Federal Minister for Planning, Development, and Special Initiatives, Prof. Ahsan Iqbal has said that Special Economic Zones (SEZs) will provide an opportunity for Chinese investments to take advantage of incentives that Pakistan offers to foreign investment with concessions.
“We are working on nine special economic zones. The first Rashakai Special Economic Zone will be inaugurated later this month. Similarly, the other economic zones are also in the advanced stages, in Sindh, Punjab, and Baluchistan,” he said in a media interview during his recent visit to China.
Pakistan, he said, also has a great advantage in low cost of labour. As in China, many industries are experiencing high costs of production due to increased levels of cost and are now moving to Vietnam, Cambodia and Laos.
Pakistan also has a great advantage in terms of low cost of production.
The minister said, Pakistan has a very good infrastructure and then it has the China-Pakistan Economic Corridor (CPEC) framework. So, it becomes a very attractive destination for Chinese enterprises to relocate to these economic zones in Pakistan. About specific Chinese companies who are looking forward to cooperating in this regard, he said, there are many Chinese companies which are coming. Many have invested in Gwadar free zone.
“But, we are now really looking forward to developing our agriculture sector based on new technologies. We are seeking cooperation to upgrade the quality of our seeds so those companies which have research and seed development can help us,” he added.
Ahsan Iqbal said Pakistan is also looking for new irrigation technologies to conserve water and bring efficiency to agriculture, adding, “We are also looking for a food processing industry that has a great opportunity.”
Regarding great opportunity in the mining sector, he said, Pakistan has huge marble deposits, which can be tapped with new technology and similarly, Pakistan has other mines like lithium and other material which is used in electric vehicles. “So, we can develop that.
He said Pakistan is also looking for joint cooperation and technology, particularly information technology. Pakistan has a young population with very good IT skills.
“Many Chinese technology companies are shifting to Pakistan to take advantage of the low cost of human resources and high skills that our young population has. So, I think agriculture, industry, mining, IT, energy sector all these areas are very promising for Chinese enterprises to invest in Pakistan,” he added.
The minister said big Chinese real estate companies can come and invest in the housing sector and added, “We have a huge shortage of housing so they can come and address urban housing issues with investments.
We are offering very attractive terms for public-private partnership.”
