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Automobile industry THIS is in response to Ms Asma B. Akhlaq’s letter “Automobile industry” (May 30). I commend her for her defence of the local automobile industry. However what she calls a misinterpretation of facts in my letter (May 20) is merely a difference of perspective. While Ms Akhlaq seems to share the auto industry’s view of how bad they have it in Pakistan, I hold an independent economist’s perspective that they never had it better. My letter did not say that the auto industry had not invested in Pakistan although cumulative historical data of the type given by Ms Akhlaq often needs to be deciphered, interpreted and time periods clarified and projections are often subject to huge changes. My contention is that investment made by the local car-makers in Pakistan in the last few years is not from their own foreign sources. That it is recycled money from the tens of billions of rupees (hundreds of millions of US dollars) in advance payment that local car-makers hold, at any given time, from the disempowered car buyers of Pakistan. These car buyers despite paying large amounts of their hard-earned money, in advance, have to wait for many months for over-priced and poor quality cars. This imbalance in the local car market is because of government policy, which is tilted in favour of car manufacturers who are large multinational companies. This disbalance imposes a high cost on domestic car buyers. The reason most often stated by government functionaries for such liberal concessions to the local car-makers is the lure of large amounts of foreign investment to be brought by them. But if the source of investment made by these car-makers is recycled advance payments made to them by Pakistani car buyers, then there appears to be little justification for such excessive protection to them. By imposing prohibitively high tariffs on the import of new cars which gives excessive market protection to the local car- makers, the government has made them complacent and slow to react. The local car makers and car buyers will both benefit, in the long run, by increased competition brought about by lower tariffs on the import of new cars. If tariffs on imported cars are reduced, supply of better quality and reasonably priced cars will increase, local car- makers will become more efficient and will continue to thrive. In this scenario car prices will fall, quality will improve and immediate delivery will ensure that premiums disappear. Concerning Ms Akhlaq’s statement about problems faced by the local car-makers, these are no different from those faced by car-makers in the rest of the world — who seem to be doing well. No one wishes to deny the contribution of the auto industry to the country. However, every industry in every field contributes to the economy in terms of investment, job creation, government revenue, etc. In return, investors are rewarded with profits. It is government policy to welcome all investors to Pakistan. For every sector of the economy, be it automobile, construction, finance or some other, incentives should be balanced and fair to both the producer and the consumer. In my view the local automobile industry is not balanced — it is tilted in favour of car-makers and against car buyers. I believe this should change. On a positive note, as the automobile market in Pakistan expands to the projected 500,000 cars per year in five years, policy making for the government will get easier, because at 500,000 units the Pakistan car market will be too large for any major car-maker to ignore. The large market size will itself become the biggest incentive for car manufacturers to invest in Pakistan — for to be left out of such a large market will simply not be an option. DR ISMAIL BANA Karachi Karachi violence MONDAY’s tragic incident in Karachi has somehow affected each and every one of us at some deep level. Though I do not know who the innocent people were who lost their lives, I kind of keep relating their condition to mine. Because at least two of those who died at the KFC restaurant were about my age and had just recently begun their careers, a sort of link has been forged between them and me. Early twenties is just the right time for growth, personal development and fulfilment. Carrying wishes and blessings from your loved ones, you gear up to face all challenges, fight for your beliefs and take a leap of faith with sheer commitment and dedication to a cause. The fanatical mob, the irrational and selfish suicide bomber — all have succeeded in stopping nature short. The reason given to these senseless acts of violence always starts from and ends at religious intolerance. We proudly call ourselves an enlightened nation just by being born in Muslim families. Yet how little we know about our own religion and its teachings. Suicide and killing other people fall under the category of criminal offences; yet our madressahs preach young children to kill in the name of jihad. There is a huge contradiction between what our religion really is — a religion of peace — and what the extremist elements in our country have made it for personal gratification and convenience. Whether a person is a Sunni or a Shia, we as humans do not have the right to discriminate against fellow humans. How can we rise to the position of judging people and labelling them as “kafir” and, therefore, fit to be exterminated from the world, when this is not our right at all? True, God has endowed each of us with one or the other of His Attributes — but in very limited quantities, which we are supposed to develop further on our own. Sadly, we have become blood-hungry and try to kill one another on one pretext or the other. Disruptive incidents such as those in Karachi shatter our lives for a brief time and then everyone moves on to mend their lives together, in order to survive. It is easy for us to forget all about it and go on with our lives as if nothing has happened. But what about the families where tragedy struck? They can be provided solace, financial aid and we can pray for their salvation, but we cannot give them back the lives that had just begun their experience in a truly bad and mad world. SADAF SIDDIQUI Karachi NBP pensioners DURING the financial year 2003-2004 when the federal finance minister announced a 15 per cent increase for federal government pensioners with effect from July 1, 2003, the National Bank’s board of directors