KARACHI, July 15: Sindh has urged the federal government to allow a 10-year tax holiday to cottage and small industries with a view to promote industrialisation.

Talking to Dawn on Tuesday, Sindh Minister for Industries and Commerce Rauf Siddiqui urged local and foreign investors to come out with plans to set up agro-based industries for which the government would provide land and all other faculties.

He said during his recent visit to Saudi Arabia, investors showed keen interest in setting up agro-based industries in the interior.

There was great scope for setting up juice factories in mango-growing areas and tomato paste units in tomato growing areas. Land has been allotted to an investor to set up a date processing plant at Khairpur Mirs for domestic as well as export purposes.

He said an economic operation wing has been set up at SITE office to provide all facilities, from allotment of land to utility connections on the spot to intending investors.

A complaint cell has also been established to deal with cases of harassment of investors by government departments.

He said he further asked the prime minister and PPP co-chairperson Asif Zardari in a special cabinet meeting to allow investors to set up 200MW power plants to cater to the electricity needs of units in eight major industrial zones in the province.

Presently, the Alternate Energy Commission allows 50MW plants without seeking permission from the government.

He said these power plants would provide a power base to the industry which was facing problems due to interruption in power supply.

Frequent load-shedding has increased their cost of doing business making textile exports uncompetitive in the world market.

Mr Siddiqui said the main emphasis was on development of cottage and small industry.

He said that Sindh handicraft, including Ajrak and embroidered caps, provide great attraction to tourists visiting the province and there is a good international market for Sindhi ceramic and furniture in the world market.

The minister said that he had directed that at every exhibition at the Karachi Expo Centre, two stalls would be reserved for Sindh handicraft so that foreign buyers could place order.

The ministry has designed a liberal land policy to provide land for industries on reduced rates and 10-year installment facility.