The growth rate of the industrial sector was 5.
0-1994-
95 was slightly higher than in 1993.
94, significantly lower than the trend growth rate and the target for this year.
Increase in actual value
Large scale manufacturing was added at 2.
7 percentage points in 1994
95 below growth 4.
The previous year was 1%.
Pakistan is one of the most enthusiastic industrial policy countries in the third world.
Policies of deregulation, privatization and economic liberalization are in full swing.
The private sector is encouraged to play a leading role in the growth process.
Efforts are being made to make the economy more open and to combine it with the global economy.
Institutional reforms are under way to ensure the country\'s rapid industrialisation.
The Investment Commission has been restructured with the goal of developing strong policies to attract foreign private investment.
Investment in public sector units was canceled.
Many measures have been taken to safeguard and protect the rights of workers in privatized units. Broad-
The basic principles of industrial policy are designed to help promote self-development.
Develop value-added exports, improve efficiency, productivity and quality of products and promote
Intensive industries.
The location of the establishment of 12 special industrial zones in different regions of the country was selected and a series of special rewards and offers were provided.
Including import tariffs
The reduction of tariffs is aimed at curbing smuggling, but also to make domestic industries face global competition and improve efficiency.
However, there is no indication that the withdrawal of the state from the industrial sector has produced any dividends.
Contrary to the trend of manufacturing value growthadded (MVA)
Compared with 1980 people per capita, it has halved in the early 19 th century. Mass production has almost stagnated in the past few years.
The growth rate of the industrial sector was 5.
0-1994-
95 was slightly higher than in 1993.
94, significantly lower than the trend growth rate and the target for this year.
Increase in actual value
Large scale manufacturing was added at 2.
7 percentage points in 1994
95 below growth 4.
1% last year.
Production growth rates for cotton yarn, sugar, fertilizers, cigarettes, bicycles and motorcycles, and car tires and tubes are low, and in some cases even negative growth.
Sugar cane starts late-
Due to the high price of cotton and the structural problems faced by the textile sector, the capacity constraints of petroleum refining and the rise of key input prices such as oil products, natural gas and electricity, several textile units were crushed and closed, the main reason is the slow growth of large-scale manufacturing.
In addition, the manufacturing industry has been undergoing a period of adjustment over the past few years to adapt to the internal and external competitive environment created by economic openness and tariff reduction and legality.
The \"diseases\" of some established industrial units represent their difficulty in adapting to a more competitive environment.
The sustainable renewal and growth of old industrial units will require restructuring and injection of new equity, as well as sufficient credit.
The industrial policy government has developed a dynamic policy to improve the country\'s industrial and investment environment and ensure rapid growth in urban and rural industrialisation.
It aims to encourage the private sector to play a more active role in economic development.
Free market forces are allowed to determine prices and profitability, which is considered to provide a healthy mechanism for the best use of industrial potential.
Industry Profile: textile industry is the most important sub-industry.
Part of the economy.
The frenzy of the textile industry includes cotton yarn, cotton fabric and finished products.
Ups-towels, socks, knitwear and ready-to-wear-made garments. The product-
Improved mixing with induction ofup-
Advanced technology, high speed spindle, automatic cone hoist and electronic splicing machine.
The power loom industry has also grown significantly.
The industry adheres to its position and establishes a strong position in the quality awareness market by increasing the share of suppliers in these markets.
Many measures have been taken during 1994
Solve the problem of cotton textile and auxiliary industry.
The following is: * use textile quotas as collateral for bank financing.
* Buy cotton from the international market to meet the price of raw cotton.
* For borrowers in arrears of repayment, banks may consider exchanging debts with equity based on specific circumstances.
* For indirect reasons, the textile sector is allowed to import cotton regardless of the default.
* If the bank\'s debt repayment is often as high as £ 31, the shuttle loom industry can exempt from prudent regulation of bank financing. 12. 1990.
* The Bank is instructed to relax the borrower, especially the sick unit under the age of 30. 06.
The norm for their status.
* Reduced import tariffs on cotton substitutes.
* Cotton is free to import and is exempt from import tax.
Cotton exports are also allowed to re-sign contracts with the export promotion agency without any tariffs.
* Payment of tax refund through customs and payment by commercial bank. During July-March 1994-
95, yarn output increased by 2.
The price of cotton increased by 91 per cent.
Compared with the same period last year, 77.
Number of devices installed as on31. 12.
Compared with 1994 units on the 31st, 486 units increased to 342. 12. 1993.
