Unido plans to enhance SMEs' global competitiveness

05 Jul, 2005

The SME Cluster Development Programme (SCDP) designed by United Nations Industrial Development Organisation (Unido) will compliment activities being carried out by small and medium enterprise development authority (Smeda), export promotion bureau (EPB) and the Punjab small industrial corporation (PSIC) to enhance productivity, competitiveness and international market penetration of Pakistan's SMEs.
The Smeda chief executive officer (CEO) Shahab Khawaja stated this while addressing the launching ceremony of a training programme held at national institute of public administration (Nipa) for Cluster Development Agents here on Monday.
Nipa Lahore director general Major General Sikandar Shami attended the ceremony as chief guest. Unido Pakistan National Programme Co-ordinator Anjum Fayyaz, University of the Punjab Institute of Quality and Technology Management Director Dr Niaz Ahmed, Director General Textile Lahore Ms Rukhsana Shah, and Unido national experts of India Tamal Sarkar and Deepak Arora also addressed the ceremony.
Shahab Khawaja said over 99.5 per cent of the businesses in Pakistan existed under the category of SMEs leaving approximately 0.28 per cent enterprises as the large industry. He lamented that a proper support programme had never supported SME sector. He hoped the Unido cluster development program would fill in that gap allowing SMEs in Pakistan to grow on a stable footing. He said Smeda had been working jointly with Unido to design cluster development programme. They would continue their support and assistance in the same zeal to get that programme implemented successfully, he assured.
Earlier, Anjum Fayyaz National Programme Co-ordinator Unido Pakistan in his address of welcome referred back to the year 2003 when government of Pakistan first time announced to adopt SME cluster development as a principal element of its trade policy. It declared willingness to provide substantial sums to use Unido's services for development of export-oriented SME clusters throughout Pakistan. EPB contributed dollars 211,000 in cash towards the implementation of follow-up sub-projects in the five pilot clusters, and towards the establishment of a national training programme for CDAs to expand the cluster development project beyond the existing five pilot clusters, Anjum added.
He said the government of Punjab had also adopted Unido cluster development approach for seven SME clusters in August last, which were expected to be developed by a partnership involving Smeda and PSIC with Unido's support. The seven clusters to be developed under that partnership included Ceramics Pottery in Gujrat, Electrical Appliances in Gujranwala/Gujrat, Leather Products in Sialkot, Woodworking in Chiniot, Cotton Ginning in Rahim Yar Khan, Handloom Weaving in Multan and Textile Machinery Spare Parts and Components in Faisalabad.

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