Karachi business group lobbying for appointment of EPZA chairman?

ISLAMABAD: An influential group of businessmen from Karachi is reportedly using its influence at a high level to get the Chairman of Export Processing Zone Authority (EPZA) of their choice by excluding the top candidate from the three short-listed candidates, well informed sources told Business Recorder.

EPZA has been dubbed as a ‘hub of smuggling’ in connivance with Customs. Currently, a large-scale investigation is under way against it by Directorate of Customs Intelligence which has highlighted a massive value gap between imported raw material and exported finished products.

The practice of real estate sale/purchase, which is causing huge loss to the EPZA is in sheer violation of the terms and conditions of the license under which investors are restricted to use their plots.

According to sources the leading cause of the decadence of this institution is that it has morphed into a favourite pasture for civil servants who have been managing to get posted as Chairman EPZA on deputation from time to time.

In January 2020 a retired PAS officer of BPS-22 Shafqatur Rehman Ranjha was appointed as regular chairman for a term of 3-years, an honest albeit extremely rude man. Ranjha tried to put a check on illegal practices and as a result a group of industrialists who were in violation of EPZA regulations ganged up against him and mounted pressure for his removal through a top public office holder who represents the federal government in Sindh and a very senior man in Islamabad, who hails from Karachi.

Resultantly, Ranjha was removed in December 2020. After his unceremonious exit, Rizwan Bhatti Chief Executive PIDC was given additional charge of Chairman EPZA.

According to sources, vacant post of Chairman EPZA was advertised in March 2021 but the process was delayed and interviews were held in August 2021. In the first round five candidates were short-listed in which a BPS-21 retired officer

Saifuddin Junejo and Dr. Tanvir a BPS-22 retired officer of PAS were the forerunners, with Dr. Tavir leading the race with a better profile.

The second round of interviews has yet to be held when Junejo started lobbying with EPZA industrialists who knew him well during his postings in their area, said the sources. The same group who managed the removal of Ranjha once again reportedly sprang into action and approached Governor Sindh, who reportedly arranged their zoom meeting with the concerned Minister.

According to sources the second round of interviews are cancelled and a summary for the Cabinet has been hurriedly prepared in which Junejo has been placed at the top and Dr Tanvir removed from the panel of three candidates to be proposed to the Cabinet.

EPZA was established as a statutory body in 1981 to enhance country’s exports by establishing Export Processing Zones throughout the country. Unfortunately, while Bangladesh also established a similar Authority (BEPZA) the same year - which took their exports to new heights - Pakistan EPZA is still stagnating at $600 million worth of exports. It has only one project of its own in Karachi on about 300 acres of land in Landhi industrial area. It entered into Joint Ventures with Punjab Small Industries Corporation for EPZs in Gujranwala and Sialkot and with Sarhad Development Authority (now KPEZMC) in Risalpur. All its JVs can at best be termed as failed projects. Its single-entity projects at Saindak, Dhuddar and Tawairqi Steel were also only to accommodate special cases.

Copyright Business Recorder, 2021