August 10, 2007	Friday	Rajab 25, 1428

KARACHI, Aug 9: Industrialists and traders appear to be nervous over looming political crisis after rumours of emergency or martial law. They have urged the government to immediately remove uncertainty so that businesses could flourish.

Although the government has ruled out imposition of emergency, they said “political confusion is still not over and has taken a new turn after rumors of emergency.”

Many industrialists paint a bleak picture of future foreign trade and investment in case of imposition of emergency.

President, Federation of Pakistan Chambers of Commerce and Industry (FPCCI), Tanvir Ahmed Shaikh, said: “No comments on current political situation when the government has clearly stated that no emergency will be imposed.”

Chairman, Korangi Association of Trade and Industry (KATI), Masood Naqi, said industrialists feel insecure under current political scenario, and perhaps it was the worst situation during the last three to four months.

“Businessmen feel satisfied working under political stability and improved law and order situation. Currently political situation is alarming for last the few months.”

He was of the view that business flourishes in a democratic setup instead of martial law.

He said foreign buyers had already stopped coming to Pakistan for the last four months, and they prefer sending their representatives, based in the Far-East, Middle East, Sri Lanka, Dubai, New Delhi, etc, instead of coming on their own to Pakistan for a quality check of local products destined for exports.

He ruled out any immediate impact on exports in case of imposition of an emergency.

He said its impact would be visible after three to four months and it might result in a decline in exports by 20 per cent.

Chairman, SITE Association of Industry Imran Shaukat, said political situation was definitely not satisfactory, and had resulted in business instability.

“So far, regular foreign buyers are tight-lipped on political instability. But foreign investors will shy away from Pakistan if there was no improvement,” he said, adding the government should take steps to clear political confusion.

He, however, said military regime was not an appreciated form of government in the world today.

Chairman, North Karachi Association of Trade and Industry (NKATI), Faraz Mirza, said imposition of emergency or martial would hit trade and business.

Foreign trade and local business activities had been going on satisfactorily, but again political crisis and hovering clouds of martial law or emergency have created a sense of uncertainty among businessmen.

He said business activities record growth in democratic setups instead of martial law regimes.

The government should resolve issues through mutual understanding; martial law was not the solution of present political uncertainty.

Chairman, F B Area Association of Trade and Industry, Masroor Ahmed Alvi, said it doesn’t matter whether there was a martial law or a democratic government. So far, business has been as usual. Actually smooth business environment depends on good law and order situation.

He said there was no panic among foreign buyers in the wake of worsening political crisis.

Chairman, Karachi Wholesale Grocers Association (KWGA), Anis Majeed, said reports of emergency have created a stir among trading community whose moral had come down.

“Even these kinds of situations are creating doubts among traders for making any future commitment.”

“Emergency or martial law is not good for the country. The government should resolve political chaos and restore democratic atmosphere,” he said.

General Secretary, Karachi Retail Grocers Group (KRGG), Farid Qureishi, said people would not invest if there was an authoritarian regime. Usually business runs quietly in autocratic rule, he added.

He said under a pure military rule, traders remain conscious of making huge profit because of fear of arrests.

He added that trading activities pick up pace in democratic regimes and people make investment.