Trade & Industry news covering business developments, industrial growth, manufacturing trends, and economic policies shaping domestic and global markets.
A statement said issued on Monday, a total of 30 nominations were received by the Election Commission from candidates belonging to the Businessmen Group.
The Election Commission, after scrutinizing all nomination papers, declared 12 nomination papers as invalid and rejected the same whereas 3 candidates withdrew their nomination papers, resulting in unopposed election of remaining 15 BMG candidates. Therefore, all 15 BMG candidates were declared successful in KCCI’s Election 2021-22.
Chairman Businessmen Group (BMG) and Former President KCCI Zubair Motiwala, on the occasion, expressed gratitude to Almighty Allah and conveyed thanks and compliments to the business and industrial community of Karachi for reposing confidence and trust on Businessmen Group.
He said that 24 years of success in a row is an acknowledgement of the public service by the Businessmen Group which also testifies that the overwhelming majority of Business and Industrial Community endorses the policies of BMG because they understand and believe that BMGIANs are serving them selflessly for their betterment.
BMG Chairman hoped that the newly elected representatives will make all out efforts in espousing the cause of business and industrial community and to further enhance the status of public service which is the motto of BMG.
The list of successful BMG Candidates included names of Muhammad Idrees, Touseef Ahmed, Abdul Rehman Naqi, Haji Asif, Shoaib Ahmed Faridi, Muhammad Asim Aejaz, Muhammad Arif, Nasir Riaz, Abu Bakar Siddiq Ahmed Shamsi, Asif Younus, Shaikh Wasim Ahmed, Zia ul Arfeen, Muhammad Farhan Ashrafi, Mohammad Amir Churra and Shamim Ahmed.
As the Managing Committee members have been elected unopposed, hence no general election for Managing Committee will be held on September 18, 2021 whereas the election of KCCI’s Office Bearers for 2021-22 is scheduled to be held on September 23, 2021.
KARACHI: Finance Minister Shaukat Tarin on Friday said that the Universal Self Assessment Scheme (USAS) has been reintroduced. This scheme will facilitate taxpayers in declaring income and assets.
In a statement issued on Saturday, he urged the government to control instability of rupee against the US dollar, as the greenback has appreciated 7.15 per cent since May this year, hitting 10 months high to cross the Rs164 mark.
FPCCI’s Businessmen Panel Chairman Mian Anjum Nisar observed that the industrial expansion and economic growth is not possible without stability of local currency, as the dollar has been appreciating against the rupee for the last more than 10 months because of the higher current account deficit and burgeoning import bills.
FPCCI former president observed that the market-based flexible exchange rate system, resilience in remittances and other factors can help contain the current account deficit in a sustainable range of 2-3 percent of GDP in FY22.
He said that the rising of dollar is not logical despite the fact that the State Bank says Pakistan’s external position was at its strongest in 10 years with 0.6 per cent current account deficit in FY21.
Since the May this year, the dollar has been appreciated by 7.15 per cent against the local currency which lifted the cost of imported products and created uncertainty about the exchange rate stability.
The dollar was at Rs164 in October 2020 and now again hovering in the range of Rs164 in Aug 2021.
Since the beginning of the new financial year the exchange rate looked a shaky as the local currency lost almost 4 per cent against the US dollar. The market reacted over the policy-makers’ announcement about 2-3 per cent current account deficit, while the importers rushed for higher amount.
He said that trade and industry have no idea as to what is the real exchange rate needed by the central bank and which is the end point for depreciation of rupee. Though the exporters would get some benefit against their export proceeds but the overall economy would face a tough time as the cost has been rising and finally it would affect consumption, which is the main wheel to run the economy.
Although the central banks’ foreign exchange reserves are in a better shape, but it has to rely heavily on borrowing to keep it at around $18 billion which affects the local currency value negatively.
He said that Pakistan has received record $29.4 billion remittances in fiscal year 2020-21 and it again received $2.7 billion in July FY22, indicating that the new financial year would also get help larger than the entire exports of the country, which is not long-term solution.
Besides increasing exports and controlling imports the government will have to take administrative measures, as a large demand of cash dollars are seen in the market. Mian Mian Anjum Nisar appreciated the positive development related to economic indicators, urging the government to control volatility of rupee against the US dollar, showing that exchange rate is not managed by the State Bank of Pakistan (SBP) but it also indicates the exchange rate is not stable.
He said that the end of previous fiscal year with rising current account deficit was a serious blow to the exchange rate while the fear of higher demand of dollars further exacerbated with the information of the SBP that the county would need $20 billion to repay loans.
Nisar said that the import bill of $6 billion in June this year was enough to signal the market that demand of dollar was very high. He said that the rising instability in Afghanistan has stirred fear within Pakistan that may hurt the normal economic life in the country, motivating people to buy dollars. At the same time, exports to Afghanistan have come down to almost zero level.
Formal and informal exports to the country are in the range of $1.5 billion to $2 billion per year. Mian Anjum said that the fourth wave of Covid-19 is another negative force to depreciate the local currency and shatter the confidence.
