KARACHI ( 2007-01-08 18:23:47 ) :
Prime Minister Shaukat Aziz inaugurated the Daewoo Assembly Plant at Razzaqabad here on Monday, saying he desires to see Pakistan becoming a hub of global engineering products and industry.
The project has been taken up by the Afzal Motors Limited in collaboration with the Korean firm.
Shaukat Aziz said that the project is one more addition to the creation of world class engineering products in Pakistan.
"This is part of our vision to make Pakistan a hub for global engineering products and global engineering industry," he said.
He assured that there would be consistency and continuity in policies.
With co-operation of the private sector the Government will make the policy framework and provide a good, sound economic environment, he said.
The prime minister said it is up to the private sector to build factories, to produce goods, to take technology from wherever they can in the world.
"We are an open society and will produce goods which will sell here and overseas in keeping with the goal to build Pakistan as a modern, enlightened, progressive and peaceful country," he said.
The prime minister described the inauguration of the Daewoo Assembly Plant as a very important day for the country's engineering and transportation industry.
"We are seeing the opening of yet another engineering enterprise which will assemble and manufacture trucks and buses under the Daewoo International label. This is important for Pakistan because we have tried over the years to diversify our industrial base from the traditional industries which are still very important like textile, leather to the engineering industry which adds value, creates jobs and has a greater demand on skills of the workforce," he said.
Shaukat Aziz pointed out that today's venture has a unique feature that the sponsors have got technical assistance from Korea from Daewoo which is known for its technical skills and engineering capabilities.
He was pleased that entrepreneurs in Pakistan are getting the truck and bus manufacturing technology from a global producer of vehicles which will make the country's transportation sector even more efficient and productive.
The prime minister said that Korea, which is a model of economic growth, is increasing its commercial and industrial ties with Pakistan.
He said that there will be a complete transfer of technology at the factory from Daewoo.
As Pakistan progresses "we need to acquire latest technology and this project is a manifestation of the fact that Pakistan and the Pakistanis can do it and that we have the skills to do it."
"We have the ability to handle any technology," the prime minister said.
He said that the technology coming from Korea will be an asset for Pakistan.
The prime minister said that for any growing economy there is need to improve the transportation system.
"Keeping this in mind and with the increasing economic growth in our country which is averaging around seven percent a year, one of the highest economic growth rates in Asia, we have created a demand in every sector," he added.
Shaukat Aziz pointed out that the middle class is expanding and demanding better goods and services. Poverty is coming down and people have more money to spend for a better life style.
He said in the last several years new demand has been created for many different products including transportation.
The prime minister said the present government has looked at the overall transportation industry in Pakistan and has come up with a policy paradigm which will allow the creation of a North-South corridor for transportation which would include highways, world class trucking and bussing facilities. The railway system is being improved and airlines are also developing in Pakistan.
He pointed out that delays and inefficiency in the transportation infrastructure add to the cost of doing business, which the government wants to reduce.
Shaukat Aziz said the project by bringing in latest technology- Euro 1 and 2, and CNG buses-will reduce the cost of doing business and help create a better environment by reducing pollution.
He was pleased to hear that 50 percent of the trucks and buses rolling out of the factory would be locally produced and gradually this percentage would go up.
Shaukat Aziz appealed to the Korean partners from Daewoo to buy parts from Pakistan as best parts are produced here and there is no reason why Pakistan cannot be a preferred supplier of certain parts because the labour here is productive and efficient. The prime minister emphasised the need for more skilled manpower, more polytechnic institutions.
He announced that there is a massive programme for skill enhancement in the provinces and at the federal level so that our youths can learn skills.
Shaukat Aziz said the national trade corridor is a mammoth project which is being developed in co-operation with the World Bank and other donors, which will have a motorway linking Karachi all the way up to Peshawar.
He said many of the old trucks will have to go as we need modern and efficient trucks.
Prime Minister Shaukat Aziz said foreign direct investment (FDI) and domestic investment has been growing. We are growing roughly at 21 percent a year. The FDI has been the highest last year in the history of Pakistan because since President Pervez Musharraf took charge of the country seven years ago we have reformed and have come up with new policies.
He said all decisions are made in the national interest and not in the personal interest and there is no vested interest.
That is why investors are looking at Pakistan as a growing country.
Shaukat Aziz pointed out that recently there was a study of 11 high potential growth economies of the world by Goldman Sachs called the next 11 and Pakistan is proud to be included in the next 11 which tells the potential as seen by the world.
Referring to today's ceremony, he hoped with the growing ties between Pakistan and Korea we will expand our economic relations which are doing well.
"With the opening of this project we will further enhance our commercial and industrial ties," the prime minister said.
Copyright APP (Associated Press of Pakistan), 2007