Chinese eye steel and metal recycling plant

Adviser to Prime Minister on China-Pakistan Economic Corridor (CPEC) Khalid Mansoor on Monday said that phase 2 of the corridor involved multi-billion dollar investments in Pakistan.

Addressing a news conference, he said that during his visit to China, Prime Minister Imran Khan held around 20 back-to-back meetings with the representatives of around 500 companies to help bring investment to the country.

The adviser said that the Chinese companies had been facilitated with a compliance regime and they were not required to obtain NOCs from 37 different departments before launching any investment project in the special economic zones.

He said the CPEC authority provided one-window facility to the Chinese investors, adding that if there issues still remain unresolved, then the PM House was there to address the issues. He said that under Phase-2, the Chinese companies would support in setting up Steel and Metal Recycling Plant in Gwadar within three years, which would produce metals worth $4.5 billion for exports, besides creating 40,000 jobs.

He said that the Chinese companies would also help develop agriculture of the country on modern lines to enhance per acre yield and seed quality. He said some companies were interested to grow maize and soybean in Pakistan. He said a Chinese company would invest in building LNG storage at the Karachi Port whereas a factory for value-added products would be set up on Lahore-Kasur road in the textile sector.

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The adviser said that another Chinese company, Royal Guru, was interested in investing $50 million in the auto-sector of the country. Chinese companies want to invest $200 million in making medical devices whereas an investment of $2 billion by the Chinese companies would be made for laying optical fiber.

He said that the Chinese companies wanted to invest in the science and technology zone and were also interested in supporting bidding for privatization of Pakistan Steel Mills (PSM). He said both China and Pakistan had agreed to move forward with the second phase of CPEC.

He said fresh steps were being taken for rehabilitation of industries and industrial development in Pakistan. He informed reporters that the ECC had approved refunds of Rs100 billion to CPEC IPPs, out of which Rs50 billion had already been paid while the remaining Rs50 billion would be paid soon. He said the prime minister listened to the representatives of the companies patiently and assured them of full cooperation of his government to invest in the country.

The adviser said the prime minister presented a pitch book to leading companies in China which included detailed information and investment opportunity in various sectors of the economy including textile, pharmaceutical, footwear, information technology, agriculture, and cottage industry.

He said that it had been thoroughly elaborated in the book why Chinese investors should prefer Pakistan for investment over other regional countries, adding that Pakistan offered a win-win situation for the benefit of the country as well as investors.

He said that 65% population of Pakistan was under 40 years of age and Pakistan had skilled labour force and much cheaper as compared to China.