approved grant of a 15 per cent increase in pensions with effect from Jan 1, 2004 instead of July 1, 2003. This deprived the bank’s pensioners of the increase’s benefit for six months. The pensioners resented this and appealed to the bank authorities to review their decision in respect of the effective date: It may be pointed out that the federal government has allowed an increase of 15 per cent in pension for federal government pensioners with effect from July 1, 2003. In para 10 of notification No. 17(9)IF-XI-77 dated 30.11.1977 of the ministry of finance, it was laid down that any changes or revision in the rates on scales of pension or gratuity that may hereafter be made by the federal government shall also apply to officers/executives of the bank, including the State Bank of Pakistan, and financial institutions. The above instruction of the federal government was further endorsed and confirmed by the National Bank of Pakistan vide their instruction circular No. 228 C dated 26.12.1977. Compliance with these instructions is obligatory on the bank and there is no discretion for ignoring their implementation. Pension is not dole money but it is the pensioners’ right as deferred wages. As such, pension must be paid as committed and guaranteed in the bank’s service agreement, and we hope the bank authorities will not disappoint the pensioners and will make payment of 15 per cent increase with effect from July 1, 2003 and 16 per cent increase with effect from July 1, 2004 as announced by the federal government in its budgets for the years 2003-2004 and 2004-2005. KH. ABDUL HAMID NASIR President, NBP Retired Employees Association, Sialkot Region Sialkot ‘Only one earth’ THE environment issue, which is rightly causing so much concern these days, especially in the industrialized world, has at least one positive aspect. It has made us aware that we do indeed live on “only one earth”, that all men and women share both its dangers and exciting possibilities. If this new awareness can give birth to a new sense of a planetary society, it may yet prove to be the key to the new internationalism which will enable the whole human community to avoid the risks and realize the promise with which technological society confronts us. A strategy to avoid a collision between man and his environment, or between man and man because of environment, implies, indeed demands, levels of cooperation beyond anything we have yet known, forms of organization that have not yet been perfected, and political will that is not yet in evidence. Nations will have to recognize that there can be no basic or enduring conflict between their national interests and the interests of the whole human community. The same compelling pressures of broader self-interest that induced man to form larger and larger social and political units in his rise from the family through the tribe, through the village, the town, the city and the nation state must inevitably impel him towards taking his place within the structure of a planetary society. And for him to give his loyalty to this planetary society will modify but need not negate his loyalty to his nation any more than his loyalty to his nation negates his loyalty to family or city. AFTAB AHMAD KHAN Karachi Sino-Japanese ties IT was with much regret that I read a column entitled “Tensions in Sino-Japanese relations” on May 16, by Mr Maqbool Ahmad Bhatty. The author did not, I fear, study all the issues involved in the matter. Second, he did not represent the cases of Japan and China with equal emphasis. Any disputes between nations have more than two aspects. Kashmir is a case in point. Yet this article expressed only one side of the story. China is an important neighbour of Japan and both countries have had a long and complex history of relationship. The writer argued the current tension between Japan and China principally from the Chinese point of view, perhaps for lack of accurate knowledge about Japan or Japan’s view on this complex relationship. For example, one of the issues the writer raises is that of the European Union’s arms embargo against China. The article did not fully take into account the reasons for Japan’s concerns, as a neighbour of China (unlike the EU), on the lack of transparency surrounding Chinese military build-up in the region and military expenditure. Also, in regard to the territorial dispute in the East China Sea, Mr Bhatty completely omitted the fact that it was China and not Japan which first started prospecting for gas in the already disputed area. The article is written in a way that reflects much misunderstanding of facts. An example of this is the way the writer raises the issue of school textbooks. He criticizes Japan for publishing “revised history books that gloss over Japanese atrocities in China such as the “Nanjing Massacre of 1937.” All of the 26 textbooks authorized for history classes in junior high and high schools describe the Nanjing Incident or Nanjing Massacre. It is inappropriate to say that the Japanese people take these historical facts lightly, or try to deny them altogether. Another example of misrepresentation occurs in the writer’s idea of the reasons behind Prime Minister Koizumi’s visit to the Yasukuni Shrine. Mr Bhatty is of the opinion that his visits are advocated by nationalist elements, or precursors for a revival of Japanese militarism. The prime minister’s shrine visit and Japan’s militarism are separate questions. It is an established fact that Japan, after more than half a century of efforts, has been universally recognized as a non-belligerent peace-seeker. Japan has changed completely after World War II. There is no fear of a rise in militarism in Japan, in spite of the fact that views are expressed by some to advocate the revival of militarism in the free and democratic society of Japan. The prime minister’s shrine visits reflect his resolve on, and repentance for, the past and to strive to build a forward-looking relationship with all of Japan’s neighbours. The writer says Japan is not a credible candidate for a role of great power because of its small size and limited natural resources. The current debate on the United Nations reform was started by a report submitted by the High-Level Panel of the Group of Eminent Persons on November 30 last year. The report sets out some indicators for eligibility of permanent membership of the Security Council. Point 249 lists an increased involvement in decision