BOI hails Chinese investors for promoting trade, investment ties with Pakistan

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ISLAMABAD, May 9 (APP):The Board of Investment (BOI) on Tuesday appreciated Chinese delegation for visiting Pakistan and the country’s efforts for strengthening the trade and investment ties between the two countries.
A Chinese delegation led by Chairman, Shenzhen Domhke Group Co Ltd. Fang Song Bin visited Board of Investment (BOI) and met with Additional Secretary, BOI Shah Jahan Shah.
The delegation consisted of different sectors including Auto Sector, Hilal Meat and Solar System, said a statement issued by BOI here on Tuesday.
The leader of the delegation appreciated efforts of BOI, for facilitating their visit to Pakistan.
The Additional Secretary welcomed the Chinese delegation, explained about general investment climate of Pakistan and highlighted importance of Chinese investment in Pakistan.
The delegation was given a detailed briefing about Pakistan investment policy, different investment opportunities in Pakistan through documentary.
Additional Secretary, BOI Shah Jahan Shah encouraged Chinese side for their visit to Pakistan.
He explained to the delegation on the Automotive Development Policy (2016-21).
He added that the new Automotive Development Policy 2016-21 had been approved by the ECC in its meeting held on March 18, 2016.
He said the main objectives of the Automotive Development Policy was to facilitate higher volume, more investment, enhanced completion and better quality with latest technology.
The government wanted to creating a balance between industrial growth and tariffs to ensure sustainability of stakeholders,ensuring
consumer welfare,he said.
“We are committed for providing policy consistency and predictability for investors and mid-term review to cater for emerging developments.
He further added that there were two kinds of investment categories.
The first one was Greenfield Investment and the second one was Brown field Investment.
According to Greenfield Investment the installation of new and independent automotive assembly and manufacturing facilities by an
investor for the production of vehicles of a make not already being
assembled/manufactured in Pakistan.
In this category investors would get facility on duty free import of plant and machinery for setting up the assembly and / or manufacturing facility on a one time basis.
Import of 100 vehicle of the same variant in CBU form at 50% of the prevailing duty for test marketing after ground breaking of the project,he added.
The investors to get concession rate of custom duty at 10% on non-localized parts and at 25% on localize parts for a period of 5 years for the manufacturing of cars and LCVs.
According to Brownfield Investment revival of an existing assembly and manufacturing facilities, that is non-operational or closed on or before July 1, 2013.
In this category investor shall be entitled to Import of non-localized parts at 10 percent rate of customs duty and localized parts at 25 percent duty for a period of three years for the manufacturing of Cars and LCVs.
Import of all parts (both localized and non-localized) at prevailing customs duty applicable to non-localized parts for manufacturing of trucks, buses and prime-movers for a period of three years.
After detail briefing the Chinese side shared their information regarding their land which have already been purchased and located in Lahore for the purpose of this project.
They show keen interest in initiating operations in Pakistan regarding Automobile, Hilal meat and Solar system.
He assured the delegation of full support as and when needed.