Balochistan to sign economic zone deal with China: official
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QUETTA: Balochistan is set to sign a deal with China Wednesday allotting thousands of acres of land for Beijing to develop a massive special economic zone in the deep sea port of Gwadar, officials told AFP.
The 40-year lease will see the government of Balochistan hand over a 923-hectare (2,300-acre) swathe of tax-exempt land as part of the China-Pakistan Economic Corridor (CPEC), an ambitious $46 billion investment plan linking western China to the Arabian Sea.
Also read: CPEC projects: status, cost and benefits
The contract assigning the land to the China Overseas Port Holding Company is being signed on Wednesday in Gwadar, according to Dostain Khan Jamaldini, chief of the Gwadar Port Authority.
The contract will allow China to build an export zone and an international airport, Balochistan's top provincial official said Tuesday.
“China has asked us to provide land for building an export processing zone and a modern international airport in Gwadar,” Balochistan Chief Minister Abdul Malik Baloch told AFP.
China is also building a road network to link the zone to the airport and a sea port, and the provincial government will provide the land according to their requirements, he said. As part of the wider plans, work on the Gwadar International Airport would start in the next couple of months.
Pakistan is also raising a special security force of between 10,000 and 25,000 men to protect the port. Desperately poor Balochistan has been roiled since 2004 by a separatist insurgency aimed at seeking greater control over the province's rich oil, gas and mineral resources.
Gwadar port, located 540 kilometres southwest of Karachi, was built in 2007 with technical help from Beijing as well as Chinese financial assistance of some $248 million.
But acquiring the land from private owners to build the economic zone took several years and cost the Baloch government around $62 million, officials have said.
Also Read: CPEC will help end unemployment in Balochistan, says Chinese envoy
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Comments (56) Closed
Nov 11, 2015 10:47am
Just wow. And see the development in Beloved country Now.
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Nov 11, 2015 10:54am
Good luck and I wish this brings economic prosperity and stability in this backward province. One important element that should also be eliminated is the existence of this big land lords, who were given this land by BRITISH RAJ. Some thing should also be done to take this land from these people and distribute it to make better use of this.
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Nov 11, 2015 10:56am
I hope it proves beneficial for Pakistan and particularly the people of Baluchistan.
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Nov 11, 2015 10:59am
The Govt.should have imposed at least 1.0 percent tax instead of giving all free.
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Nov 11, 2015 11:01am
Pakistan is changing. We have seen worst days and now it's time to touch glory.
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Nov 11, 2015 11:07am
Finally our Balochi brothers will see the much needed development and progress.
Love to Balochistan, from Sindh.
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Nov 11, 2015 11:12am
Inshallah now everyone will rush to Gawadar instead of Karachi !!
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Nov 11, 2015 11:20am
this is great way to develop Baluchistan
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Nov 11, 2015 11:40am
Great.
Jobs for Baloch, and that will also bring housing sector constructions, roads, medical facilities, schools and most importantly PEACE. Give fair share of profit from projects to Balochistan. Remember Baloch are great and patriotic Pakistani's.
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Nov 11, 2015 11:44am
the international airport will n can be used by international airline..there will be option for overseas ppl to land in gwadar instead karachi...less burden on kch airport..plus ppl frm balochistan can work in new busy gwadar city..im sure the lorry contena drivers will be pakistani for chinese companies..so thousands of job opportunities at port n airport...gwadar will be new karachi..its good..balance...balochistan will prosper..
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Nov 11, 2015 11:51am
@Mr. Mirror for CPEC to become successful Pakistan needs to invest heavily on human capital. This is most fundamental basis for any project to be successful. Secondly it needs to ease economic polices. Otherwise international companies will start in Iran free trade zone close to Chabahar which is direct competitor's to Gwadar. Pakistan needs to live up to the competition to survive and just cant expect to get benefits without hardwork.
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Nov 11, 2015 11:54am
ok, so Balouchistan is the future. Good time to invest in Land right now.
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Nov 11, 2015 12:12pm
Now the young Baloch generation must stop listening to the tribal chiefs and help government of Balochistan in the developmempnt of the province.
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Nov 11, 2015 12:19pm
And after 40 years, Gawadar would be another Hong Kong, Singapore or Dubai just at the center of the world. Pakistan is now heading towards prosperity and progress. All out efforts should be adopted for the security of Chinese officials in Gawadar .
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Nov 11, 2015 12:26pm
I don't like Chinese investment. Chinese investors are notorious for bringing everything from China (including employees) rather than creating and developing local industry or human resource hence it is less beneficial and unsustainable. Pakistan should look ahead of China and Turkey and get western investors and force them by contract to develop local HR and industry creating more local jobs hence country's skill level will go up.
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Nov 11, 2015 12:31pm
Good move B-2. It will provide much needed jobs to the area.
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Nov 11, 2015 12:36pm
@Salman from Lahore True, Chinese bring almost everything including employees from China, but they have to consume food, and eat it along the corridor as well, plus use the fuel and electricity, which hopefully they will generate and share it with neighbours.
