China, Punjab shake hands over cement plant

Published: August 19, 2015
The plant will be set up in the Salt Range.

The plant will be set up in the Salt Range.

The plant will be set up in the Salt Range. The plant will be set up in the Salt Range. PHOTO: NNI

LAHORE: The provincial government and Chinese cement company Yantai Baoqiao Jinhong signed a memorandum of understanding in Model Town on Tuesday to set up a cement plant in the Salt Range. 

Under the agreement, the Chinese company will set up the cement plant with an investment of $350 million. Minerals Secretary Arshad Mahmood and Li Baolu, chairman of Yantai Baoqiao Jinhong, signed the document.

Chief Minister Shahbaz Sharif, the guest of honour at the ceremony, said the cement plant would bring in Chinese investment and create jobs.

He said the provincial government welcomed Chinese investment in the cement industry. Foreign investors have been given the best possible facilities and the government has extended maximum cooperation to Yantai Baoqiao Jinhong in setting up the cement plant, he said.

Read: Funds from China will be allocated to different projects in Sindh: Punjab CM

Sharif said the cement plant would bring in new technology.

“China has invested billions of dollars in Pakistan in energy, infrastructure, industry and other sectors…this era of economic cooperation began after the Chinese president visited Pakistan.” He said China was a great friend to Pakistan and had helped it in its hour of need. Li Baolu said his company hoped to set up a state-of-the-art environment-friendly cement plant in the Punjab.

Other members of the Chinese company said Pakistan was a second home to them. They condemned the suicide blast in Attock.

On the National Action Plan

While addressing a meeting to review law and order in the province, Sharif said on Tuesday that the National Action Plan was being implemented effectively in the province. “Law enforcement agencies should spare no efforts in eradicating terrorism and their facilitators.”

Participants in the meeting were directed to accelerate the operation against terrorists under the National Action Plan.

The chief minister said that the National Action Plan reflected the nation’s determination to root out terrorism. He said there was need for unity and courage to rid the country of terrorism. Activities of banned organisations will be curbed, Sharif said. “We will make sure that terrorists and their facilitators have no place to hide.”

Read: Pakistan, China sign 20 MoUs worth $2 billion

He said that relevant institutions must maintain close coordination with regard to intelligence sharing and the ban on misuse of loudspeaker should be strictly enforced. He also directed officials to take strict action in cases of wall-chalking and dissemination of hate material.

Minister for Law Rana Sanaullah, Chief Secretary Khizar Hayat Gondal, the inspector general police and the home secretary attended the meeting.

Published in The Express Tribune, August 19th, 2015.

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Reader Comments (13)

  • Fedup
    Aug 19, 2015 - 9:10AM

    one word… RIDICULOUS !!! The big cement industry in Pakistan is already in losses. Why don’t you look at India and their approach? Why don’t you ask China to plant the tech industry here ??? Chips? UPS? Generators? Energy Savers? Tablets? All these items are imported to Pakistan resulting in bill of Billions of dollars… Why Cement? Tiles? Road.. Can you think something new??????????????????????????????Recommend

  • Aug 19, 2015 - 9:11AM

    It’s very obvious that the plant is in the private sector as the IMF, WB, and ADB will not allow the GOP to make any more commercial investment. So, who is the private party? Salams Recommend

  • KH
    Aug 19, 2015 - 9:31AM

    Really have you not seen the profits of Luck Cement.Recommend

  • Raghu
    Aug 19, 2015 - 10:12AM

    I wonder if any thing will be done in Balochistan? Mr. Showbaz is taking all the advantage from his brother to bring every deal to Punjab. Look at the state of Sindh, Balochistan, KPK. Thats why i dont like Noon league.Recommend

  • Abdullah
    Aug 19, 2015 - 10:28AM

    @fedup.You need to check the financial statements of the cement manufacturers in pakistan.There is still more scope in this industry. The chinese firm will for sure increase the exports .Its going to be good for our country and more jobs for the poor and more competition in the industryRecommend

