The colonization of the Allama Iqbal Industrial City which is the second Special Economic Zones (SEZ) of China Pakistan Economic Corridor (CPEC) has begun with Rs.53.6 billion investment in Faisalabad to attract the foreign and local investors with state of art facilities, the Board of Investment announced on Friday.
Colonization refers to the investors establishing their units in the industrial zone.
A meeting of the AIIC, SEZ Committee accorded approval to 15 applicants and allotted land of 320 acres.The applicants include a Chinese firm Zhengbang Agriculture Pakistan (Private) Limited with a plan Rs800 million investment in the agriculture sector. Among others, fourteen local firms, Zahid Jee Textile Mills, Ocean Ceramics, and Ittehad Metals are to initiate business establishments worth Rs11.8bn, Rs11.2bn and Rs7.5bn respectively.
Meanwhile, a meeting of the Vehari SEZ Committee approved its 1st zone enterprise. The colonization of this zone started with admission of a firm Suraya Aslam Paper Private Limited to establish a project worth Rs. 100 million.
The SEZ Committee of Rahimyar Khan allotted land and approved zone entry to Naseem Export Private Limited with a planned Rs 4.5 billion investment.
The application for zone enterprise entry and allotment of land were submitted and processed via SEZ’s MIS Module designed by the Federal Board of Investment recently.
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The module ensures transparency and facilitation and works as a one window operation, a vision of the government to ensure ease of doing business. Along with the allotment of land, these enterprises are now entitled to SEZ’s benefits, including custom duties and tax exemption under the SEZ Act 2012. Minister of State/ Chairman Board of Investment (BOI) Atif R. Bokhari while appreciating the development, said that the automation process of SEZs, envisioned by the Prime Minister Imran Khan, is now bearing fruits.
BoI Chairman Atif Bokhari welcomed the development and said that the automation process of SEZs, envisioned by the prime minister, is now bearing fruit. The SEZ MIS Module was approved to facilitate investors to gain admission in zones and ensure transparency in allocation of plots in various SEZs, he added.
BoI Secretary Fareena Mazhar said that international investors could easily avail the opportunity to identify and select the potential locations for setting up their units in the SEZs.
She further stated that the Federal Board of Investment will guarantee handholding of local & foreign investors and the provinces at every stage of the industrial development process in Pakistan.
Allama Iqbal Industrial City
Allama Iqbal Industrial City, one of the nine SEZ’s to be built in Pakistan under CPEC is being developed by FIEDMC. It is spread over 3217 acres of land and strategically located just opposite M-3 Industrial City. It has especially been designed to cater to the needs of the foreign investors, specifically the Chinese industrialists. FIEDMC’s Chairman Mr Mian Kashif Ashfaq has stated that local investors are also being provided with the same facilities and incentives as the foreign companies.
FIEDMC has been serving as a key government entity in developing and diversifying the economy of Pakistan through the creation of industrial zones. It was formally registered under company’s ordinance in 1984 with aim to foster economic development and has currently undertaken three projects of national importance.
Allama Iqbal Industrial City is connected to M4 Motorway Sahianwala Interchange. FIEDMC believes that within one to two years, more companies would set up there which would significantly increase national exports. This would usher in a new era of industrial development in Pakistan.
FIEDMC has also planned to establish a technical university near Allama Iqbal Industrial City and M3 Industrial City to impart technical education and skills to youth.
The SEZ’s are referred to as the lifelines of Pakistan’s industrial development as once operational, they would be able to create around 2 million jobs. They would also enhance exports and would help in uplifting several other sectors of the economy.