TEXT: “Think a hundred times before you take a decision, but once that decision is taken, stand by it as one man”

– Quaid-e-Azam Muhammad Ali Jinnah

Pakistan has come a long way in its recent history to combat the global and socio-economical menaces that have plagued us for decades. We have successfully managed to curb the menace of terrorism that threatened our national security. Our fight against Covid-19 has been well-documented globally and our emergency response program has been recognized as one of the most effective response programs around the world. This is by no means a small achievement especially considering the fact that many countries that are considered to superior than us both economically and technologically are still struggling to control the pandemic within their borders.

And yet, for all the forward steps we have made in battling these immediate threats to our physical security, we have been unable to realize our economic potential. There is now active intent at the government level to promote local industries and self-reliance and encourage manufacturing of goods and services that “Made-in-Pakistan.” But the ever-volatile global economy is constantly putting the local business community under-pressure and creating new hurdles that stall and even derail new investments.

The same level of urgency and focus shown to battle Covid-19 is needed to realize the true economic potential of our country. Our “untapped abilities and potential” now needs “real will” and “true grit” to be harnessed. Now, more than ever, we need to act and take sustainable steps towards becoming self-reliant or forever be doomed to being a country on constant life-support. Only through collective will can this goal be achieved. Now is the time to take a long and hard look at what have we have become, determine what we can be and act to bridge the gap.

Pakistan has untapped greatness:

It may be a cliché but the fact is that Pakistan is a great country albeit an underperforming one. Our potential is far more than what we have shown in terms of business performance or economic output. There is no doubt that Pakistan is facing daunting challenges especially on the economic front. These are extraordinary times when the world is grappling with the challenges posed by Covid 19. We are not alone in facing this difficult situation as many other countries are facing a similar situation.

We can do better just by putting our house in order and introducing sustainable policies and frameworks. This would drastically help us in reducing our dependence on the international lenders, whose dictates erode our nation’s self-esteem as well as our self-confidence.

Steel sector’s potential for exports:

It was very encouraging that the Government of Pakistan introduced a new approach for boosting exports of the country in the recent Federal Budget to stimulate the non-traditional sectors including the Engineering Sector of the country. In recent years, the leading players of the steel sector have made huge investments in enhancing capacity and introduced the latest technology in the country for steel making. The steel sector of Pakistan is willing to make more investments which will help the country in meeting the growing domestic demand of steel and also for utilizing the surplus capacity for exports. However, what the steel industry needs for more investment is the consistency in policies by the Government and a well-thought-out road-map for a time-horizon of the next 10 to 20 years.

The government must give more importance to long steel sector which is the back-bone of the industry:

Historically speaking, the governments of the past and the present has not given the due importance to the steel sector. At this point in time, when our country desperately needs to boost exports, it is imperative to give the due regard to the steel sector. The Government can help the steel sector realize its potential to become an exporting sector by giving the same treatment extended to other exporting sectors of the economy e.g. Textile. There is immediate need to reduce the cost of capital for the steel sector, and also to provide power, electricity & gas on the subsidized cost.

Urgent need for a national steel policy:

A stable National Steel Policy that provides consistency of tariffs structure for the next 10 to 15 years is the need of the hour for the steel sector of Pakistan. The long term road-map of such a policy will be the biggest encouragement to the existing players as well as new entrants which will expand the investments in the country and would help in making the steel sector as a steel exporting sector.

Syed Wajid Iqbal Bukhari | Secretary General, PALSP

Copyright Business Recorder, 2021