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Rural areas : Govt committed to improving means of communication

SIALKOT: 

The government is utilising all available resources to improve means of communications evenly in urban and rural areas of the country, said Foreign Minister Khawaja Muhammad Asif.

Addressing the laptop distribution ceremony at Government College for Women University, he said the basic concept for improving means of communications, was to bring far-off and neglected areas at par with the developed parts of the country.

The foreign minister said the mega project of China Pakistan Economic Corridor (CPEC) would play an instrumental role in bringing revolutionary change and usher in economic stability and prosperity, not only in the country but also in the whole region.  He was confident that Gwadar Port would emerge as the busiest port and play a dominant role in ensuring drastic economic stability and overall development of the country as well in the region.

Gwadar Port and CPEC projects would open a new vista of prosperity and development and enlarge the scope of employment opportunities for the people, he added. He added that the economic stability had become more vital at this juncture for making the country economically stable, bringing prosperity and boosting development process.

Asif said banishing of backwardness and elimination of poverty were on the top of government agenda and many steps had already been taken in this direction.

Source: https://tribune.com.pk/story/1638498/1-rural-areas-govt-committed-improving-means-communication/

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Chinese delegation to visit Pakistan next month

A high level Chinese delegation will visit Pakistan next month in a bid to expedite the China Pakistan Economic Corridor (CPEC) projects agreed by the both sides during 7th Joint Coordination Committee (JCC) held here in November 2017.
“The delegation will interact with high level government officials, and local trade bodies besides while it will also visit all the provinces to ensure speeding up work on all nine Special Economic Zones (SEZs) to be established under the umbrella of CPEC,” Project Director CPEC, Hassan Daud Butt told APP here.
He said progress on all projects under China Pakistan Economic Corridor (CPEC) including up-gradation of Main Line-1 (ML) railway track is going smoothly and without any delay.
He said progress of all the projects that were agreed by the both China and Pakistan during 7th Joint Coordination Committee (JCC) on CPEC held here on November 21, 2017 was on track as both sides were committed to complete the projects as early as possible.
Responding to a question regarding possible delay in the $8.2 billion ML-1 project, the project director said earlier due to huge implications in the project, the revised PC-1 of first phase got delayed, however he said ministry of railways had assured to submit the PC-1 of phase-1 by February 20, therefore groundbreaking of the project was likely to be launched in few months as per announcement made by Minister for Planning Ahsan Iqbal last month.
He said the ministry of planning had also sought time from cabinet committee on CPEC to discuss details of the project in next meeting and discussion would help further boosting the progress of project.
Giving details about preliminary design review of the project, Butt said work scope of phase-1 sub projects had already been completed.Similarly, he said work of standards and specifications, BOQs, and cost estimates both local and foreign had also been finalized.
He said now approval of PC-1 and award of Engineering, Procurement and Construction (EPC) would be given on fast track to ensure ground breaking of the project as early as possible.—APP

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CPEC to bring socio-economic benefit to whole region: Ziyu

