PRIME MINISTER MIR ZAFARULLAH JAMALI TO INAUGURATE INTERNATIONAL CONFERENCE ON INVESTMENT OPPORTUNITIES IN BALOCHISTAN TOMORROW

Islamabad, May 07, 2004

The first ever International Conference on Investment Opportunities in Balochistan being organized under the auspices of Ministry of Privatisation and Board of Investment, in collaboration with the Provincial Government of Balochistan, will be inaugurated by Prime Minister Mir Zafarullah Khan Jamali at Quetta tomorrow on May 8, 2004 (Saturday).

More than 250 local and foreign delegates and the top business representatives from China, Singapore, Malaysia, Kingdom of Saudi Arabia, Iran, Turkey, Oman, United Kingdom, United States, Australia and Germany will participate in the various working sessions of the Conference.

The Federal Minister for Privatisation & Investment Dr. Abdul Hafeez Shaikh will deliver his keynote address in the inaugural session while Chief Minister of Balochistan Province Jam Mohammad Yousuf will give welcome address. Mr. Juergen Koenig, MD, Merck Market (Pvt) Ltd Pakistan a German company will share the success story of his company. Mr. Waseem Haqqie, Chairman BOI will deliver vote of thanks.

The conference aims to drive home, the investors who should see for  themselves that Balochistan is a safe haven for investors. More than ten(10) companies in oil and gas are already working in the province of Balochistan.

The Quetta Conference will offer investment opportunities to potential investors both domestic and foreign in Industrial Zones of Balochistan, SME Sector – Opportunities and Incentives, Logistics and Mass Transit: Seaport, Shipping, Railway, Coastal and Land Development, Fuel and Energy, Mines and Mineral, Agro-based Products, Livestock, Fish Farming The coastline of Balochistan extends over 750 kms from Hub near Karachi, to the Gawadar Bay on Pakistan-Iran border. The whole area is rich with a variety of marine life and has long sunny beaches. Coastal towns of Pasni, Jiwani and Gawadar are linked by air with Karachi. Gawadar would be third sea port in Pakistan.

It will provide to help the landlocked Central Asian Economies, including those of Russia and China.

Quetta, the capital of Balochistan, is linked by air, rail and road with all the major cities of Pakistan, Nestling in the picturesque valley between the Dera Murad Jamali and Chiltan mountains, it is located on the cross-roads, leading towards Iran, Quetta, takes pride in producing Onyx, and Onyx-products, and a variety of juicy and dry Fruits.

More than 50 metallic and non- Metallic minerals have been discovered in Balochistan. Metallic ones are Chromite, Copper, Iron Ore, Lead and Zinc, while the non-metallic include Baryte, Marble/Onyx, Gypsum, Limestone, Coal, Dolomite, Calcite, Silica Sand, Building and Engineering Stones Balochistan produces almost all the Onyx of the country. Coal is about 60 percent of the country’s total production. Known reserves of Marble in the Province are around 3 million tons while production of marble in 1999-2000 was 297,264 tons. While Onyx and Granite productions were 34,278 tons and 3,435 tons respectively in the same year. The Chromite extracted in 2001-2002 was 31,195 tons. There are in all 400 prospecting licenses and 250 mining leases granted so far to various concessionaries. The total area under mining is about 600 square miles.

Of the total estimated production of nearly 10 million cubic meters of natural gas in the country, Balochistan produces over 7 million cubic meters. The Sui and Pirkoh natural gas fields in Marri-Bugti area alone account for more than 18 Trillion Cubic Feet (TCP) of proven reserves. The natural gas reservoir Sui was the largest in Asia when discovered in 1952. According to the Geological Survey of Pakistan (GSP) sources, reserves of 19 trillion cubic feet of gas and six trillion barrels of oil are estimated during the offshore exploration in Balochistan.

Balochistan has now several maj0r industrial units in the textile, ghee, pharmaceuticals, gas, and woolen fabrics. The Federal Government has announced special incentives for setting up industries in Balochistan. The Provincial Government has established several industrial estates. Industrial investment has increased very significantly over the past couple of decades.

