| Welcome to Global Village Space

Sunday, November 17, 2024

Tax holiday, and import duty concessions announced for Quaid-e-Azam Business Park (QABP)

The federal government has announced major concessions in tax, and import duties for machine importers in Quaid-e-Azam Business Park (QABP)

The federal government has announced a tax holiday for Quaid-e-Azam Business Park (QABP). The grant also includes exemption from duties and taxes on import of industrial machinery in QABP, according to Punjab Industrial Estates Development and Management Company (PIEDMC) Chairman Syed Nabeel Hashmi.

He further announced that up to 2.2 megawatts were readily available for any businessmen who wished to invest and set up industrial units immediately. During a meeting with a delegation of the Pakistan Plastic Manufacturers Association (PPMA) earlier this week, the announcements were made.

As per their website, Pakistan Plastics Manufacturers Association (PPMA) was formed in the early 1970s but was registered with the government in 1982 under Trade Organization Ordinance 1961. It is the only plastics association in the country registered with the Ministry of Commerce.

Read more: Nestlé to make Hunza clean; recycle 220,000 kgs of plastic waste

PPMA was established to bring together the plastics processing industry members under a single roof consisting of rapidly growing SMEs. The association members include raw material producers, processors, plastics machinery manufacturers, molds/dies makers, traders and importers/exporters of plastics raw material, finished and semi-finished goods.

Plastic industry’s potential in Pakistan

He announced that the gas pipeline infrastructure at the SEZ was almost ready.

He informed the delegation that plastic products’ global consumption reached $1.2 trillion, and the US and China were the biggest consumers.

The global market for plastic products had reached $1.2 trillion, Nabeel informed the delegation. He also explained that China and the USA were the world’s biggest consumers of plastic products.

According to Plastemart.com, there is tremendous scope for expansion in the plastics sector. Compared with the neighboring and other regional countries, the per capita consumption of plastics is still low. Still, again this low consumption level indicates that there is a lot of potential for this industry.

Pakistan’s plastic auto-parts industry has grown tremendously over the years. It was initially an import market but has converted to an export market over the years.

Read more: Thai retailers ban single-use plastic bags

According to the website, the Pakistani plastic products industry was saved by importing second-hand machinery and cheap labor. A major factor that had previously hampered the local plastics industry’s development was a ban on the import of brand new plastic machines. However, as per PIEDMC Chairman Nabeel Hashmi’s announcement, the government’s imports are now being encouraged by the government and potentially could further alleviate the industry.

“There are a lot of opportunities available for the local industry to gain export orders from both countries given that it produces quality products,” Nabeel further said.

Nabeel explained to the delegation the bright prospects and importance of building plastic manufacturing plants in Quaid-e-Azam Business Park, announcing that an incentive package would be provided above the existing ones to investors purchasing more than 25 acres of land for their industrial setups in the SEZ.

Half a million jobs expected through SEZ

More than half a million jobs are expected to be created in Punjab through the Quaid-e-Azam Business Park initiative, ushering in a new era of development and prosperity as per Prime Minister Imran Khan’s vision, Nabeel added.

PIEDMC COO Ali Muazzam Syed briefed the delegation about an advisory board that has been constituted to speed up the SEZ development work.

Read more: Use of plastic bags & wrappings banned across all Pakistani airports

Advisory board members include public representatives and experts from various economic fields who would be nominated for a period of one year.

He said that the members would serve for industrial development and improvement in the QABP.

GVS News Desk