Brownfield status given to Ghandhara Nissan

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Recently, Ghandhara Nissan has been awarded with the Brownfield status. According to the details available to us, the company said that it had been granted the status and now it will revive its production plant from where it will produce the Datsun cars.

At the end of last month, PakWheels.com reported that Engineering Development Board (EDB) and Board of Investment (BOI) have agreed to grant Ghandhara Nissan Brownfield status as per the Auto Policy 2016-21. The officials of Ghandhara Nissan, last year at a meeting with the BOI, said that they are willing to spend 4.5 billion in the local automobile industry. And if the government doesn’t give them the Brownfield status, it will move to another country. So, it turns out that the authorities have taken the statement seriously and awarded the status to the company.

It is to be noted here that Dewan Daehan Motors has also been given the Brownfield status at the mid of the last month. The government has been giving the Brownfield and Greenfield statuses to different companies under the auto policy 2016-21 to diversify the local market and to attract the foreign automakers. Furthermore, two local companies namely Master Motors and Foton JW Auto Park, owned by JW SEZ, have exchanged harsh words over being given a Greenfield status to one of the companies. Foton JW has been given Greenfield status by the authorities. The official of Master Motors while talking to the media said it is an unjustified move and hurts its business as well. Whereas on the other hand, while responding to the statement made by Master Motors, the official of  Foton JW asserted that it is far from the truth, and they acquired the status after strict scrutiny.

What is a Brownfield Status?

A Brownfield Investment is defined as a revival of an existing assembly and/or manufacturing facilities, that is non-operational or closed on or before July 01, 2013 and the make is not in production in Pakistan since that date and the revival is undertaken either independently by the original owners or the new investors or under joint venture agreement with foreign principal or by foreign principal independently through purchase of plant.

Incentives:

  • Import of non-localised parts at 10 percent rate of customs duty and localised parts at 25 percent duty for a period of three years for the manufacturing of Cars and LCVs.
  • Import of all parts (both localised and non-localised) at prevailing customs duty applicable to non-localised parts for manufacturing of trucks, buses, and prime movers for a period of three years.

Moving onwards, Ghandhara Nissan has also posted its net profit, and according to that the company’s net profit has gone up by 82.19 percent compared to the same quarter of previous year. Moreover, a few days back Master Motors held the groundbreaking ceremony of its assembly plant from where it will assemble and sell Changan’s vehicles in Pakistan.

That’s it from our side, drop your thoughts in the comments section below.


My name is M. Ali Laghari and I love to read and write about Cars.

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