The number of units closed increased from 62 to 110.
Effective installed capacity and working capacity also indicate a positive trend, as shown in the tableI.
The government of Pakistan has made a sincere attempt to promote the new package of textile sector, announced the package of textile sector, which will inject new vitality into the crisis textile sector this export
The leading sector of the economy recently said exports continued to decline.
The new package addresses the two issues of liquidity and feasibility, which seriously affect export performance, indicating the continued decline in exports of cotton and cotton products in recent months.
Package provides zero-
Rating tariffs on cotton raw material imports have also eliminated bottlenecks in export procedures.
The disease in the textile industry is often attributed to a double cause, namely, the tight liquidity and the lack of operational vitality in some textile sick and disabled units.
The incentives offered by the new programme address these two major problems.
It is expected that the Bank of Texas\'s liquidity gap will be addressed through a free initiative, allowing the bank first to reschedule outstanding loans and interest and freeze interest if necessary.
At present, Pakistan has 10 fertilizer plants with an installed capacity of 4,143 tons.
Six units operate in the public sector with an installed capacity of 1,674 tons and four units operate in the private sector with an installed capacity of 2,469 tons.
The yield of nitrogen fertilizer increased by 0.
The proportion of phosphorus fertilizer decreased by 9.
17% for the period from JulyMarch 1994-
95 in the same period last year.
At present, there are 20 cement plants operating in China with an installed capacity of 8,883 tons.
Among them, the capacity of the public sector is 2,030 tons, and the capacity of the private sector is 6,853 tons.
Cement production fell by 2.
69 during JulyMarch 1994-
Compared to 95 withJuly-March.
As of March 31, 1995, there were 66 sugar mills operating in the country, including 34 in Punjab, 26 in Sindh and 6 in WFP.
The comprehensive processing capacity of these metals is 224,020 tons (TCDs)
Punjab has 110,150 TCDs capacity, Sindh has 91,600 TCDs capacity and NWFP has 22,270 TCDs capacity. During July-March 1994-
In the same period last year, the industry produced 2,665 tons of sugar, compared with 2,619 tons of sugar.
Due to the high sugar recovery rate, the output increased (8. 81 %)compared with (8. 41 %)
Although the amount of sugar cane crushingMarch 1994-
From 30,243 tons in July to 31,147 tonsMarch, 1993-94.
Vegetable shortening company of Pakistan (GCP)
Promoting local culture
Regularly supply products to consumers at reasonable prices.
It is playing an effective role as a price regulator.
Of the 26 GCP units with an annual production capacity of 504 thousand tons, 16 units have been privatized and transferred to the private sector.
Annual production capacity of 9 execution ghee units (
Close a unitis)
As a result, GCP production has been reduced to 203,000 tons, accounting for about 10% of the capacity of ghee installed nationwide.
GCP production butter table duringJuly-March 1994-
95 tons were 91,694 tons, compared with 97,768 tons in the same periodMarch 1993-94.
The first Mineral Policy recently launched abroad is
Policy-based incentives and incentives for private sector investors.
The new mineral policy envisages a greater role for the private sector by attracting foreign capital and domestic investment.
The side benefits include expanded employment opportunities, improved skills, continued development of mine-containing areas, expanded business opportunities for local industries, increased income to provincial and central governments, technology transfer, regional infrastructure
Structure development and improvement database of mineral resources in Pakistan.
The policy emphasizes mineral activities mainly through private investment, thereby increasing the contribution of such economic activities to gross domestic product and supporting social promotion programmes.
Another important purpose of this policy is to attract foreign capital into Pakistan and explore Pakistan\'s rich mineral resources.
Pakistan has a large amount of gold, copper, zinc, lead and tin resources that cannot be mined due to lack of funds.
Mineral exploration is an important business, and countries such as Pakistan cannot undertake this task on their own.
Around 50 multinational companies around the world are said to be engaged in mineral exploration and the production of various metal raw materials.
It is reported that 10 of them control the world\'s nickel, bauxite, potash, manganese and phosphate production, and 10 control the world\'s copper, gold, zinc production, tin and lead
Annual investment in mining projects at the international level is estimated at $2.
About 5 billion of them were spent by the top 10 Giants in the field.
Compared with other economic sectors, the overall growth in Pakistan\'s mineral sector is still slow.
Factors such as capital restriction, imperfect institutional framework and lack of technical knowledge
The complexity and lack of laboratory equipment are the reasons for the slow progress of the industry.
The operation of this department requires a lot of research work, a lot of money, a lot of costs and high risks.
