KP Starts Work On Converting Mohmand Economic Zone Into SEZ

PESHAWAR, (UrduPoint / Pakistan Point News - 13th Oct, 2020 ) :Khyber Pakthunkhwa Government has initiated work on conversion of Mohmand Economic Zone (MEZ) into Special Economic Zone (SEZ) to promote industrialization besides bolstering marble and other related industries in merged areas.

"The conversion process of Mohmand economic zone into special economic zone under China Pakistan Economic Corridor (CPEC) has been initiated to promote SMEs and marble industries in merged areas," an official in Industries and Commerce Department told APP on Tuesday. Three different industries would soon be made functional in MEZ and proposals in this regard were being finalized.

Extension project of Nowshera Economic Zone comprising 76 acres land is ready for commercial launch with a capacity to generate over 12,000 job opportunities besides an expected investment of Rs1.6 billion for the country, he informed.

Development agreement on Rashakai Special Economic Zone (RSEZ) had been signed that would likely to generate employment opportunities for over two lakh youth and skilled labour besides attract a huge foreign investment under CPEC, he said, adding the groundbreaking ceremony of RSEZ is expected this year.

Rashakai SEZ is holding a unique competitive advantage due to its proximity to first juncture of CPEC route, close location with Peshawar Airport, ML-I and was directly located on Peshawar-Islamabad Motorway besides a significant manufacturing base in the entire region.

Conceptualized by KP Economic Zone Development and Management Company (KPEZDMC), Rashakai SEZ is a flagship project of KP Government that would be established on 1,000 acres land with collaboration of China in Nowshera district to bolster industrialization in the province.

Rashakai SEZ would be developed in three phases. The total area designated for Industrial use is 702 acres and as per Federal SEZ Areas Regulations, 159 acres would be developed in Phase I, 279 acres in Phase II and 264 acres in Phase III besides 76 acres land was allocated for commercial purposes.

Memorandum of Understanding (MOUs) of Rashakai SPEZ has been signed during KP-China Road show in April 2017 and Concessional Agreement with China Road and Bridge Corporation (CRBC) has been inked by KP Government to ensure its speedy development on modern lines.

RSEZ had been awarded SEZ status on August 6, 2019 before its Concession Agreement was signed in April 2019.

On September 14, 2020, Pakistan and China signed the historic Rashakai SEZ Development Agreement in Islamabad, paving the way for construction of the mega CPEC project in Khyber Pakhtunkhwa.

While referring to production of different manufacturing units during 2017-18, the official said 41,148 tons cement were produced in Pakistan and 12,405 tons in KP with 30.15 percent share of the latter.

Similarly, 6,566 tons sugar in the country and 202 tons in KP were produced besides 1358 tons vegetable oil in the former and 218 tons in latter with 16.05pc KP's share.

Regarding total mineral production during 2017-18, the official said 97 tons chromites were produced in Pakistan and 59 tons in KP having 60.82percent share of the KP besides 4478 tons coal in the country and 460 in KP and 142,000 tons soapstone in former and 141 in latter.

Likewise, 2,476 tons gypsum were produced in Pakistan and 756 tons in KP besides 70,818 tons limestone and 180,65 tons in KP and 23,596 tons magnesite in the former and only four tons in latter respectively. A total of 8,813 tons of marble in Pakistan and 6,927 in KP were produced besides 3,654 rocksalt in the country and 79 in KP and 376 tons in former and 36 tons in KP during 2017-18.

The official said feasibility study for establishment of a centre of excellence in mining processing technologies had been presented to Pakistan China Joint Working group. He said seven industrial facilitation centres were made operational while all zonal offices of Khyber Pakhtunkhwa Economic Zones Development and Management Company (KPEZDMC) were turned into industrial facilitation centres to facilitate investors.

All industrial plots of Jalozai Economic Zone had been sold out and around 41,000 direct and indirect job opportunities besides investment of Rs 6.3 billion were expected under the project. Similarly, over 50 private enterprises using Tourist Information Management System were developed and investment facilitation authorities were established.

University of Technology, Nowshera has been strengthened with state-of-the-art accommodation facilities to facilitate students and a spacious building were allocated to accommodate about 150 students besides 32-seater bus for provision of transport facility for students.