Terming rupee depreciation against dollar a mysterious development, he said that continued fall of rupee is not understandable with the fact that there was no fundamental change in the country’s economic indicators.
The Karachi Chamber of Commerce and Industry (KCCI) has become the first chamber in the country to launch NADRA e-Sahulat for the Pakistan Single Window (PSW) portal.
Fayyaz Ilyas, Chairman, ABAD, in a statement said that the investment in Construction Industry will double to Rs2 trillion if special construction package is extended at least for six months.
Quoting the statement of Information Minister for State Farrukh Habib that an amount Rs1 trillion had been invested in construction industry after announcement of Amnesty Scheme, chairman ABADsaid that a number of projects could not be registered under the scheme announced by the Prime Minister due to hurdles in approval, especially in Sindh.
“If these projects could get chance to register under this scheme, the investment will double from Rs1 trillion to Rs2 trillion,” he said.
Fayyaz Ilyas said that Prime Minister Imran Khan had extended date of Amnesty Scheme upto June 30, 2021. However, due to fourth wave of Covid-19 and hurdles in approval of projects, date of Amnesty scheme may be extended up to December 31, 2021 to fetch more investment in construction and real estate business.
He said that despite second and third wave of Corona construction activities, especially production of steel, cement and other construction materials is on the rise due to Amnesty Scheme.
Many of allied industries are planning expansion to meet rising demands and some of them have imported billions of rupees machineries to expand their industries, which shows that if the amnesty scheme is extended, the economy of Pakistan will become a vibrant and the dream of making Pakistan Asian Tiger could be realized, he hoped.
KARACHI: Around 65,000 industry workers have been vaccinated with the help of Sindh government, said Saleem-uz-Zaman, President, Korangi Association of Trade and Industry (KATI).
The apex trade body said the decision would result in major losses to the industry.
He added that all industries should be allowed to operate seven days a week and continue their production – unabatedly.
Mian Nasser Hyatt Maggo also stressed that the restaurants should be allowed to continue 24 hours takeaway and delivery services.
He also suggested that in order to facilitate common man, all grocery stores in the province should be allowed to operate seven days a week till 8 pm.
Mian Nasser Hyatt Maggo maintained that Pakistan’s economic hub Karachi should not be completely locked down in the larger national interest.
He recommended that the only solution out of the current situation – without causing any harm to businesses and employment opportunities –is to allow business and economic activities under strict compliance of SOPs and mandatory vaccination of the workforce.
Mian Nasser Hyatt Maggo said that if industries and businesses remain under restrictions, we will not be able to pay salaries. He added that FPCCI is ever-ready to fully support the Government of Sindh in order to create a thriving economic environment in the province.
FPCCI hopes that its concerted appeal to the Government of Sindh will result in reconsideration of the strict decisions taken and will result in a more compliant environment in the province vis-à-vis COVID control –and, yet protect the economic and employment opportunities through taking all stakeholders onboard.
KARACHI, January 30, 2024 — Chairman of the Businessmen Group (BMG) and Former President of the Karachi Chamber of Commerce & Industry (KCCI), Zubair Motiwala, expressed strong opposition to the implementation of lockdown as a strategy to combat the ongoing pandemic. Instead, he emphasized the need for a robust vaccination campaign and strict adherence to Standard Operating Procedures (SOPs) to curb the spread of COVID-19.
KARACHI: The Sindh government has expedited work on a proposal to set up a new industrial zone “NKATI 2” like North Karachi Industrial Area.
For this purpose a site is being sought and in consultation with the North Karachi Association of Trade & Industry (NKATI). It will be finalized later.
This was stated by Minister Information & Local Government Sindh, Syed Nasir Hussain Shah during a meeting with a delegation led by Faisal Moiz Khan, President NKATI, SVP Shabir Ismail and Syed Yasir Hussain, Chairman Sub-Committee Local Bodies at his residence.
Syed Nasir Hussain Shah further said that promotion of trade & industry is the top priority of Sindh government and PPP chairman Bilawal Bhutto has also the same vision.
Therefore, all resources will be utilized to create vast employment opportunities and promote industrialization. He also directed the MD Water Board to ensure uninterrupted supply of water to the industries.
The Provincial Minister also assured the Sindh Building Control Authority to regularize the factories located in North Karachi Industrial Area and solve the issues related to District Municipal Corporation. He further said that Capt. A Moiz Khan Road would also be inaugurated and a notification would be issued soon.
In a meeting with the Provincial Minister, Faisal Moiz Khan, President NKATI, apprised the industrialists of the problems faced by them, and said that production activities were being severely affected due to non-supply of water to North Karachi industries. However, the issues related to DMC are also increasing day by day which needs immediate attention.
“The Sindh government should set up a new industrial zone like North Karachi Industrial Zone to promote industries so that more and more new industries could be set up and vast employment opportunities could be created”, he suggested. Faisal Moiz Khan also requested the provincial minister to regularize the factories from Sindh Building Control Authority.
Expressing satisfaction over the assurance of the provincial minister to resolve the issues under discussion at the meeting, NKATI president said that industrialists would extend all possible cooperation with Sindh government to increase production activities and promote industries.