China’s infrastructure construction tycoon says Pakistan is his second home

Beijing

Terming Pakistan as his second home, Vice President, China Communication Construction Company (CCCC), Sun Ziyu has believed that China-Pakistan Economic Corridor (CPEC) would bring socio-economic benefits not only to China and Pakistan but also the neighbouring countries and world.
“I believe, the CPEC, a flagship project of the Belt and Road Initiative announced by Chinese President Xi Jinping for the shared prosperity of humankind, will benefit China, Pakistan, neighbouring countries and the world,” he said while talking to APP in an interview.
He informed that CCCC, dedicated to the construction, investment, development and operation of infrastructure in the countries along the Belt and Road Initiative (BRI) including Pakistan, was already working on various projects including the Gwadar Port under the CPEC framework.
Sun said that his company was one of world’s largest port designers and constructors, leading designers and constructors of highways, bridges and well-known comprehensive city developer, “We are planning construction of Gwadar smart city.”
He said that last year, his company’s new contracts in overseas achieved the total value of US$41 billion, the turnover of US$20.3 billion and a total profit of US$ 1.35 billion.
Having experience of dredging, international designing and expressway and bridges building, the company would construct a dry port in Gwadar.
“We have selected a land measuring five square kilometres for the dry port,” he added. China Harbour, a subsidiary of his company, was working on construction of East Bay Expressway project, he said. The vice president shared that his company was likely to play a pivotal role in the up-gradation and rehabilitation of Pakistan Railways under the CPEC, the project was at the planning stage.
He informed that his company had built a total of more than 10,000 kilometres of highways and signed contracts or built more than 2,000 kilometres of railways around the world.
The Mombasa-Nairobi Standard Gauge railway in Kenya completed and launched to operation last year had aroused the attention of Africa and the whole world, he said and added, “We are also accelerating the progress of such projects as the Nairobi-Maraba Railway in Kenya and the East Coast Rail Link of Malaysia with a contract value of nearly US$10 billion.
The vice president said that his company took part in construction of the bridges on the most important Karakuram Highway (KKH) in Pakistan, adding the project teams had almost become an emergency rescue squad for local government.—APP

Source: https://pakobserver.net/cpec-bring-socio-economic-benefit-whole-region-ziyu/

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CPEC is set to transform Pakistan’s economy

ISLAMABAD: 

The China-Pakistan Economic Corridor (CPEC) is a hot topic these days. The government wants to sell it as its major achievement, while the opposition claims its contribution in negotiating during its tenure.

A quick review of the documents shows that the CPEC seeds had been sown long ago. Beijing Declaration 2003 gives the first footprint of the concept. Pakistan’s former ambassador to China late Akram Zaki once told me that the land corridor had been on the cards since the times of air corridor in the 1960s, and Silk Road was the first step toward it.

CPEC is a bigger initiative in nature and it will transform the economy of Pakistan and the same has been promised in Vision 2025. Therefore, it is necessary to dwell on linkages between Vision 2025 and CPEC. Comparative analysis shows the two have so many complementarities.

CPEC investments are related to infrastructure, energy, railways, optic fibre, agriculture, tourism as well as research and development. Energy and transport sectors are on the priority list along with Gwadar city and port. Vision 2025 identifies that every year Pakistan loses 4-6% of its GDP due to the energy crisis. This loss to GDP means decline in production base, exports, saving and investment, inflation and availability of employment.

Owing to the energy crisis, industries started relocating outside the country, which further contributed to non-availability of jobs and decline of exports. The declining exports are another area, which is now haunting the country. Trade deficit is increasing and negative impact on foreign reserves and balance of payment is evident. Vision 2025 outlined a plan and strategy for investment in different forms of energy like coal, hydro and renewable. Coal was cogitated as one of the most immediate source.

Despite the investments in coal sector, its share in the electricity mix would be minimum and benefits enormous. It will help overcome the chronic problem of load-shedding. Cheap and sustainable supply of electricity will enhance the competitiveness of the industry and boost exports and provision of jobs, especially for the youth. Apart from coal, a huge investment has made in renewable power sources like solar, wind and hydro, and Quaid-e-Azam Solar Park is already operational.

Vision 2025 also identifies infrastructure related to transport as one of the major impediment for rapid growth. Almost 7% of GDP is lost due to inefficient transport sector. Investment in infrastructure will enhance efficiency and regional connectivity. Regional connectivity will pave the way for trade and peace.

Railways share in transportation will also be increased from 4% to 20%. Through CPEC, investment is being made to upgrade roads, construction of new highways, motorways and creating linkages among existing roads.

Special Economic Zones (SEZs) under CPEC would be a way to achieve goals of Vision 2025. First and foremost would be the enhancement and sustainability of the production base of country. It will create jobs, as Pakistan needs 1.5 million jobs every year to accommodate and benefit from the youth bulge.