  • Xnain
    Aug 19, 2015 - 11:50AM

    Cement sector is a informally managed cartel in Pakistan. Thats why most of the cement manufacturers are in profit. The demand is expected to remains strong amid economic pickup and CPEC projects so every cement manufacturer will have its share of apple pie.
    Exports is a non-lucrative venture for domestic manufacturers are exports carry less margin than domestic sale and plus the erection of trade barriers in SA and Afghanistan plus the UN deal with Iran have made the export prospect bleak. So strong domestic demand is likely to keep the cement factories running going forth.Recommend

  • Karachite
    Aug 19, 2015 - 12:11PM

    Haier-Ruba joint venture in Pakistan has announced plans to start manufacturing laptops and smartphones in Lahore this year, according to the JV chairman Shah Faisal Afridi. The Haier-Ruba group is one of the largest manufacturers of polyester yarn and home appliances in the country.
    Haier Pakistan is currently producing refrigerators, deep freezers, washing machines, home air conditioners, commercial air conditioners, television sets, microwave ovens and other small appliances in a special economic zone (SEZ) on the outskirts of Lahore.Recommend

  • Mohsin
    Aug 19, 2015 - 12:30PM

    This will surely led to disturbance in the cement industry. 3 cement companies have already announced capacity expansion plan & some of them have already started working towards it. With cement exports falling & entry of new player in the market, capacity addition will ultimately lead to price war between companies in order to recover their fixed cost.
    Although it will take almost 2-3 years for this to happen but in the long run profits of cement companies will fall, who are making record profits currently.

    @fedup get your facts right. Cement companies in pakistan are making record profits. company like attock cement who has a single line of production posted full year profit of Rs.2 billion & the industry giant Lucky cement 9M profits stands at around 9-10 Billion, with the last quarter result still to come.Recommend

  • Fedup
    Aug 19, 2015 - 3:18PM

    @Abdullah @Xnain @Mohsin… Now I understand what kind of people and mentality surround our decision makers. People like you do not posses a vision larger than a wadera or jageerdaar. What’s next? China going for poultry farms in Pakistan? I am sure you will love that too !!. Recommend

  • Lolz
    Aug 19, 2015 - 4:54PM

    @Fedup: Absolutely right. These are the people who couldn’t question a family dynasty that ruined, sorry ruled, for more than 30 years and still beat the drums of democracy! This agreement again is being signed at “Model Town” and people still think it would benefit Punjab, Lolz! Recommend

  • Xnain
    Aug 22, 2015 - 5:10AM

    This is called Industry knowledge btw….Blind children of a blind man….Recommend

  • Lolz
    Aug 23, 2015 - 3:36PM

    @Xnain: Blind are the children who couldn’t question a family for ruling more than 30 years in the name of democracy! Recommend

  • Mazhar
    Nov 24, 2015 - 2:55PM

    First of all i want to draw your kind attention towards to environment.Our governments are not keeping the environment concerns through these big projects.We are just running forward without watching the things happening around us.I want to tell you that there are already eight cement plants are running in Salt Range area which has badly affected the neat & clean environment of the Salt Range areas.Government is just giving NOCs to these companies with out any EPA survey which is a serious concern to the local people of area.They are just going to destroy our environment by giving permission to these mountain eaters.Our environment & wildlife of area is suffering too much because of our wrong decisions.As we all know that Salt Range is rich in biodiversity but by these cement projects all is ruining day by day & if government gives new approvals for more cement plants in the area the whole Salt Range region will be vanished.As government is going to issue NOCs to four more cement plants in this area means total destruction to Salt Range area.I want to clear a point that Salt Range includes the districts of Mianwali,kushab,Chakwal & Jhelum.I appeal to all those people who are concerned about environment & biodiversity in Pakistan they should join hands with us to stop this unlawful activity.Recommend

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