12 November 2004	Friday	28 Ramazan 1425

PESHAWAR, Nov 11: Influx of Chinese goods through legal imports has changed the dynamics of shopping malls in the Karkhano foreign goods bazaar, changing complexion of the market, according to trade and business circles.

Known for having been feeding smuggled goods of fine quality and spreading the culture of Bara markets to Punjab and other parts of the country, the Karkhano Market of Peshawar has now become a hub of Chinese goods.

"Gone are the days when the Karkhano Market was full of fine quality foreign goods [smuggled] of the European and far Eastern origins after low quality Chinese products have overwhelmed shopping plazas that make part of the market," said Ibrahim Shinwari, a leading importer of crockery and glass wares.

Legal imports from China to NWFP's markets, particularly the Karkhano's shopping malls, recorded substantial growth during the last couple of years.

Expensive European glass wares, Japanese electric appliances, Korean cloth have lost ground to low quality and inexpensive Chinese goods.

Shops once known for European brands had been displaying Chinese products for two years, according to market sources.

"People are more interested in low-quality goods for being easily affordable," said Mr Shinwari, adding that this change had given birth to a new trend and even effluents preferred to buy inexpensive Chinese products.

This had not only resulted in changing the dynamics of the market which were once known across the country for being a hub of smuggled goods, said trade and business circles, but also given boost to trade and economic activities at micro level.

The boom, said traders, had led to create lower level jobs and given boost to several businesses aligned with the Karakhano Market, including transport and food sectors, and the business of customs clearance agents.

Now there are few shops, according to information gathered from the business circles, in the Karkhano market which offer fine quality and genuine products of the European origin. As majority of the thousands of shops making part of some 20 shopping plazas in the Karkhano bazaar have put Chinese products on sales.

"Ninety-nine per cent of the imports being made through the customs' Peshawar dry port are from China as the low-priced goods have established their domination in the market," said Zia-ul-Haq Sarhadi, a customs clearance agent.

Mr Sarhadi said that even the characteristics of the Afghan Transit Trade had changed a lot because of Chinese products.

"Afghan importers have also started importing Chinese products for their local markets under the Afghan Transit Trade," said Mr Sarhadi.

Importer Shinwari said Chinese products had managed to establish domination over the Karkhano Market because of local traders and Afghan business who were in the import business since long.

Karkhano's importers, he added, took samples of fine quality products, which were high in demand in Peshawar's markets, to China and placed orders with Chinese manufacturing sector to produce their low-quality copies.

"A made-in UK dinner set which we used to sell at Rs14,000 is now replaced by its copy from China which costs customers only Rs7,000 per set," said Mr Shinwari.

Though the change in trend, said market sources, had resulted in more good as far as trade and business activities were concerned, it had also harmed the credibility of the market.

"Now no one can be sure that a branded wrist watch bought from Karkhano is original or a copy manufactured in China on the demand of Karkhano's traders," said Mr Shinwari.