Other factors

Another important area is water, food and energy security in the country and along with that are two most serious problems. SDPI in 2013 concluded that almost 58.8% population is food insecure. Analysis further exhibited that the situation in 2025 will be more complicated due to population increase and climate change. Water availability is another area of grave concern. Per capita availability has come down to 1,000 cm2. Climate change is impacting water sector in Pakistan and the country is already facing water disasters like floods and drought. According to IPCC and UNDP report on vulnerability, the situation will be further complicated in the near future.

This grave situation requires urgent and sustainable investment in water and agriculture sector. Fortunately, Vision 2025 and CPEC also prioritise these areas. Vision 2025 outlined the goals of doubling power generation and enhancing access from 67% to 90%. Water storage will be increased to up to 90 days from 30 days. Food insecure population will be down to 30%.

To improve food security, agriculture is an acceptable sector to play a leading role with its multiple roles, eg production of food, employment to 44% labour force, which contributes to 21% of GDP. Long Term Plan (LTP) of CPEC gives a comprehensive list of programmes for investment. It includes farming, livestock breeding, forestry and food growing, and aquatic and fishery. Research and technological cooperation would be augmented. Production of inputs would also encourage and given technological assistance. Agriculture is also targeted as a key area to combat poverty by transferring sector into climate change resilient and globally competitive sector.

Water was the part of CPEC in different forms like drinking, sanitation, agriculture and industry. Now both China and Pakistan have decided to amplify cooperation. Dam building has also been included in the list of CPEC. Different sources quote a figure of $50 billion for building a cascade of dams along the Indus river. Infrastructure related to water will also be made resilient to climate change. There would also be investment in irrigation sector, especially in drip irrigation.

Apart from the areas mentioned above, Vision 2025 also spells out the goals about tourism development. It is a well-established fact that Pakistan is bestowed with beautiful landscape and geography. Vision 2025 identified religious, historical and naturally attractive sites as potential for developing tourism. LTP outlined the development of eco-tourism in coastal and mountainous areas of Pakistan.

China will help improve knowledge base for Pakistan. It will build the capacity of universities and students to compete at international level. Exchange programmes have already been started and now thousands of Pakistani students are not only frequent visitors of Chinese universities, but are also studying there.

A comparative study of Vision 2025 and LTP of CPEC shows that both are complimentary to each other with a number of goals and objectives. The only thing is how Pakistan opts for the Chinese model of success by using its indigenous tools of development and research.

The writer is the Head of Centre for Future Policy and Head of Research Coordination Unit, Sustainable Development Policy Institute.

Source: https://news.cpecb.com/cpec-is-set-to-transform-pakistans-economy/

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Foreign buyers express interest in Pakistani fruits and vegetables

ISLAMABAD: In the recently held exhibition in Berlin named “Fruit Logistica” more than 30 buyers who participated have shown interest in buying fruits and vegetables from Pakistan and demonstrated keen desire to avail trade opportunities which have emerged as a result of the China-Pakistan Economic Corridor (CPEC) project.

“The exhibition provides an effective international platform to enhance Pakistan’s horticulture industry’s exports and to inculcate awareness about most modern research and technological activities,” Federation Pakistan Chamber of Commerce and Industry (FPCCI) Patron-in-Chief and Vice-President Waheed Ahmed stated.

During this year eight Pakistani companies and 25 delegates participated in the exhibition and an exclusive stall representing the Pakistan Fruit and Vegetable Exporters, Importers and Merchants Association (PFVA) was also installed. Pakistan Ambassador Johar Saleem inaugurated the Pakistani pavilion.

According to Waheed, Ahmed, the European countries expressed the desire to purchase Pakistani mango, Russia expressed the desire to buy Pakistani potato while United Kingdom (UK), Holland, Norway and  Germany expressed keen interest in Pakistani dates. Similarly, buyers from Russia, Ukraine, Indonesia, United Arab Emirates (UAE) and Bahrain also expressed great interest to purchase Pakistani Kinnow. Keeping in view this overwhelming response, Pakistan is expected to get export orders up to $3 million.

