"If we are to take advantage of technology, a trained workforce is not a luxury but a need, hence enhancing the technical skills of our workforce is an investment and this government is doing its best in this regard", he said while speaking at a ceremony to commemorate the silver jubilee year of Pak Suzuki Motor Company, inauguration of the new product "A Suzuki Cargo Van" and to celebrate the production of 1,000,000 vehicles, here on Saturday.
He said that although the government has focused on the improvement of traditional exports like cotton, rice, textiles, however the government is equally aware of the importance of exploiting the potential that exists in non-traditional sector. The Engineering goods are quite significant amongst non-traditional items and undoubtedly offer promising prospects for exports. Therefore the capital machinery, light engineering goods and engineering consultancy services offer great opportunities for export mainly to the Middle East, Africa and neighbouring countries, he added.
The Prime Minister said that Pakistan has extremely cordial and valuable relationship with the friendly country of Japan. It is largely due to this bond that Suzuki Motor Corporation has in last 25 years benefited from the conducive conditions for foreign investment in Pakistan. "I am certain that other potential foreign investors shall be inspired by Suzuki Motor Corporation (SMC), Japan's investment in Pakistan in the form of Pak Suzuki and shall come forward to invest in Pakistan especially when the present Government has improved the overall climate for investment", he added.
"When we took charge of the government, we were confronted with many challenges but we gave equal priority to attract foreign investment in the country", he said and added "We adopted different policy at strategic level for sustainable economic growth", he said.
The biggest challenge confronting the people is unemployment and the main focus of the government is to reduce it. A prescription to address the issue of unemployment is industrialisation in private sector. The core of economic transformation in any country is the existence of an efficient and flourishing private sector.
He said that geo-strategically Pakistan enjoys an important position. It is also blessed with remarkable resources right from talented human resources to valuable minerals and raw material. All these resources are a good opportunity of investment. Pak Suzuki's 25 years success is a living example, which, having utilised these resources, has become one of the biggest contributors towards the socio- economic development of Pakistan.
"We have engineers of international quality. We have the latest expertise and we need to give a serious thought to this and pursue this vision vigorously", he added. The Prime Minister said that it is a grand milestone in the automobile industries' history of Pakistan and the three mega events are indeed remarkable achievements of Pak Suzuki.
He congratulated Hirofumi Nagao, Chairman, MD and CEO, the Management, Officers, Staff and the Workers of Pakistan Suzuki on this landmark occasion and particularly appreciated that Pak Suzuki has enhanced its capacity to produce 150,000 vehicles in a year which was merely 50,000 units a few years back. He observed the various products of Pak Suzuki being manufactured and assembled under the supervision of dedicated engineers and trained workers utilising modern equipment and machinery.
He appreciated that Japanese Management, while implementing the Japanese Management System took utmost care not to disturb the cultural and religious feelings of the Pakistani employees. Speaking on the occasion, Hirofumi Nagao, MD, Pak Suzuki Motor Company, said Pak Suzuki has been serving the Pakistan Nation since 1984 by starting its operation in West Warf Plant.
In 1990, this plant in Bin Qasim started its operation with Engine and Transmission Assembly. Before its operation, that was 1989, the foundation stone of this plant was laid by Mohtarma Benazir Bhutto, the then Prime Minister of Pakistan.
"After formation of Pak Suzuki, we have invested about 11 billion rupees in introduction of new models, construction of this plant and its expansion and increase of localisation through in-house manufacturing of sheet metal and injection moulded plastic parts", he added.
He said requested the Prime Minister for reduction in Sales Tax, from current 16 percent to 10 percent, which will be beneficial for middle and lower middle customers in terms of reduction in prices and much needed breather for local automobile industry.
He said that the auto financing by banks which is the most convenient mode of purchase for the middle and lower middle class constituted 70 percent of the total automobile sales a couple of years back; however due to increase in auto financing mark up as a consequence to higher interest rates and KIBOR; the share of financing in automobile sales is reduced to less than 25 percent as the inflated instalments for the lower end customer have rendered virtually unaffordable to own a car. He requested that interest rates and KIBOR rates for Consumer Financing be reduced to single digit.
On this occasion the MD and CEO of Pak Suzuki announced a donation of Rs 1,000,000 from Pak Suzuki to Internally Displaced Persons (IDP's). Mian Manzoor Ahmed Wattoo, Federal Minister of Production and Industries said that the government has planned to initiate Public-Private-Partnership (PPP) projects.
Sindh Chief Minister Syed Qaim Ali Shah and Japanese Ambassador in Pakistan Chihiro Atsumi also spoke on this occasion. Sindh Governor Dr Ishratul Ebad Khan and Minister of State for Production and Industries Dr Ayatullah Durrani were also present on this occasion.