KARACHI, July 10 The Export Processing Zone Authority (EPZA) will set up an export zone at Sukkur in collaboration with the Sindh Ministry of Industries to facilitate export of textiles, dates, rice, fruits and vegetables.

Secretary Industries Ali Ahmed would chair a meeting of stakeholders on July 23 to discuss the setting up of the proposed export processing zone which would have all incentives enjoyed by EPZs.

The EPZA and Sindh Industrial Trading Estates (SITE) Limited had signed a MoU for setting up the zone in Sukkur in 1998, but the project became victim of bureaucratic red tapism.

However, the present government revived the project and was very keen to ensure that it should be implemented without any further delay.

The proposed zone would not only boost export of dry dates, rice, fruits and vegetables and cotton but it would also create jobs for locals.

Sukkur Chamber of Commerce and Industry (SCCI) President Abdul Fateh Sheikh informed Dawn that Sukkur produced 10 per cent of the total cotton production and was Asia's largest market for dry dates, which are exported to India, Nepal, Canada and Australia.

He said exports would become more competitive if a dry port would also be established at the proposed zone that would save exporters to travel to Karachi or Lahore for clearance of export shipments.

EPZA General Manager Investment Shahida Qaiser told Dawn that the Sindh government had reserved 200 acres for the proposed zone. She said that the zone would formalise export of yarn, rice and dates and fruits and vegetable and would be the second EPZ in the province after Karachi Export Processing Zone.

The zone would have all the incentives such as duty-free import of machinery and vehicles, sales tax exemption on inputs, gas and electricity, and permission to sell products up to 20 per cent of the production in the domestic market.

However exporters would have to pay one per cent presumptive tax on exports from the zone.
Sukkur is strategically located at the crossroads of Sindh, Balochistan and the Punjab and is usually regarded as the trade hub serving the three provinces.