Russian investors interested in Pakistan's energy, auto sectors

Have met PPL, OGDC executives for joint hydrocarbon exploration

ISLAMABAD: A delegation of Russian businessmen, led by Ildar Mingaleev, Deputy Minister Ministry of Industry and Trade of the Republic of Tatarstan, visited the Islamabad Chamber of Commerce and Industry (ICCI), expressing their interest in investing in Pakistan’s energy and automobile sectors.

“The delegation has held negotiations with Pakistan Petroleum Limited (PPL) and Oil and Gas Development Company (OGDC) to explore the possibility of joint ventures in the oil and gas exploration field,” said Mingaleev.



“Russia’s largest energy company Gazprom is interested in supplying LNG to Pakistan while RT Global Resources, part of the Russian state corporation Rostec, will construct a 1,100km North-South gas pipeline in Pakistan by 2020 to link LNG terminals from Karachi to Lahore.”

Russian investors are also interested in investing and entering into joint ventures for the manufacturing of heavy-duty trucks, passenger cars and other specialised vehicles, shipbuilding and manufacturing of gas turbines and compressors.

“Russia has established free economic zones with tangible tax benefits to foreign investors,” he said and suggested “Pakistani investors should set up textile units in Russia to capture the huge regional market.”

The Trade Development Authority of Pakistan is planning to take a business delegation to Russia and ICCI members will also be part of the delegation that will look for business opportunities.

Speaking on the occasion, ICCI President Atif Ikram Sheikh said Russia was an important country with which Pakistan wanted to develop close relations.

“Cooperation with Russia is the key to achieving Pakistan’s goal of better trade with Central Asia,” Sheikh said, adding “Pakistan wants to strengthen trade, economic, scientific and technical cooperation with Russia for mutual benefits.”

He highlighted energy deficit as a major issue facing Pakistan due to which the industry suffered and asked Russia to help in overcoming the problem by exploring investment and joint venture avenues in the sector.

“Pakistani products including textiles, surgical instruments, leather products, fruits and vegetables and others have great potential in Russia,” he emphasised, proposing frequent exchange of trade delegations that could ex



An official of the Ministry of Commerce said delegations of businessmen and government officials would visit Russia, Belarus and other Central Asian countries to step up business interaction in the respective markets.

At the same time, he said, Pakistan would continue facilitating and offering incentives to local investors.

Published in The Express Tribune, November 24^th,  2015.

Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.