ISLAMABAD: Pak-China cooperation plays an important role in Pakistan’s textile industry as now all the metal items are imported specially from China, as well as advanced production machines.
“Firstly, the relationship between Chinese and Pakistani governments is very good, and people’s relationship is also very good. We feel like more comfortable to invest in Pakistan,” said Karen Chen, manager director of Challenge Fashion, a Chinese company that is investing $150 million in an industrial park on Lahore’s border with Kasur.
As a foreign direct investment (FDI) in an export industry in Pakistan, the project is made by the Shanghai-based Challenge, which is already operating as Challenge Apparel since 2017 with its garment manufacturing unit on Multan Road near Lahore fetching nearly $44m in export revenue during the last fiscal year.
The industrial park is set to house state-of-the-art fabric units, dyeing facilities, and garment manufacturing units for exporting sportswear from Pakistan to the Americas, Europe, Asia-Pacific, and other regions of the world.
Pakistan has a lot of benefits in the textile sector, like rich labor resources and inexpensive labor costs. Pakistan was given the Generalized Scheme of Preferences (GSP) Plus by the European Union, and also signed the free trade agreement with China, as Chen said.
So it can access a very big consumer market in the world. – Agencies
