Chinese Ambassador Yao Jing has said that the China-Pakistan Economic Corridor (CPEC) will play a key role in the economic revival of the country, and the projects under it will lead to future economic growth. A delegation of 28 Chinese business enterprises, led by Chairman of Council for Promotion South-South Cooperation, Lv Xinhua, is in Pakistan to explore various investment opportunities in Pakistan, in light of CPEC. The Chairman was the Chief Guest at the event.
While addressing the Pakistan-China Trade and Investment Forum in Islamabad organized by Federation of Pakistan Chambers of Commerce and Industry (FPCCI), Ambassador Yao Jing reiterated Chinese commitment in Pakistan’s bright future saying Prime Minister Imran Khan’s vision of ‘Naya Pakistan’ aims at making the country a stronger economy in future and China supports Pakistan in its economic revival through projects like China Pakistan Economic Corridor (CPEC).
On the occasion, Chairman of Council for Promotion South-South Cooperation (CPSSC) of China Lv Xinhua who was leading a delegation representing 28 Chinese business enterprises and a total of 40 entities was the chief guest on the occasion. He is in Pakistan to assess and interact with the local business companies, officials of the BoI and Ministry of commerce & trade etc.
Chairman Board of Investment (BoI) Haroon Sharif presided over the forum. In his welcome address FPCCI senior vice president said FPCCI is the apex body of entire trade and industry of Pakistan and is actively pursuing CPEC Development Agenda. The forum was participated by a large number of Chinese business companies and entities working in China as well as Pakistan.
Chairman BOI Haroon Sharif while welcoming the Chinese business and trade delegation said Pakistan a young market of 200 million offered much promise to the Chinese companies. Prime Minister Imran Khan, he said, himself is taking feedback on CPEC and its various stages. BOI has set up a dedicated unit only to look after the Chinese friends, traders and businessmen, he announced. Admitting there are some difficulties in starting business but he assured very soon they (Chinese companies) would see a marked difference.
He said Pakistan offers huge trade, business and investment opportunities to Chinese business companies and enterprises and its special economic zones (SEZs) are open to foreign companies and entrepreneurs who can safely invest there with tax exemptions and other concessions by the government of Pakistan.
He said there were immense opportunities and countless incentives under CPEC that include one-time exemption from duty and taxes on import of plant and machinery for developers and enterprises. it also includes five-year tax holiday on income accruable in relation to the development and operation of the SEZ for the developer. The tax exemption also includes ten-year tax holiday for enterprises on income accruable in relation to the production and operations started by June 30, 2020 and thereafter tax holiday for enterprises would be admissible.
Chinese government stressed on more economic and commercial ties with Pakistan. China Pakistan Economic Corridor (CPEC) has now been translated into a physical form. The more cooperation between private sectors of the two countries will lower the manufacturing cost.
A day later while addressing Pak China business opportunity conference organized by Rawalpindi Chamber of Commerce and Industry (RCCI) Chinese Ambassador Yao Jing said that the time has come for joint ventures and cooperation between the private sectors of the countries. Both countries are enjoying great friendly relationships and we need to explore more opportunities. Chinese government is encouraging its private sector for more collaboration with Pakistanis companies. He appreciated RCCI efforts for promoting trade and business activities in the region. He expressed hope for more business to business meetings in near future.
Lyu Xinhua, Chairman of the Council for Promoting South-South Cooperation (CPSSC) and Former Vice Minister of Foreign Affairs of People’s Republic of China also addressed the conference. Chinese investors are keen to invest in energy, Cement, electricity, environment protection, textile and chemical sectors, he said. CPEC offers immense trade and business opportunities to the enterprises and business entities of both countries and through this mega project more incentives and initiatives will keep flowing for the good of the entire region, he added.
Earlier, President RCCI Malik Shahid Saleem in his address said that we recognize CPEC as a game changer and we strongly believed that joint ventures with Chinese Companies will usher new avenues of cooperation and improve our trade ties. The joint ventures between Chinese and Pakistani companies will increase the ownership of the key stakeholders, he added. The more we have local ownership in the projects the more it will be successful.
He said Pakistan’s economy offered great potential to Chinese investors for joint ventures and investments. He said CPEC would be mutually beneficial for Pakistan and China and would ensure level playing field for the businessmen and investors of both countries. B2B meetings were also organized on the occasion where business representatives from the private sectors got a chance to meet their counterparts in respective fields.
It is pertinent to note here that in a separate interaction with business representatives of Islamabad Chamber of Commerce and Industry, Yao Jing,has stressed upon the local business community to take active participation in CPEC projects as it offered them great potential to maximize business prospects from this historic mega development project. Yao Jing said that Pakistani private sector should gear up for joint ventures and investment in the Special Economic Zones (SEZs) being established in Pakistan under CPEC project as SEZs would offer them good scope for JVs and partnerships with Chinse counterparts.
He said China has achieved fast economic development and Pakistan should take benefit from Chinese experience for accelerating its economic growth by developing close cooperation with China. He said the trade balance between China and Pakistan was heavily in favor of China and Pakistani business community should step up efforts to further improve trade and exports with China. He assured that he would like to work with ICCI to promote strong connectivity between the private sectors of China and Pakistan.
In recent days Ambassador Yao Jing paid a visit to visited Rashakai Special Economic Zone. A statement issued in this regard stated that Ambassador Yao Jing visited on site facilitation centre of Rashakai SEZ. He was accompanied by officials of the Economic Zones Development and Management Company (EZDMC) and China Road and Bridge Corporation (CRBC). He was given a briefing on the location plan, field studies and approach road of the zone.
Yao appreciated the location and stressed on the importance of RSEZ in China-Pakistan Economic Corridor. Earlier, a joint venture agreement between the EZDMC and CRBC to develop 1,000 acres Rashakai SEZ was signed by the company’s CEO Saeed Ahmed and senior management of CRBC in Beijing in Nov 2018.
It said that the SEZ would be a modern economic zone offering excellent infrastructure and amenities to the industrialists. According to the agreement, CRBC will be responsible for marketing the zone locally and internationally. As part of its marketing efforts, it is in advance stages of inviting local investors and Chinese large-scale manufacturers to invest in the zone.