“The exhibition has proved to be an effective international event for highlighting immense potential of Pakistani horticulture sector and offers excellent opportunities for investment in this specific sector,” he added.

During the three-day exhibition, Waheed Ahmed extended an invitation to prominent technology companies to visit Pakistan and also apprised them of the purpose and objectives of conducting a national conference in Pakistan in the near future with the collaboration of  PFVA  and  FPCCI.  “With the establishment of CPEC projects and economic zones the investors around the globe are focusing their attention on Pakistan and hence the foreign companies and investors would also be invited next year in the proposed national conference on horticulture sector,” he further said.

Waheed Ahmed expressed deep satisfaction and highly appreciated the extensive efforts of the Pakistani Embassy for making good arrangements and rendering assistance to Pakistani companies which participated in this mega event.

Source: https://profit.pakistantoday.com.pk/2018/02/12/foreign-buyers-express-interest-in-pakistani-fruits-and-vegetables/

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Chinese citizens death could impact Beijing’s investment in Pakistan

KARACHI: The killing of a Chinese citizen Chen Zhu in the metropolitan city of Karachi has raised significant risk of derailing Beijing’s investment in Pakistan.

According to a Bloomberg report, the incident highlights the insecurity still plaguing Pakistan and the death of the Chinese citizen employed by a local unit of Cosco Shipping Lines saw China issue calls for providing more security to its nationals.

Data shared by the Chinese government in August last year with Bloomberg revealed over 20,000 Chinese nationals had moved to Pakistan in lieu of rising opportunities in Pakistan, over double that compared to 2015.

But Pakistani hotels are brimming with visitors from China and can be observed by their presence in shopping malls and in weekend crowds at markets, said Bloomberg.

Also, Chairman Pathfinder Group and ex-army officer, Ikram Sehgal believes the threat level after this killing will certainly rise in respect to the Chinese and would hurt business sentiment in businessman coming to the country from China.

Aleena Ali, researcher at security consultancy Control Risks told Bloomberg that the country faces an “unprecedented situation whereby growing foreign direct investment is accompanied by a significant increase in the physical presence of foreign nationals. It will be challenging for security forces to maintain a secure environment for all Chinese nationals.”

As Pakistan’s ties with US touched a new low in January, Pakistan’s dependency on China is rising. In January, US President Donald Trump cut over $2 billion in military aid to Islamabad when the country’s foreign currency reserves are declining.

And the business community in Karachi has called for more action and doesn’t want to frighten China, Bloomberg said.

Source: https://profit.pakistantoday.com.pk/2018/02/13/chinese-citizens-death-could-impact-beijings-investment-in-pakistan/

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Rs 10bn worth benefits given to Chinese firm through tax exemption

ISLAMABAD: Senate’ Standing Committee on Finance, Revenue, Economic Affairs and Narcotics Control informed that around Rs 10 billion worth benefits were given to a Chinese company working on the Multan-Sukkur Motorway in the form of tax exemptions.

Considering the Calling Attention Notice moved by Senators Muhammad Daud Khan Achakzai, Muhammad Mohsin Khan Leghari, Barrister Murtaza Wahab, Sitar Ayaz, Sassui Palijo, Nauman Wazir Khattak, Mukthiar Ahmed Dhamrah Aajiz, Kamil Ali Agha, Saleem Mandviwalla, Ahmed Hassan, Farhatullah Babar and Ilyas Ahmed Bilour regarding the issuance of SRO 47(1)12018, dated January 23, 2018, the committee asked the Federal Board of Revenue (FBR) that how the Chinese firm was given exemption depriving the local firms.

