International Investment Conference 2005: Public and private sectors seek investment in NWFP

The public and private sectors of NWFP on Tuesday asked domestic and foreign investors to invest in the province, which offered best possible fiscal incentives. On the second day of three-day NWFP International Investment Conference 2005 five parallel sessions were held on the potential sectors of the province to lure investors for investment in the various sectors with already promising incentives. Special sessions were held on highly potential sectors of hydel power generation, mineral exploration and production, investment in NWFP tourism industry, trade with Afghanistan and investment opportunities and challenges for existing industries.
Giving presentation on power policy and investment potential in the private sector, Private Power and Infrastructure Board (PPIB) Managing Director Zafar Ali Khan said that Pakistan has huge estimated hydel potential of 46,000 megawatt, but the projects in operation are only that of 6,597 megawatt.
He said that projects with the capacity of 1,487 megawatt were under implementation through public sector, while the private sector projects were of the capacity of 1,852 megawatt. He said that the identified untapped hydel potential is 36,000 megawatt.
In NWFP, he said that there are 430 identified raw sites with the estimated production capacity of 12,850MW. The number of up to 50MW potential is 145 and greater than 50MW are 289.
Former Sarhad Chamber of Commerce and Industry (SCCI) president Ghulam Sarwar Khan Mohmand, while giving presentation on trade with Afghanistan said that Peshawar is the gateway to trade with the neighbouring country and the Central Asian Republics.
He said that the situation is totally different in Pakistan and stressed for people-to-people contact for flourishing trade with the war-torn Afghanistan.
He said that NWFP is in advantageous position due to its geographical location and having traditional friendly relations, commonality of history and culture with Afghanistan.
Sarwar said that Afghanistan and its people are no stranger to Pakistan as millions of Afghans have been staying here for more than two decades and are much familiar with the local traditions, culture and more importantly, have been in the trade and business activity since long.
Sarwar, who is also known as expert on trade with Afghanistan, said being a landlocked country, Afghanistan has traditionally been dependent for its trade with Pakistan and Afghan Transit Trade is a case in point.
He said that during the ongoing reconstruction it has become more dependant on Pakistan for services, besides products like cement, reconstruction material, paints, iron, edibles, medicines, sugar, wheat flour and even poultry and vegetables.
He said that Pakistan is a major supplier of services and goods to Afghanistan. Pakistan's last year exports to Afghanistan stood at $1 billion. It shows the vast market potential and offers a huge opportunity of trade and investment to both the local and foreign investors.
He recalled that the SCCI in May 2003 had successfully organised "Rebuild Afghan Trade Fair", which laid the foundation for strengthening bilateral trade relations between both the countries. Memorandums of understanding (MoUs) worth $225 million were signed with Afghan buyers during that three-day long fair.
He said the chamber is organising "Rebuild Afghanistan Trade Fair-II" on the same dates in May this year.
During the session on NWFP tourism industry, federal Tourism Minister Dr G.G. Jamal was the chief guest. He said that the federal government has asked the private sector to frame Tourism Policy. He said that the government is ready to accept that policy in toto.
Terming tourism a multibillion industry, he said that during 2003 the world earned $550 billion from tourism and 715 tourists visited different countries. He said that it is estimated that the income from tourism across the world would increase to $1,550 billion by 2010.
Last year, he said, Pakistan has earned $135 million from tourism, while this year so far $185 million has been earned and it would further increase as the spring season has yet to start.
The federal minister said that the government is making sincere efforts for the promotion of tourism through total public-private partnership. He said that the Tourism Guiding Institute of Karachi would be run on public-private partnership, while another institute would be opened in Swat shortly.
In the session on investment opportunities and challenges for existing industries, Industrialists' Association, Peshawar President Sqn. Ldr Nauman Wazir (Retd) said that the province has investment-friendly environment as compared to other provinces of the country.
He said that the Industrial Policy has been framed after consulting the local businessmen, adding that none of the other provinces provide such lucrative incentives as being offered by the NWFP.