ISLAMABAD, July 16: The government is planning to set up more export processing zones to facilitate exporters to propel exports with an aim to earn more foreign exchange.

Finance Minister Shaukat Aziz said this during a meeting with a delegation of Japan External Trade Organization (JETRO) here on Wednesday. The delegation led by Motoo Yoshioka included Noriko Sato, K. Tamaki, adviser to JICA, and Feroze Khan, secretary- general of Pakistan Japan Business Forum.

The delegation apprised the minister of their problems in the textile sector, including the contamination of cotton, infrastructure, poor ginning of cotton and tariff.

The minister assured the delegation of resolution of all issues and expressed the government’s determination to facilitate foreign investors as well as locals to attract investment.

He said: “Our main focus is textile related industry, its modernization and quality products so that Pakistan could enhance its textile exports. We are also aware of WTO regime that will come into force in 2005.”

“We should gear up our textile industry as the engine of exports and that is the reason Pakistan is focusing on the textile industry. We should prepare ourself to produce world class products to capture more and more markets in the world,” the minister added.

About contamination of cotton, he said if contamination was tackled effectively the growers would also be benefited. He added there should be coordinated efforts to tackle contamination issue in a scientific way and find out the root cause.

The minister said: “We should not compromise on quality, and the government is determined to address the issue amicably and produce quality products.”

JETRO also pointed out mishandling on the part of brokers. JETRO delegation head said that facilities at some ginning units were not sophisticated. The delegation also urged the improvement of infrastructure facilities for the investors.

The finance minister said the government had allocated Rs160 billion for a quality road network. He said rail network was also improved to facilitate the goods and raw material transportation. He said textile industry in Lahore and Karachi needed quality road link so that finished and unfinished textile items could reach in minimum time at the Port Qasim.

The delegation also sought some facilities, including uninterrupted power supply, clean water for textile dying and land at the Port Qasim. The minister assured the provision of these facilities as early as possible.

With regard to auto industry, Finance Minister Shaukat Aziz claimed the auto industry’s had made marked improvement, which is determined to manufacturing 100,000 cars locally during 2003-04. The minister said in 2002-03 total 72,000 cars were manufactured.

He said that the auto industry had provided jobs to 15,0000 people, and generated economic activities in the country.

He said that auto industry’s rapid growth manifested the growing confidence on government consistence policies, leasing facilities to people, consumers financing and timely delivery of cars. He said that demand for local cars was increasing and it would pave the way for car exports including auto parts.

He said motorcycle production target for the year 2003-04 was set 15,0000 which was also a record.—APP