No more U-turns in economic move: Prime Minister lays tractor plant foundation

Prime Minister Shaukat Aziz on Friday emphasised that there would be no more U-turns in the country's economic move and it would enable investors to make long-term plans in the country. He hinted at introduction of 'white revolution', in which the government would encourage dairy farming sector in the country.
He asked the businessmen community to take advantage of country's industrialisation and challenges of enhanced competitiveness with quality products to survive as well as compete internationally.
He was addressing the foundation-stone laying ceremony of second phase of Universal Tractor Pakistan at industrial zone of Port Qasim Authority (PQA) here. The project Phase-II will cost $12 million and would be completed in eight months' period.
The Prime Minister said: "Pakistan is sixth largest milk producing country in the world, and we want to help in enhancing dairy items production both for the country and for exports."
Referring to the visit of President Pervez Musharraf to Australia and New Zealand, where he witnessed the dairy farming sector, the Prime Minister said: "We would seek expertise of their farming sector, through which we would bring white revolution in our country."
He said "Our industry has to be globally competitive. It is price, and quality, which makes us competitive. If we are not competitive and do not improve the quality somebody else will do it and take the market share," he said, adding that "unless the product is globally competitive, it will not sell".
The government would not provide protective walls any more to inefficient industries, he added. "Walls are disappearing; tariff protection will not be provided any more; and the SRO culture is over. The days of SRO are over and the government is not issuing any more," he added.
"We believe in consistency and continuity of policy to enable investors to make their long-term future plans and create enabling environment for the private sector," he said.
Shaukat said: "There will be no more U-turn in our economic move, and consistency and continuity in the policies will be ensured."
He asked the entrepreneurs to use knowledge and technology to improve the quality of their products and compete in the international markets. The government was focussing on development of value addition sectors specially engineering industry. "Our major focus is to redirect the value-addition and become a major player in engineering industry," he added.
"The Ministry of Industries has taken several measures to improve this sector. In the era of globalisation engineering industry has to play an important role," he pointed out. He said that the government is encouraging the manufacture of local components. "We have encouraged local production of parts and complete units, and assemblers have their deletion programme," he added.
He said that agriculture sector has been reformed in last two years and an additional amount of Rs 60 billion had gone to rural areas of the country through which the demand of tractors is increasing.
At present there are three to four tractor plants, and the number of such plants would be doubled in the next few years. Financing for tractors is as important as production.
He said, "If we have dams we would save flood water, and we are going to build new dams." In this regard, all provinces would be taken into confidence before any decision.
"By 2007, we would provide electricity to all towns and villages by using alternative energy," he added.
He said that the city of Karachi is the city of tremendous entrepreneurship and is the economic hub of Pakistan. "Fifteen million residents of Karachi form the economic engine of 150 million people of Pakistan," he added.
Earlier, in his address of welcome, the Managing Director of Universal Tractor Pakistan, Muhammad Iqbal, said that the plant would be completed in eight months with an initial production of 1400 units (tractors). "The plant will produce 8,000 to 10,000 units per annum at full swing," he added.
The Chairman of PQA, Rear Admiral Saleem A Meenai, said that the Authority has provided land to the tractor plant on urgent basis.
About 60 new industrial units would be coming up in the next 3 to 4 years at PQA industrial zone.
Minister for Ports and Shipping Babar Khan Ghauri also spoke on the occasion. Sindh Governor Dr Ishrat-ul- Ebad Khan, Chief Minister Dr Arbab Ghulam Rahim and federal minister Jehangir Tareen were present on the occasion.