PESHAWAR: Khyber Pakhtunkhwa Governor Sardar Mahtab Ahmad Khan on Thursday directed the Fata Development Authority (FDA) to take coordinated steps without delay to ensure the early establishment of five industrial estates in the region.

The directions were issued during a meeting of the Committee on the Accelerated Economic Development of Fata here.

The meeting was attended by former KPCCI president and Senator Nauman Wazir, TACCIKP president Shahidur Rehman, former federal secretary Salim Khan Jhaghra, adviser to the chief minister Dilroz Khan, former KPCCI president Riaz Arshad, Javed Khattak of Smeda, Haji Mohammad Afzal of Ashraf Ghee Industries, FDA chief executive Dr Fida Mohammad Wazir, planning and development secretary Shakil Qadir, Fata secretary (social sector) Tariq Khan and additional secretary (Green FIFA) for Fata Abid Wazir.

A statement issued here by the Governor’s House after the meeting said not only the governor directed FDA to take steps to materialise the establishment of five industrial zones identified by the committee for the larger interest of the tribal people but he also issued directions for the provision of Rs10 billion to FDA for accelerating developmental initiatives in the region.

The governor also ordered workable resolution of all issues related to the establishment of small industrial estates in Fata by devising a proper mechanism for both the government machinery and private sector.

Governor also says Rs10bn should be given to FDA for uplift initiatives

He said the FDA role was important and therefore, it should be turned into an enterprising institution.

The relevant officials told the governor that the FDA would establish five industrial estates at feasible locations in the north, central and south Fata for indigenous resource based mining and agro based industry.

According to them, the land lease given to industrialists will enable them to fulfil loan conditionalities set by banks.

Moreover, any private limited company having more than 10 acres of land and employing 100 workers will also enjoy all facilities and exemptions as in five designated industrial estates.

The officials told the governor that Fata would be divided into three zones, including most effected zone, moderately effected zone and least effected zone and in all the three zones economic incentives would be given according to the zone specification.

They said Fata was constitutionally a sales and income tax free area but practically those taxes were charged at important stage and also when goods manufactured in Fata entered the settled area markets.

The officials said no customs duty would be taken on machinery imported for the industrial units located in the designated industrial estates of Fata and more than 3MW industrial units located anywhere in Fata even not in the industrial estate.

They said all goods made in the designated industrial estates and certified by the FDA would not be termed as smuggling and would be permitted to enter the settled area of the country and sold without imposition of sales tax without deduction of withholding income tax.

The officials said a speedy mechanism was being streamlined and prioritised for security of investment and investors in the tribal belt.

Published in Dawn, April 24th, 2015

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