The Gaddani Ship Breaking Industry is the third largest in the world, employs about 10,000 workers and meets one-third of the scrap requirements of the re-rolling mills in the country.

Water and Power

GOP  has allocated Rs. 56 billion for the development of water and power projects in Balochistan. During the current fiscal year Rs. 53 billion would be utilized for the projects in water sector, wherein Rs. 3 billion would be spent on improvements in power sector. The total cost of the three projects – Kachhi Canal, Mirani and Sabakzai Dams – is estimated at Rs. 37 billion which will be completed by the year 2007, however, Sabakzai Dam would start functioning by 2005.


Transport

The Asian Development Bank (ADB) has decided to offer $ 186.7 million to Pakistan to help undertake an extensive “Balochistan Road Development Sector Project”. The Balochistan road project will improve connectivity and allow better access in the province, and build the capacity and systems for suitable road sector development especially in road maintenance. The project will also improve the efficiency of the national highway, including one major border crossing that passes through Balochistan, and forms part of the priority road transport corridor linking Pakistan, Afghanistan and Central Asia together. The total cost of the project is estimated at $ 267.3 million, out of which the ADB will provide $ 186.7 million.


Chaman Dry Port for Trade with Afghanistan

A dry port for Chaman is being developed while the Pakistan Railways has spent Rs. 52 million for extending the rail tracks.


Agriculture


Agriculture is the major economic activity in the province and contributes over 50 per cent of the provincial domestic product (PDP) of which the Major Crops contributes over 26, Minor Crops 8, Livestock 15, Forestry 0.3 and Fishery 1.5 per cent. Aout 67 per cent of the total labor force is engaged in Agriculture.

Although the total cropped area of Balochistan is 3.8 per cent of the total cropped are of the country (22.76) mha) and yet the province is the largest contributor to the national production of Apples (82 per cent), Peaches (69 per cent ), Grapes (97.6 percent)  Pomegranates (82 per cent), Dates (64 per cent), Almonds (93.5 percent ) and Plums (49 percent) The per acre monetary benefits of the grower are highest in the world, which are roughly as follows: Apple – Rs. 60,000; Cherry – Rs, 50,000 and Almonds- Rs. 60,000. Even without fertilizers the per hectare yield of what in the rain fed area is highest in the country. Balochistan contributes about 45 percent of the total fruit production of Pakistan. The warmer parts like Makran, Kharan, Noshki and Khuzdar are know for Dates which cover about 220,000 acres, Balochistan produced 404, 000 tons of Date in 1998. Balochistan also produces cash crops like Potato, Onion, Melon and Cumin in good qualities,


Livestock


Balochistan is a pastoral area, 80 percent of its population in engaged in sheep breeding and raising other livestock. There are three sheep and goat heads per person in the province as against 0.7 per person on all-Pakistan basis. Meanwhile, poultry population has increased over three times during the last 10 years, as two major poultry complexes are working in the private sector. In the public sector, Balochistan Livestock Development Project and Karakul Sheep Breeding Project are implemented with the assistance of Asian Development Bank and European Economic Community.


Fisheries

Fish culture and fishing are a part of Balochistan’s economy. In 1987,  Balochistan coast fisheries development project was launched to assist fishermen with modern tools and other facilities. Eight years ago, Pasni Fisheries Development project was undertaken with the assistance of Asian Development Bank. For this, Pasni Fisheries Harbour Authority has been set up, Total catch in Balochistan in 2001-2002 was 118,033 metric tons. Fish hatcheries at  the Coastal area are viable because of the favourable conditions.


Cottage Industry


Cottage industry is also a flourishing industry in Balochistan with over 500 units employing more than 4,000 workers, and producing a variety of handicrafts depicting Balochistan’s culture. Handicrafts of beautiful and intricate craftsmanship are produced here the most typical of the region being the exquisite mirror work, embroidery, fine quality precious stones and marble works.