated that Patron-in-Chief APTMA Dr. Gohar Ejaz had put forward the vision of apparel cities in the province by constructing modern industrial zones dedicated to garment manufacturing.
The aim is to attract local and foreign investors by leveraging competitive advantages like low-cost labour and favourable trade status.
Kamran said that the industrial parks should offer fully equipped plug & play factories for rent, aiming to significantly increase Pakistan’s apparel exports and economic impact besides generating significant employment opportunities to alleviate poverty.
Asad Shafi Chairman North stated that US textile market is valued at $113 Billion with Pakistan’s share of only $3.9 billion or 3.5% of US imports. As against this, Bangladesh accounted for 6.4%, India 9%, Vietnam 14% and China over 25%. He continued that
if Pakistan is able to even marginally get a portion of the US textile imports, Pakistan’s textile exports would increase by more than $5 Billion per annum.
Asad said that by relocation of Chinese apparel plants, Pakistan can get tremendous benefits especially when Pakistan has much lower tariff in the US as compared with its traditional competitors like China, Vietnam, Bangladesh etc. He proposed to organize trade show to attract Chinese investment for the said industrial parks in the province of Punjab.
On pointing out by Chairman APTMA about cessation of manufacturing, imports and exports activities due to reads blockades in Sindh, the Minister committed to take up the matter at the highest levels both with Federal and Sindh governments.
Shafay also agreed to extend all support for extending level playing treatment both for imports and domestic supplies under EFS.
