KARACHI: Indus Motor Company (IMC) Chief Executive Officer (IMC) Parvez Ghias has said that the industry wants trade with India, but the government should not open the floodgates to such an extent that it proves detrimental to the interest of the local auto industry.

“There has to be a win-win situation for the both countries,” he told Dawn on Saturday, adding that local car manufacturers have no objection for import of raw material, jigs and fixtures, machinery, etc.

Comparing production of Toyota Corolla of India with Pakistan’s, IMC CEO said: “We produce more Corollas than India whose annual production volumes are about 8,000 units.”

In this scenario, “We will be interested in seeking an opportunity to provide its parts to India,” he added.IMC can produce up to 50,000 Corollas per year but currently it is assembling over 30,000 units per year.

When asked if IMC was looking at introducing low engine power cars in Pakistan, he ruled out the possibility any time soon.

He added that auto industry works on long planning cycle and at this stage “we have not signed off on any feasibility that will give us a new product in the next two to three years.”

Chief Operating Officer IMC Ali Asghar Jamali said that the year 2014, especially its first half, may prove better due to new corporate and MNC buying, positive agriculture indicators and good support prices of various crops, coupled with slight improvement in car financing by banks.

He hoped that the share of car financing through banks would improve to 21-23pc from current below 20pc of total car sales.

Commenting on the recent Pakistan-India trade pact, PAAPAM chairman Usman Malik said that the government had already been asked to give at least four to five years to the domestic industry before phasing out the negative trade list with India.

Pakistan’s auto industry is not prepared for phasing out negative list as our government has not carried out administrative and organisational changes in their internal systems, for gearing up to the onslaught of Indian products.

He recommended the government to allow import of raw material, inputs, machine tools, machinery and equipment and other set of products categorised under industrial inputs through land route.

It is appreciable that minister has given assurance that auto and pharmaceutical sectors and agriculture items would be fully protected as India was extending massive hidden subsidies to its different sectors and allowing import of those goods would have a negative impact on local industry, he said.

Moreover, Pakistan’s exportable items inclusion in the reduced tariff lines is also vital as balance of trade between the two countries is heavily tilted in favour of India, which requires to be turned into a win-win situation for both the countries.

Usman said Pakistan’s auto part manufacturers exported to different parts of the world, but they could not ship their products to India because of non-tariff barriers.