Pakistan Peoples Party (PPP) Senator Murtaza Wahab stated that the FBR granted this exemption at a time when the construction work was only 37 per cent complete without seeking approval of the federal cabinet. He said as per the constitution FBR has no right to issue SRO especially benefiting a foreign firm.

FBR Inland Revenues (IR) Policy Member Dr Iqbal replied that the Economic Coordination Committee (ECC) approved the exemption for this Chinese construction company which was later on ratified by the federal cabinet.

On the question of granting exemption after completion of 37 per cent work of the project, the FBR replied that this summary was moved by the Ministry of Communication so only they can give a reply to this question in more detail. The committee decided to summon the high-ups of the Ministry of Communication for seeking further details about this project in the next meeting.

Senator Nauman Wazir Khattak informed the committee that the Supreme Court (SC) judgment clearly defines that the federal cabinet is the competent authority to issue SRO and recommended the finance committee to declare the said SRO illegal.

According to him, former finance minister Ishaq Dar had categorically stated on the Senate floor that all imports of China-Pakistan Economic Corridor (CPEC) would be non-discriminatory and no specific exemptions for CPEC projects for import of material would be given to Chinese companies.

At least 30 per cent work on Multan-Sukkur M5 Motorway has been completed and now the Chinese company is being given exemption from government duties whereas, in the original tender documents and the tender awarded to the company, the said duty was included in the project cost. In the original bid documents, all government duties were included. Exempting these duties at this point in time is unfair and unjust with other bidders who took part in the bid.

According to Khatak in the initial PC-1, the Bill of Quantities (BoQ) and specifications were different and in the final award, the BoQs have been reduced without informing other bidders and getting their rates as per the changed BoQs.

“The tender was floated and the bid was received a number of times, wherein there is a dramatic variation in the prices. Finally, the price was negotiated and BoQs were changed for this specific company. This is a violation of PPRA rules,” he said and recommended NAB to investigate all such matters.

Source: https://profit.pakistantoday.com.pk/2018/02/01/rs-10bn-worth-benefits-given-to-chinese-firm-through-tax-exemption/

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CPEC’s HEC building education city in Gwadar

QUETTA: The Higher Education Commission (HEC) unit of China-Pakistan Economic Corridor (CPEC) held a special consultative meeting to review the ongoing government university and educational city projects in Gwadar.

“Establishment of Government University Gwadar in due time and duration is an important target for all of us,” said HEC head Lt Gen (retd) Mohammad Asghar at the Balochistan University of Information Technology Engineering and Management Sciences (BUITEM).

Members of Technical Review Committee, BUITEMS Vice Chancellor Dr Ahmed Farooq Bazai, University of Turbat Vice Chancellor Professor Dr Abdul Razaq Sabir, Quaid-e-Azam University Professor Dr Zafar Nawaz, Balochistan Higher Education Secretary Abdula Jan, senior professors of universities and other government officials were also present on the occasion.

“Best teachers and faculty will be appointed on merit only,” the HEC head said.

The committee discussed employment opportunities which would be provided after completion of the CPEC projects. Special focus was made on provision of technical training to the youth of Gwadar.

In the meeting, comprehensive consultation was conducted for construction and establishment of world class government university in Gwadar and launch of certain educational and technical training programmes and courses.

The consultation process included heads of many government departments, universities, and other institutions of Balochistan so that the people of Balochistan could benefit from the completion of CPEC.

BUITEM vice chancellor said, “Youth and students of Balochistan are not lesser than any of us. We have to equip Baloch youth technically in order to promote economic rehabilitation of the local people.”

Earlier, Bazai had welcomed the meeting’s participants and gave a comprehensive briefing on the modern facilities available at BUITEM.

Source: https://www.cpecb.com/cpecnews/cpecs-hec-building-education-city-gwadar/

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Baloch militants can’t endanger CPEC project: Chinese envoy

Chinese Ambassador Yao Jing on Saturday said that Baloch militant organisations the China-Pakistan Economic Corridor (CPEC), while sitting down for an interview with BBC Urdu.