As a result, most of the operations are carried out by public sector agencies.
However, investment in the public sector is limited to projects with high cost and high risk.
The private sector plays its due role in mineral extraction, production and development.
The provincial government has also set up its own companies and departments to develop and produce minerals. These are:(I)
Punjab Mineral Development Corporationii)
Provincial Development Bureau of Balochistan ,(iii)
Sarhad development and (iv)
Sindh Coal Development Bureau
Investors in the industry can get some profitable incentives and offers.
Income of industrial enterprises established between July 1-19, 1981 and June specializing in the exploration and exploitation of mineral deposits (
Except for oil, income tax is exempted for five years from the date of commencement of commercial production.
Mining equipment and machinery are also exempt from tariffs and full sales taxes of more than 25 cents.
The main minerals produced are coal, natural gas, crude oil, marble, Chinese clay, chromium, white clouds, gypsum, limestone, magnesium, sulfur, etc.
The extraction of these minerals is given in the table.
The federal government has set up public sector companies to showcase high projects in the mining sector and then to peel off the same private sector.
At present, there are six federal companies operating in the mineral industry. These are:(a)
Geological Survey of Pakistan (GSP)(b)
Pakistan Mineral Development CorporationPMDC),(c)
Sain Metal Co. , Ltd (SML),(d)
Lala Coal Development Company (LCDC),(e)
Gem of Pakistan (GEMCP)(f)
Hair Company (FDC).
The performance of these companies is as follows :(a)
Geological Survey of Pakistan (GSP)
Responsible for national geological research and evaluate its mineral potential through geological mapping, geological science investigation and applied research.
So far, it has a geological coverage of 293,009 square feet. km.
147 geological maps and 732 reports and research papers were published.
Sin found a large coal mine with an estimated reserves of more than 100 billion tons in the Tulsa desert of Sindh province.
Pundit in Punjab found iron ore reserves in Chiniot, estimated at 17 tons.
With the assistance of the Asian Development Bank, the GSP is developing a 10-year mineral exploration programme to cover 14 identified potential areas in the country. (b)
Pakistan Mineral Development CorporationPMDC)
Operating three coal mines in degari, Salling and Shari in Balochistan province, operating two atracra and Meiting coal mines in Sindh province, in Punjab province
Three salt mines of Punjab Khwera, Warcha and Kalabagh, and two salt quarries of NWFP, atJatta and Bahadurkhel, are in operation.
Next to the PMDC is the quartz sand of Thana Bulla Khan in Sindh province. (c)
Sain Metal Co. , Ltd (SML)
The San Dake copper gold project is being implemented in the Chagai district of Balochistan province.
This is the first large metal mining project in Pakistan.
The project aims to produce 15,810 tons of blister copper 1 per year.
The gold content is 47 tons, and the gold content is 2 tons.
76 tons of silver.
M/s is building this project.
China Metallurgical Construction Corporation (MCC)
According to a transfer contract with a fee of $196. 810 million.
China is building mines, factories and smelters, and the infrastructure of the project is being built by SML. The project is expected to begin commercial production in August 1995 and will directly create 1288, more than 12 and 000 indirect jobs. (d)
Lala Coal Development Company (LCDC)
Is a joint venture between the government of Pakistan, WAPDA and Sindh to develop large mechanized coal mine operations in Lakhra to meet the needs of WAPDA coal
Based on the power plant in Khanote inSindh.
LCDC has also developed small coal mines in Lakhra to meet the ecological needs of WAPDA, especially during the development of the main mine project.
The LCDC began commercial production of coal and limestone from July 1994, and as of September 1994, 18,000 tons of coal and tons of limestone have been produced. (e)
Gem of Pakistan (GEMCP)
It is a joint venture between the Pakistani government and the NWFP government.
The company operates mines of emerald and other gems in the NWFP. (f)
The investment-friendly policy adopted by the government has undoubtedly greatly helped to expand the scope of private investment, which has already started to invest heavily in huge projects such as fuel, electricity and communications.
The progress made in these areas should naturally provide an opportunity for an expanded range of industrial activities, especially those including small and medium-sized enterprises.
There is no doubt that opportunities exist in these areas, but clear progress in the desired direction is far from encouraging.
This slack may be attributed in part to the legal and order situation in Karachi, the nerve center of the country\'s trade and industry.
However, it is also hoped that the private sector will be able to make concerted efforts to attract investment to match opportunities and that some kind of catalyst will be needed to generate the need for efforts to promote overseas investment.
