'New industrial policy to be introduced'

Federal Secretary Industry & Production, Abdul Ghaffar Somroo has said we will introduce an industrial policy in the light of recommendations, proposals of Chambers of Commerce & Industries and other stakeholders to increase industrial production and meeting the export target.
He was speaking at a meeting of MCCI Executive Committee chaired by President MCCI, Shahid Naseem Khokhar. The meeting was also attended by Yousuf Naseem Khokhar, CEO of SMEDA, Khawaja Muhammad Yousuf, CEO of National Productivity Organisation, Khawaja Muhammad Jalaluddin Roomi, Chairman of All Pakistan Bedsheet & Upholstery Manufacturers Association (APBUMA), Mian Tanvir A Sheikh, Ex-President of FPCCI, Shehzad Ali Khan Vice Chairman of PCGA. Somroo said that a new industrial policy is currently being prepared.
The focus would be on maximum use of indigenous primary products and human resources. The policy would lay emphasis on employment generation, increasing productivity, product diversification, competitiveness and moving towards knowledge-based hi-tech industry.
He said that new industrial policy would focus on boosting up the industrial production as well as revival of about 1,909 sick industrial units across the country in consultation with all relevant stakeholders.
Somroo said that since Pakistan is an agriculture country and we would have to increase our agricultural output and our 70 percent exports depends on textile sector. He said that we are main producer of cotton but Bangladesh had superseded Pakistan while it was importing cotton to run its textile mills. The federal secretary said that the government had introduced long-term loans for industry on 8 to 10 percent markup.
However, it was not possible to grant any concession in bank loans when the inflation rate is in two digit. He said that government was fully aware of that 18 to 20 percent markup was not viable for industry. It can be cut if we managed to increase the production, he added. FPCCI's former President Tanvir A sheikh said that Private and public sector would have to play their roles to increase the GDP growth which had dwindled down to 2.5 to 3 percent.
He said that the government had introduced a textile policy in 2005, which had given a road-map for boosting up textile production and its modernisation. Then our cotton consumption had gone to 16 million from merely 8 million bales per annum. When incentives were given to farmers they had produced 14 million bales which had now fallen to 11 million bales. The chairman APBUMA has stressed the need for access to European union markets, United States and other developed states. He said that Pakistan should negotiate with USA for granting exemption of duty on the products manufactured in Pakistan from the cotton imported from US.
He further said that the government should pay proper attention towards the import of Liquefied Natural Gas (LNG) so that gas companies could supply gas to industries. He further said that the government should provide loans on concessional markup in flood-hit areas like Khyber Pukhtunkhwah where mark-up rate is merely 8 to 9 percent.
He also demanded for the execution of cottage village in Multan, for which 32 acres of land was earmarked. PCGA's Shehzad Ali Khan expressed his anger on granting licences for establishment of sugar mills in cotton zone, which caused the reduction of cotton production. He said that the government should patronise the ginning industry, which was a base of textile sector and its modernisation was vital. Khawaja Muhammad Yousaf announced to set-up a women business centre in Multan to promote their products in the area.