making (in the Security Council) of those countries who contribute most to the United Nations financially, militarily and diplomatically. The report says that members should have made contributions to the United Nations budgets and participated in peace operations and contributed to voluntary activities of the UN in areas of security and development. Indeed, the report clearly states that countries seeking membership should also contribute to the diplomatic activities in support of United Nations objectives and mandates. Given the criteria set out in the report, Japan ranks at the top of all candidates applying for membership of the UNSC. It is our wish that an expert of the calibre of the esteemed writer would be aware of these facts. I hope readers will be able to re-evaluate their opinions based on the facts laid out here. It is particularly regrettable to read such an article as Japan believes itself to be a good friend of Pakistan. The visit of the Japanese Prime Minister, Junichiro Koizumi, to Pakistan in April this year is a clear indication of our good relations with this country. I understand China’s importance to Pakistan and the long history of friendliness between the two nations. Yet Pakistan is Japan’s friend too. I hope any third nation in presenting its views about the dispute between other nations, particularly those of its friends, would do its best to present a balanced view of the issue. NOBUAKI TANAKA Ambassador of Japan Privatization: a better option THE government’s decision to allow the private sector to generate electricity for its own consumptions is a correct one. It is imperative to provide more incentives to investors to invest in new industrial ventures. China is giving electricity free of charge to small and medium industries for a few years, as it is providing employment to the people. The Wapda and KESC managements’ hue and cry over the government decision is understandable, as many of their employees will be deprived of extra income. Both these government-owned organizations have failed to improve their performance and cannot ensure uninterrupted power supply to consumers. Corruption in both these organizations is rampant. The World Bank and the Asian Development Bank have provided billions of dollars in loans to these organizations, which taxpayers are paying back through their noses. Due to the monopoly of these organizations, consumers are being deprived of their right to choose. It is in the national interest that these organizations are privatized and the consumer given the choice to purchase electricity from private power generation companies. S. T. HUSSAIN Lahore Kalabagh Dam THERE is so much venom in Sindh against the Kalabagh Dam project that one doubts if it can ever be constructed. Some people have made it a matter of life and death. It really is a matter of life and death but not in the way that they see it. Only one person is responsible for this state of affairs — Ms Benazir Bhutto. She opposed it vehemently during Gen Ziaul Haq’s period merely because it was Gen Zia’s dam. She wasn’t going to let him take the credit for this mega project. Later on, during her own tenure, she was quite ready to go ahead with it, going by a press interview of Ghulam Mustafa Khar, her minister for water and power. There has been no denial of this disclosure by her legal eagles who are ever ready to take up cudgels on her behalf. On going out of power she did her trademark somersault, because then it became Mian Nawaz Sharif’s dam and now it is Gen Musharaf’s dam. KHURSHID ANWER Lahore Restoring democracy THIS is with reference Mr Riaz Jafri’s letter “Restoring democracy” (June 2) in which he starts off by being apologetic for being pro-Musharraf. Mr Jafri, there is nothing wrong in being pro- or anti-Musharraf but trying to pass the buck on to Prime Minister Shaukat Aziz when the “real” PM (Pervez Musharraf) calls the shots is grossly unfair. Talking about democracy, President Gen Musharraf had promised us real democracy in place of the sham democracy prevailing earlier. Mr Jafri, place your right hand on your chest and confirm in your response to my Ietter that this is what we have today — real democracy. Thanks to our election commission, we have in PM Shaukat Aziz’s team a collection of defaulters and turncoats. Credit for this goes to Gen Musharraf. Let me also add that Karachi appears to be is heading towards a serious law and order situation as we approach local government elections. The MQM and JI are at loggerheads, whereas the majority political party of Sindh and Pakistan has been outmanoeuvred through arm-twisting and manipulation. For this gift to Karachi and Sindh, too, I thank Gen Musharraf. NAZIM F. HAJI Karachi Advertising industry WHY is the advertising industry in Pakistan in the habit of holding late sittings, always telling the clients to hold on, telling the newspapers to hold on, asking the designers to hold on, with disgruntled employees getting no payments for the extra hours, no acknowledgements for the extra work being done everywhere — in Lahore, Karachi, Islamabad and other cities? Where are the employment rules and regulations? Why is it hard for a newspaper to write on an issue so serious, so devastating and annoying for the generations of designers and art directors, and so many families? Is it hard for us to raise the question why advertising is so dull and dead in Pakistan? Does a newspaper really have enough courage to talk about its own ally? I wonder. I think I am a coward as well, just like anyone out there, requesting you not to mention my identity. AN ADVERTISING MAN Via email Another hockey ‘expert’ I was shocked to see the Pakistan Hockey Federation’s director (marketing) giving an expert opinion on the national team’s showing at the Azlan Shah tournament on the PTV’s prime time news bulletin. As far as I know, the PHF official has never been an international hockey player, neither has he a history of being involved in the game as a radio/TV commentator. The only criterion for his “expert comment” on the national TV seems to be his praise for the ex-serviceman now heading the PHF during the last Champions Trophy award ceremony in Lahore which was aired live. PTV should turn to known former players for comments instead of imposing on us the PHF’s hand-picked people. IMRAN AKRAM Lahore Please Visit our Sponsor (Ads open in separate window)
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