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Nov 11, 2015 12:42pm
This is why we Love NS....
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Nov 11, 2015 12:44pm
@Salman from Lahore why not you arrange some foreign investment. Do you think we never tried?
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Nov 11, 2015 01:03pm
At this rate of growth Pakistan will far surpass other countries in rate of growth and prosperity, in few years Pakistan will be in top nation in economic and military prowess next only to China and US.
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Nov 11, 2015 01:11pm
@Salman from Lahore yeah we have nothing that is the whole point they r bringing it in to give it to us . Any every company signs per centage of employees they will recruite locally it's literally not possible to not recruit locally. It's usually 20 percentage from their own country
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Nov 11, 2015 01:17pm
Our Baloch brothers will InshaAllah get their rightious part what they have been deserving.
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Nov 11, 2015 02:16pm
Is the land being provided free of cast. If it is leased is there any annual rentals to be paid by china. If not how pakistan is likely to be benefited by this lease. There is no harm in having Speaial Economic Zones. But for real return you need to invite international bids. Good luck.
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Nov 11, 2015 02:20pm
@Salman from Lahore Pakistan will earn billion of dollars as royalty. On the other hand, along the corridor will be set up industrial areas, fuel pumps, Hotels and motels all under the ownership of Pakistani citizens. These entities will also promote business and generate income that will eventually make bread and butter for hundreds of thousands of families.
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Nov 11, 2015 02:32pm
Preference should be given to Baluch people while giving jobs in whole Gawadar. This will help them to improve their standard of living and they will feel part of this development process. Not only in lower level but also at higher levels educated Baluchis should be given preference.
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Nov 11, 2015 02:40pm
once this project is finish then importers and exporters can use this facility also
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Nov 11, 2015 02:50pm
This is way to move forward. Future of Balochistan is bright & so of Pakistan.
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Nov 11, 2015 02:55pm
@Salman from Lahore
No other country is willing to make such big investment in Pak at least for the moment.
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Nov 11, 2015 02:58pm
I solute this wise decision of Balochistan govt, that will change life of common Balochs for good.
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Nov 11, 2015 04:49pm
Point is not to throw Gwadar away for peanuts. Atleast struck a good deal in interest of balochistan/Pakistan. Have you guys read the size of land they are giving.......Chinese will make all the accommodation/hotels inside the facility. They are really good in playing cost saving.
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Nov 11, 2015 05:23pm
I'm sure it will be a win-win cooperation. China and Pakistan are brothers
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Nov 11, 2015 06:24pm
That is over 9 square kilometre - which us a HUGE amount of land. Do anyone know what China is going to use this land for? It is not exactly highrise and a beautiful skyline we can expect right? I suspect industrial waste ground. Anyone care to comment?
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Nov 11, 2015 06:33pm
good luck
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Nov 11, 2015 06:38pm
@Salman from Lahore Very true! For the enthusiastic commentators, I would like to point out the "Sandak" project. Sandak copper deposits comprise of three sites. One of the site has better quality ore and the other two have moderate to low quality of ore. The idea was to process a blend of the three therefore making the production economically feasible. Guess what? the Chinese have depleted the purest site and made the profit. Obviously many were paid to look the other way when all this was happening. Now rest of the deposits are economically worthless.
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Nov 11, 2015 06:48pm
Since when provinces are independent in Foreign Affairs?
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Nov 11, 2015 06:49pm
@Salman from Lahore
Chinese may be our friends but they well know about the half hearted dedication of our employees which may not match with their expectation. More importantly our internal terror group do not aspire confidence. I do however agree that in this long project more and more employees should be from Pakistan and Chinese do say that CPEC will boost employment from Baluchistan which sounds good.
I will not blame Chinese to keep various projects, CPEC or non CPEC directly under their eyes. This would mean that they will be directly responsible for any failures rather than blaming our corrupt contractors. Take for example what has happened to the very costly 50 BN metro project in Pindi...poor work is already showing not only in quality of construction but also the planning (flooding risk was not taken into account). I have no doubt that a lot of this money went into pockets of the corrupt elements whom our unsuspecting simple people voted into power.
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Nov 11, 2015 06:56pm
@Zak
Fighting other people's wars in our neighbourhood along with "do more" mantra we have ruined our economy and lost peace. Once we can overcome our damage, eliminate terror groups and ensure safety of foreign investors Pakistan will begin to show signs of prosperity for its common people. Until the first Afghan war our per capita was better than the Indians and there is no reason why we can not achieve that again.
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Nov 11, 2015 07:05pm
@Salman from Lahore : You are right but your tone is not diplomatic. See what Japan offers in its "Grants" under JICA, to other countries. Like their free gift to Pakistan of Flood Warning System was a failure because, all spare parts and training was to be obtained from Japan at exorbitant cost. Besides, it made Pakistan perennially dependent on Japanese inputs. It makes the initial grants just baits for catching the bird that lays gold-eggs, for ever.