He added that members of such militant groups were “not true Pakistanis”.

Jing assured that the Gwadar port would be transformed into one of the world’s trading hubs owing to the improving security situation in the country in the last few years.

“If they [Baloch militants] are true Pakistanis, they should work in the interest of Pakistan,” he said.

He discounted their capacity to become a threat to the CPEC project.

The envoy also expressed his satisfaction with the security dispensed to 10,000 Chinese nationals working on various projects in the country.

Govt struggles to defend tax waiver to Chinese firm

Back on December 9 of last year 70 Baloch separatist militants, including commanders, renounced violence and laid down their arms on Saturday at a ceremony Chief Minister Sanaullah Zehri and Commander Southern Command Lt Gen Asim Saleem Bajwa were among the participants.

The Ferraris belonging to Baloch separatist groups announced submitting to the writ of the state and becoming part of the national mainstream.

At least 70 Baloch separatist militants, including commanders, renounced violence and laid down their arms on Saturday at a ceremony with then Chief Minister Sanaullah Zehri and Commander Southern Command Lt Gen Asim Saleem Bajwa were among the participants.

The Ferraris belonging to Baloch separatist groups announced submitting to the writ of the state and becoming part of the national mainstream.

Source: https://tribune.com.pk/story/1625687/1-baloch-militants-cant-endanger-cpec-project-chinese-envoy/

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PM inaugurates free trade zone, first international Gwadar expo

QUETTA: 

Prime Minister Shahid Khaqan Abbasi has told the Balochistan government to draw plans for the development of the coastal areas of the province and promised federal government’s full cooperation in this regard.

Addressing the opening ceremony of the two-day Gwadar Expo in Gwadar, the prime minister announced an ‘Equalisation Package’ for Balochistan under which the federal government would provide 50% funding for development works in every district of the province.

“[A] free zone is an integral part of the Gwadar port and with it, the Gwadar port project will pave the way for the speedy development of Balochistan and create ample jobs opportunities,” Prime Minister Abbasi told the ceremony.

“The Equalisation Package will ensure the provision of equal facilities in all districts of the province to achieve the goal of sustainable development,” he said.

The PM said it was incumbent upon the Balochistan government to find solutions to its problems and meet the challenges. As far as federal government was concern, he added, it would provide all help and facilities to the province.

He described the China-Pakistan Economic Corridor (CPEC) as “the most important initiative of our generation and the most visible part of the Belt and Road Initiative”. He added the project was the realisation of the vision of Chinese President Xi Jinping and former prime minister Nawaz Sharif.

CPEC to promote connectivity, shared prosperity in region: China

“The CPEC is a reality now,” Abbasi said, adding that under the project, motorways and highways were linking Gwadar and Khanjrab and Peshawar and Karachi. He added that railway lines were being modernised, power projects were being established and special economic zones would generate employment.

The Gwadar Expo is being jointly organised by the Gwadar Development Authority and the China Overseas Ports Holding Company (COPHC). It aimed at providing a platform for interaction between local, foreign private sector and government officials for exploring investment opportunities.

On the occasion, Chinese Ambassador to Pakistan Yao Jing reaffirmed his country’s support for Pakistan for its progress and prosperity. “Chinese businessmen will continue to invest in the developmental projects of Gwadar,” he said.

COPHC Chairman Zhang said the development of Gwadar would not only help improve the local economy but also the overall economic conditions of the country.

CPEC will transform Pakistan into commercial trading centre, Chief of Naval Staff

Ports and Shipping Minister Mir Hasil Khan Bizenjo, Chairman Joint Chiefs of staff Committee General Zubair Hayat, Commander Southern Command Lt Gen Asim Saleem Bajwa, provincial ministers Sarfraz Bugti and Asim Kurd were also present at the ceremony.

Source: https://tribune.com.pk/story/1621031/1-pm-inaugurates-free-trade-zone-first-international-gwadar-expo/

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