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ISLAMABAD, June 18: Minister for Commerce Abdul Razak Dawood said here on Tuesday the production of local television will reach to about 475,000 sets by this year end to help earn Rs720 million revenue.
“And we expect to have Rs1 billion revenue with production going up to 0.6 million TV sets in 2002-2003,” he added.
Speaking at an economic forum arranged by the Associated Press of Pakistan he said that local production of television sets has recorded a big increase that was helping to earn substantial revenues.
“This entire growth led to bringing down the prices by roughly Rs3,000 per set, meeting 85 per cent local demand,” he said adding that there were now 12 manufacturers in the field of TV sets production.
Talking about the new budget, he said that the government did not give any shocks to the industry, “as we want to see the stabilization of our industry.”
He was of the view that budgetary policies contained in the new budget will make the industry internationally competitive.
Dawood also said that the government was working out modalities for arranging leasing facility to manufacturers of five items including TV, AC, refrigerators, washing machines and motor cycles. In the Engineering sector, he said, the cutlery and surgical were the main areas adding there was 25 per cent decline in the duty on stainless steel during the last two years, which provided due safeguard to the local SMEs.
The commerce minister told a reporter that Rs11 billion worth of investment was made in import of textile machinery in 1999- 2000, which increased to Rs22 billion in 2000-01 and in first six months of the outgoing fiscal year the investment is to the tune of Rs16 billion.
To a question, he said lack of confidence between the farmers and mill owners and excess-capacity production had impeded the growth of this sector.
Responding to a question, he said slash in duties on car imports would stabilize the prices of locally- manufactured automobiles.
He also said that inconsistency in policy of exports of vegetable and fruits had built an image of the country as not a reliable supplier.
APP ADDS: Responding to a question, the Minister declared that textile, leather and rice industries have been made internationally competitive to face the onslaught of the quota-free regime under WTO.
Country’s textile industry would not suffer after the abolition of textile quotas from January 2005, he added.
“An important industry —Leather — is now one of the fastest growing industry with no government clutches and import duty protection,” he said, adding that it is expected to record substantial increase in its exports earning.
Dawood said, the Government removed 15% protection provided to the Leather industry in February, 2001 and it is now fully capable of competing in the international market.
He described Rice as third industry which, after the removal of government protection, is fast growing and progressing as international competitor.