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Nov 11, 2015 07:10pm
@Red
Gestures like"we are brothers; sweeter than honey and deeper than sea" are good as long as they are understood in the right context. Countries are only drawn closer when their interests converge and they have something to benefit from each other. Hopefully stakes like CPEC along with geopolitical factors will keep the two countries working together for long.
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Nov 11, 2015 07:39pm
@Kandhkoti; Agree but it all depends upon peace in the area. Let hope that the Govt. makes wise decisions and finds a solution to the issue of Balochistan. Baloch are not against development taking place in their province, but what they want is having ownership of the province in the hands of Baloch people. The Baloch Nationalists often quote the example of Karachi, which has a population of around 16 million, mainly composed of people from other areas, who migrated to Karachi for the sake of job, but utterly changed the demography of Karachi, which was once city of Sindhis, have now become predominantly non-Sindhi city. Since Balochistan is sparsely populated, Baloch fears that with establishment of a mega city at a parallel level of Karachi, will relegate Baloch people to a minority people in their own province. Hence, they want that those who come and settle in Gawadar or any other parts of Balochistan area, should not be given the Right To Vote.
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Nov 11, 2015 08:03pm
@Salman from Lahore
Western companies will come once they see progress
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Nov 11, 2015 08:42pm
@Zak
Sure zak hope Pakistan competes with India being the third largest economy after US & china
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Nov 11, 2015 09:53pm
@Appropriate nickname if they are giving away their land to compete with India, I feel it is a bad strategy. The China corridor can in no way increase export and import of pakistan. This facility will mainly be used by Chinese to export and import good. Pakistan can at the most expect to earn transit fee. I don't know whether that has also been exempted. In case yes then China is going to have a free run.
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Nov 11, 2015 10:04pm
@M.Saeed
Im guessing you live in Sindh, where the government does nothing, therefore you feel this is beyond the scope of a provincial govt to do so.
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Nov 11, 2015 10:33pm
@Abhishek we are on the way. First step is to have independent media, who question government on accountability. Unlike in India where the media is the governments mouth piece. 20% Brhamin run businesses own 80% of the indian media. Brahmins are called the ' black jews'. Guess who owns 80% of the western media, yes it is them!
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Nov 11, 2015 10:37pm
The international airport must be manned by pakistanis. Only land routes for chinese. The government must also lay down special laws, for crime, murder, theft by chinese to chines and chines to pakistani, chinese to foreigners etc. the special laws must also be laid incase pakistan feels security threat, when all areas come under pakistan control, like in times of war or foreign funded terrorism. The last word must be pakistans, chinese must accept it. Otherwise it's good going.
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Nov 11, 2015 10:41pm
@Khwarezmi
Look at other nations and ares of how they have developed and 'helped' the local economy and you will see the future here.
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Nov 12, 2015 12:16am
Inshallah every thing will be OK soon.Let the CPEC complete,let the NAB,FIA,complete their goals,let the democracy continue under the strict watch,discipline,stick & carrot policy,control of internal as well as external security .Remember corruption weakens nation both internally and externally,hence establishment fortifies the country by safeguarding it from corruption,it's their duty.
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Nov 12, 2015 12:34am
Such scale of development will breed further local development, and that means jobs for locals and migrants from other provinces. Construction industry in Pakistan is thriving already and there's a lot of money in private hands who are always looking to invest in real estate. Satellite towns around Gawadar's will be be born soon enough and grow rapidly. We are seeing the formation of a very large port city in near future.
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Nov 12, 2015 12:56am
1. Declare Gawadar as tax free port where there is no tax on imports, and it would overtake Dubai's economy in next 5 yrs.
2. Government can levy GST on the industries that will spring up to get billions in revenue.
3. Spend what you earn on education, electricity, water, internet, communication and roads in all the villages and small towns in whole of western Pakistan.
4. Deal with iron hand with miscreants. Provide security at village and town level.
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Nov 12, 2015 01:11am
@Arslan we are waiting for this since 20 years.
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Nov 12, 2015 05:52am
@Jalbani Baloch Non sense. I think you live abroad. Its akin to saying that people who migrate to other countries like USA, UK shall not be given the right to vote in the country! Can you give one example where it is the case in any developed country?
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Nov 12, 2015 06:09am
@Abhishek completely true
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Nov 12, 2015 01:51pm
@Salman from Lahore It might be true in old time but now China is changing and even they are hiring talent all over the world. So I believe, in addition to other benefits, China will provide job/business opportunities to local population.
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Nov 12, 2015 01:55pm
Alhamdulillah, I got opportunity to travel all around the world and used to meet my beloved countrymen but unfortunately I met very few brothers from Baluchistan. It saddened me. Perhaps reason is less population and minimal education/foreign exposure.
This will open new horizons for the over all development of this beautiful province.
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Nov 13, 2015 04:26am
Good news. Lets hope it brings up more job opportunities and development in Baluchistan.
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