ISLAMABAD: Chinese companies are investing in seven attractive sectors of Pakistan including textiles, pharmaceuticals, automobiles, information technology, footwear, furniture, and agriculture, reports WealthPK.
Industrial development is regarded as one of the most reliable ways of promoting the long-term growth of an economy. Therefore, many countries have used industrial development planning to boost their economic growth in recent decades. The Asian Tigers have served as an obvious illustration.
One technique for achieving this aim is to designate places for industrial growth, such as business parks, industrial estates, export processing zones, special economic zones (SEZs), and so on.
Adnan Khan, a socio-economic development specialist at the CPEC Authority, told WealthPK that a number of companies have made investment proposals for the second phase of CPEC, which will bring huge investments in Pakistan. He said the majority of Chinese firms have shown interest in investing in the SEZs.
He said the prime minister has conducted roughly 20 back-to-back talks with top executives from Fortune 500 businesses in order to solicit investment.
“Compliance framework has been made easier for Chinese enterprises, and they no longer require no-objection certificates (NOCs) from 37 different ministries before beginning any investment project in the SEZs,” he said.
China has promised $10–$15 billion in investments for a variety of projects, including establishing industrial units on 2,200 acres of the Gwadar Free Zone, exploring the possibility of establishing oil refinery at Pasni, and relocating industries in seven key sectors to the upcoming SEZs.
Three Chinese firms have shown interest in investing in agriculture-related projects such as foot and mouth disease (FMD)-free zones, agricultural automation, pesticide production, poultry and cattle feed, and so on.
“Pakistan has made moves to resolve the concerns of Chinese investors, including paying dues to independent power producers (IPPs), restoring revolving money, and amending the SEZs Act. This modification to the SEZs Act would allow investment in SEZs without having to go through 37 approvals,” said the official.
Adnan Khan said Chinese companies would also assist in the modernization of agriculture in
Pakistan in order to improve per-acre production and seed quality. He said some corporations wanted to cultivate maize and soybeans in Pakistan, while another huge corporation wanted to build an LNG storage facility at Karachi Port, and a textile plant for value-added items would be built on the Lahore-Kasur Road.
Chinese companies are investing a huge amount in the auto sector of the country. They are also interested in investing in making medical devices and laying optical fiber.
The CPEC projects, which include the Gwadar Port, are nearing completion. Pakistan is currently concentrating its efforts on establishing special industrial zones, providing special incentives to businesses, training youth in industrial skills, and developing all industrial sectors to bring about a revolution in the industrial sector.
INP
