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May 31, 2008
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Saturday
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Jamadi-ul-Awwal 25, 1429
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Licence for new tractor causes ripples in industry
By Our Staff Reporter
KARACHI, May 30: Pakistan Association of Automotive Parts and Accessories Manufacturers (PAAPAM) and the local tractor industry expressed their strong reservations in the second meeting of Auto Industry Development Committee (AIDC) where the case for approval of Tumosan tractor of Dewan Automotive Engineering Limited (DAEL) was put up for deliberations.
According to a statement issued by Al Ghazi Tractors Limited (AGTL), the AIDC, after serious concern shown by PAAPAM and the industry representatives, made a categorical decision that a technical committee be set up to ascertain the bona fides of the tractor.
The members sought concrete evidence on the physical presence of the original components, which are a pre-requisite and will be essentially required by the vendors for their local production.
The AGTL statement said that while such a technical committee has not yet been formed, a rather diabolic effort to push the case through a hurriedly called meeting held on May 27 without the presence of the stakeholders was thwarted by the PAAPAM.
Al Ghazi said that its objections were cogent in as an attempt was being made to source 92 per cent local components of AGTL’s tractors, so painfully developed over the past 25 years and to launch a tractor with a new name.
It is inconceivable to develop 92 per cent of the components overnight with the original product, the original components and the original manufacturing drawings.
The AGTL said that Pakistan Automotive Manufacturers Association (PAMA) had also raised similar objections when this proposal was first placed at the Indigenisation Committee of the Engineering Development Board (EBD).
However, chairman PAAPAM Muhammad Aslam Malik in a statement said that the matter of Tumosan tractor had not been tabled in the technical committee meeting on May 27 for the reasons best known to the EDB. However, the meeting discussed various other issues.
He, however, confirmed that an attempt was made to avoid participation of major stakeholders in May 27 meeting and no working paper was issued.
Mr. Aslam deplored the role the EDB in such affairs, which is detrimental to the cause of automotive industry. He urged the EDB to take all the stakeholders into confidence while taking important decisions.
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