KARACHI, Sept 15: Inaugurating the capacity enhancement facility at the Indus Motor Company (IMC) here on Thursday, the Minister for Industries and Production Jehangir Khan Tareen said that the auto industry was all set to achieve a production of 200,000 units this year, showing an increase of 400 per cent if compared with 50,000 units four years ago.

He said that the government would work with all the stakeholders and develop a long-term policy before the end of this year. He said that the production of automobiles would reach 500,000 units per year by 2012.

IMC chairman Ali S. Habib said that due to enhanced production, the employment had gone up to 1,500 persons while the investment had exceeded Rs1 billion.

APP adds: Talking to newsmen at the inauguration of Pakistan Auto Parts Show at Expo Centre here, the minister said that relaxation in automobile import policy especially under the gift scheme would improve supply position.

He said that the improved supply of automobiles would bring prices down by end of the current year.