Sindh grants SEZ status to 3 industrial zonesMarch 17, 2015
KARACHI: The Government of Sindh has been granted SEZ status for three industrial zones in the province namely Khairpur Special Economic Zone, Korangi Creek Industrial Park and Bin Qasim Industrial Park in 3rd meeting of Board of Approval of the Special Economic Zones (SEZs) chaired by Minister Finance, Revenue, Economic Affairs, Statistic & Privatization, Government of Pakistan.
It is inspiring to have this landmark achievement which would reciprocate in setting up of various values addition enterprises within these zones. The upcoming industries will, not only, bring in more investment in the country but also enhance the socio economic uplift in the area through job creation and poverty alleviation.
It is also mentioned here that being the Chairman of Special Economic Zone Authority, Sindh Syed Qaim Ali Shah Chief Minister Sindh had earlier approved the above three Industrial Zones to be recommended to Board of Approvals, Islamabad for the award of SEZ Status which will guarantee the benefits that are offered under the SEZ ACT 2012. The main fiscal benefits under the act of 2012 ensure a corporate tax holiday of ten years for investors and developers as well as duty free import of capital goods and machinery.
The Korangi Creek Industrial Park is being developed on 240 acres of land that is located in sector 38 of Korangi Industrial Area, Karachi. The estimated project cost is Rs.3.8 billion. The project is visualized to bring PKR 20 billion direct investment and contribute PKR 40 billion to GDP and generate direct employment for 30,000 individuals. The park is divided into two zones: a low density zone for industries and a high density zone for commercial sectors. The low density zone will include industrial units of food and pharmaceuticals, garments and textiles, light engineering, packaging and printing, warehousing and logistics.
The high density zone will exclusively promote information technology, gems and jewellery and other ancillary and allied sectors. The Bin Qasim Industrial Park (BQIP) is spread over an area of 930 acres near Port Qasim, adjacent to Arabian Sea Country Club, Bin Qasim Town, Karachi.
The estimated cost is Rs.9.8 billion. The project is envisioned to fetch PKR 50 billion direct investment, contribute PKR 100 billion to GDP and generate direct employment for 50,000 individuals. The project has been designed to cater to the needs of medium and large-scale entrepreneurs aspiring to invest especially in the engineering sector and the steel industry of Pakistan. The proposed industrial clusters under the zone include engineering and equipment, chemicals and food, logistics and consumer goods.
The engineering and equipment cluster includes auto vendors, foundries and steel fabricating units; the chemicals and food cluster consists of pharmaceuticals, food and beverages and chemicals, while consumer goods include plastics, electrics and consumer electronics.
It is worth mentioned here that Sindh is the only province which will have three Industrial Zones with SEZ Status as the Federal government had already awarded the SEZ Status to Khairpur Special Economic Zone (KSEZ) which is the First Industrial Park in the country to have been awarded the SEZ Status under the Act of 2012. It is hoped that with this status to more SEZs, the economic activity in the province will get a booster for more job creation, support poverty alleviation and uplift the socio economic conditions for people.