Khyber Pakhtunkhwa plans three more industrial estates

Published February 14, 2021
The three industrial estates will be launched in Chitral, Ghazi (Swabi) and Bannu under KP's revised Industrial Policy 2020-30. — AFP/File
The three industrial estates will be launched in Chitral, Ghazi (Swabi) and Bannu under KP's revised Industrial Policy 2020-30. — AFP/File

PESHAWAR: The Khyber Pakh­­tun­khwa government is planning to launch three industrial estates in Chitral, Ghazi (Swabi) and Bannu under its revised Industrial Policy 2020-30.

Though initially conceived under the Khyber Pakhtunkhwa Industrial Policy 2016, these projects are now in final stages and would witness groundbreaking soon, according to officials.

An official of the Khyber Pakh­tunkhwa Economic Zones Develop­ment and Management Company (KPEZDMC) said that since July last, the company has performed groundbreaking of three industrial zones: Jalozai, Nowshera extension and Dera Ismail Khan industrial zone.

The official said the company received a total of 371 applications against 556 acres of land for Jalozai industrial estate and Nowshera received 1,359 applications for 1,560 acres.

The official said that Ghazi industrial estate has received 97 applications against 179 acres and Chitral 75 applications against 247 kanals of lands.

He said that despite the delay in launch of Rashkai Prioritised Special Economic Zone due to Covid-19, Century Steel which is owned by Fuzhou Julitaihe International Company (a Chinese conglomerate engaged in manufacturing and sale of iron and steel products internationally) has been allotted 40 acres of land for setting up its factory. The official said the company would invest $50 million and will produce 0.25m tonnes of steel products at this plant, besides employing 1,000 people.

He said the KPEZDMC has given discount amounting to Rs555m to investors in the Hattar special economic zone located in Haripur.

The government has also laid down a solid framework for the province’s industrialisation in the form of revised Industrial Policy 2020-30 which the cabinet approved towards the end of December last year, the official added.

A senior government official familiar with drafting of the policy told Dawn that in contrast to 2016 policy, which was more focused on roping in more investors through incentive package; the revised policy was aimed at industrial growth, revival of closed units and competitiveness.

To foster industrial growth, the policy proposes to set up Rashkai Special Economic Zone and Nowshera Eco­nomic Zone extension, Jalozai, Chitral, Mohmand, Ghazi, Darband, Swat, Buner and Shakas area of Khyber district over next decade. It also proposes to set up two special economic zones under the public-private partnership in the province over the next five years.

The government would also attempt to develop small and medium enterprise and cottage industry.

Regarding closed industrial units, the policy proposes to revive at least 25 per cent of closed units over next five years.

Currently, there were 306 closed industrial units in different industrial estates of the province out of a total of 1,096 units.

To revive these units, the document proposes to explore avenues for joint ventures with foreign and local investors and mapping of these units within six months by relevant agencies, which then will be used to provision of financial and non-financial incentive package to these units.

To boost the province’s competitiveness, the policy proposes to leverage province’s natural resources to make the industrial sector competitive. To achieve this, the government will focus on hydel power generation; mines and minerals; oil and gas; food and beverages; processing and cottage industry.

Published in Dawn, February 14th, 2021

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