PAAPAM wants same incentives given to Chinese

Says equal benefits will motivate Pakistani businesses

KARACHI: Pakistan Association of Auto Parts and Accessories Manufacturers (PAAPAM) Chairman Mashood Ali Khan has urged the government to provide equal opportunities to local manufacturers at par with Chinese investors in the Gwadar region.

He said that leasing land only to Chinese industries in Gwadar may create an unfavourable condition for the local industry.

Chinese companies are being allotted land in Phase 1 of Gwadar industrial area, including Aluminum Steel Manufacturers, Eatable Oil Company and Electric Car & Motorcycle Vehicle Company, instead of allowing Pakistani manufacturers to set up industries with the same incentives, said Khan.

“This smacks of bias towards promoting international manufacturers at the cost of Pakistani manufacturers and producers,” said the chairman, according to a press release.

PAAPAM chairman, along with businessmen from Karachi and other cities, was invited to Gwadar by Gwadar Chamber of Commerce & Industry Chairman Faisal Jamal Dashti to observe development activities in the region.

Phase 1 of development of the industrial zone in Gwadar has already been completed, where land has been given to the Chinese on lease with tax free incentive of more than 20 years, whereas Phase 2 has only just commenced.

Planning, Development and Reform Minister Ahsan Iqbal was also present to observe the development progress. PAAPAM requested him to give time to meet and discuss CPEC opportunities for industrialisation by the local industrialists and businessmen.

Khan appreciated Gwadar authorities’ decision to lease the land to Chinese and requested that, on the same condition, land should be leased to Pakistani and local producers, especially the Pakistani auto manufacturers.

Equal benefits would highly motivate the Pakistani business community and entrepreneurs.

If anything, Pakistani manufacturers should be given an equal opportunity to work in and towards the development of the Gwadar region, in order to help industrialise the region with the help of local manufacturers.

They should also ensure that adequate policies are introduced that allow balance in the distribution and usage of local resources and help the Pakistani businessmen and manufacturers to get into joint ventures with Chinese companies.

Published in The Express Tribune, April 9^th, 2017.

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