KARACHI, Sept 13: The issue of import of CNG buses of Indian origin from the UAE took a new turn on Thursday when Pakistan’s commercial counsellor in Abu Dhabi confirmed that the CNG buses detained by the Customs had been manufactured in UAE.

In response to a Federal Board of Revenue query about the origin of these buses, the Pakistan’s Commercial Counsellor in Abu Dhabi, Bilal Khan Pasha, stated that these buses were manufactured by the Trans-Continental Industries (TCI), Abu Dhabi.The counsellor said that the TCI, established in 2004, had been manufacturing public utility vehicles with an installed capacity of 300 buses per annum.

He further stated that the TCI was situated in Mussaffah Industrial Area and was the only bus manufacturing factory in UAE.

He also confirmed that since its operation in March 2006, it has, so far, manufactured 75 buses and around 20 units are presently under production.

Mr Pasha also informed the customs authorities in Karachi that the TCI brand of buses is called “Oryx” which is their registered trademark in the UAE. Therefore, the Pakistan embassy’s commercial section, Abu Dhabi, confirms that the said buses have been manufactured by M/s TCI, Abu Dhabi.

He further stated that commercial invoice provided by the customs had been verified both by M/s Ashok Leyland, Sharjah and the TCI.

With regard to the constituent parts of the body of the buses, the Pakistan embassy official provided a break-up along with his reply to customs authorities.

Mr. Pasha categorically stated that the engine of the buses was from Hino, but was shipped to India to transform it into a CNG engine.

About value-addition and use of components and parts from other countries, which determine the origin of manufactured goods, the commercial counsellor said in value terms the contribution of Indian parts in the green CNG buses ranged between 30 and 35 per cent only.

The assembly of the whole body parts is, however, done by M/s TCI, he added.

To a query as to why M/s Ashok Leyland is the shipper/exporter of buses, instead of TCI, the management of the TCI admitted that it was a technical mistake and would not be repeated in future consignments, he added.

Ahmad Shabir, CEO of Swede-Bus Pakistan Ltd, who imported the buses, told Dawn that in the past they introduced a Green Bus Service in Karachi. These buses were environmental- friendly as they were installed with Euro-2 engines. However, the urban transport bus service introduced by them under the Karachi Public Transport System had to be stopped owing to a sharp rise in diesel prices.

He said when the bus service was planned, diesel was priced at Rs19 per litre, but later its price jumped to Rs39 per litre, which was about 100 per cent higher.

He said since the government did not allow the company to revise bus fares and also did not pay the promised subsidy on an investment of Rs180 million, the Green Bus Service had to be stopped.

Responding to a question, he said the Green Buses, numbering around 32, were parked in a city depot. However, he said his company plans to introduce 250 dedicated CNG buses in the city under urban transport system.

Mr. Shabir said that air-conditioned bus service was popular amongst the middle and upper-middle class commuters as it provided them a respectable and comfortable travel.

He refuted local assemblers’ claim that they were manufacturing dedicated CNG buses and added that Hino Pakistan tried to convert one bus by installing CNG kit about three years back, but it failed to sell it in the local market.