Bangladesh set to outpace Pakistan’s auto sector

[Bilal9]

Bilal I agree and I read your posts. You are Muslim first and then bengali. That's how it's hold be. Some people only understand a particular language.
Sadly if our countries were great we wouldn't have to leave. The corruption is killing us but we are all guilty of assisting sadly.
Wishing you a good happy and safe Ramadan

Wishing you a Happy and Safe Ramadan too brother.

 

[Michael Corleone]

Pakistani Suzuki based cars aren't called Maruti. Maruti (name of the company) still makes India based 800cc Suzuki alto models (and variants). Newer alto models are much larger and often locally designed/produced which is natural for a larger market.

Here is latest Indian Alto variant - which is just a facelift from 6th/7th generation models from five or more years ago. This is to save on parts costs, as it is a bargain basement, price leader model. These still sell a lot, in spite of many competitor models from almost all locally assembled and manufactured car brand-names now established in India.

Aside from basic models which sell by the tens of millions, there are Suzuki Vitaras and special models made and sold in India too, thanks to a much larger market than neighbors.

Pakistani 800 cc Suzuki Altos (assembled with progressively higher local parts content) were called Suzuki Mehran I think (discontinued in 2019).

Pak Suzuki now switched to Japanese standard cars and assembles the same Alto model (8th generation) that is sold in Japan, and is unique in Asia to do so.

I rather not have Bangladesh make ugly things at all, so hedious

 

[Bilal9]

I rather not have Bangladesh make ugly things at all, so hedious

Yeah - I'm sure hideous is probably a going quality for these things.

Small cars with engines under 800 cc have to do a lot of things, be economical, practical, functional, reliable, easy to maintain etc.

Good looks is not a preferred quality unfortunately.

 

[bluesky]

I don’t know if you guys have some feud between each other. But there are plenty of examples of why decentralization was a spontaneous solution in the past.

Most of the VIP 8-10 lane roads were built in the late 1990’s era. In that contrary not many were built in the last 15 years. Which has later turned to one major element of congestion. Houses and Projects were constructed before allocating lands for capable roads and highways. Therefore most of the new roads are barely 4 lanes and not parallel to older routes. I bet Bangladesh was a densely populated country in that period as well. Which means, we have narrower roads when the population Is at its peak in the history.

There are plenty of spaces around Dhaka. They were left unused when Dhaka was more maneuverable . Current constructions within the outskirt can be an intermediate solution. Breather Crisis is bound to fall back later sometimes.

There are many forms of decentralization. It depends on what ways you are seeking a reply.

Everyone makes Dhaka their home now. Those people coming out from their native area will leave their own place dry out. We always send our money on where we build our future.

In Europe, people living in the remote villages and get adequate food supply, water, electricity, emergency govt assistance when needed.
They keep the prices of goods in reach so they can afford a car for their transportation, they can pay for fuel and also get a good living out of that country lifestyle. Native people adds the chlorophyll to the green pasture if we agree or not.

If people would have stayed at their native places, major cities wouldn’t have been this much populated. Plenty of people were forced to migrated to Dhaka for resources . If u still ask them, they will choose their country lifestyle.

In the future, the more we will bring attractions to big cities like DHAKA & CHITTAGONG, it will be more hazardous for the future.

And Purbachal is also a part of Dhaka. By the time, the project gives us the fruit, the population will jump up to another level.

We need pure, long sustainable plans for half of the people if not all.

Nothing of these you have envisioned will happen unless people are fully employed and also the employment base cannot be enlarged without building many industrial plants that should be placed more along the coastal belt.

Why coastal belt? A country without natural resources has to do import raw materials and fuel and export its products. In order to keep its production cost cheap, it has to minimize the transport cost. Locating industries in the coastal belt helps the industries to produce cheaper.

So, I do not think BD needs to spread out its industries throughout the country, at least, when its industrial plants, mills, factories, and workshops are all at the underdevelopment stage.

But, @Destranator has been talking about administrative decentralization. Read his some other posts. So, I was asking about it. Why do you think it is a kind of feud?

 

[Sulman Badshah]

How it is set to outpace Pakistan? I don't think it will happen even in the next 15-30 years

My arguments are

1. The current demand of vehicle in Pakistan is around 210-250 K annually which is roughly 5 times more than BD 40-50 K annual (in the future there will be a growth for both countries when BD will reach up to 200 K, Pakistan will also move up to est 600-800 vehicles annually


2. Pakistan have higher population growth and by the year 2050 it will be est 330 M people against BD 190 M projected

3. In the last 3-4 years, many new companies have invested in Pakistan auto sector (current assembling and then shifting to gradual manufacturing) Companies includes FAW, Changan, Kia, Hyundai, Proton, DFSK, BAIC, SAIC, MG, Peugeot, etc .. and many more are inline looking for the strong group as a domestic partner like VW, Renault, Ford, etc

These new companies will have a greater in future

 

[Juggernaut_Flat_Plane_V8]

Yep parts manufacturing and assembling is not really a policy to boast about or to compare. The best way forward is design and R&D, let there be separate industries for that. Bikes, e-Bikes, three-wheelers are good segments to start off and move on to tractors, and then to PVs or heavy vehicles.

I domn't know why people snigger at motorcycles...may be its due to the image of being unsafe and sure when motorcycles are sharing space with cars on the roads yes it can be unsafe...but in small towns across most of South Asia its basically 90 percent motorcycles,scooters and may be quadricycle chassis light trucks like Kei class commerical vehicles ...with low cost motorcycle airbags...electric motorcycles and scooters will remain the conveyance of choice for most of South Asia for the next 30 years...most of South Asia reside in small towns with very narrow roads and lanes...I just cannot see how South Asia will become car primary society..also bigger heavier batteries in cars will strain the energy sector even more

 

[Shimz]

How it is set to outpace Pakistan? I don't think it will happen even in the next 15-30 years

My arguments are

1. The current demand of vehicle in Pakistan is around 210-250 K annually which is roughly 5 times more than BD 40-50 K annual (in the future there will be a growth for both countries when BD will reach up to 200 K, Pakistan will also move up to est 600-800 vehicles annually


2. Pakistan have higher population growth and by the year 2050 it will be est 330 M people against BD 190 M projected

3. In the last 3-4 years, many new companies have invested in Pakistan auto sector (current assembling and then shifting to gradual manufacturing) Companies includes FAW, Changan, Kia, Hyundai, Proton, DFSK, BAIC, SAIC, MG, Peugeot, etc .. and many more are inline looking for the strong group as a domestic partner like VW, Renault, Ford, etc

These new companies will have a greater in future

1.Your first point is quite valid, demand will seek more production.
The car import is stagnant in Bangladesh purply for the heavy tax structure which the government have assured to reduce it low to give manufacturers the breather for local production. Easily any car almost cost double then Pakistan in Bangladesh.

2. Sometimes lower population yields better outcomes. Such as higher GDP Per Capita which will demand much better car for one then two cars for average four people. Regardless, Bangladesh and Pakistan’s population will grow about 250 & 380 M respectively. I don’t wanna question your source but Bangladesh already sitting at 170+ M as of 2021.

Most of the countries in Europe have 1/5th of the population of Pakistan. They do have a robust manufacturing and supply chain. Thats the transformation we want in Bangladesh. Local cars will be exported as well as more prominent buyers will stop the market from tolling.

3. In the past few years, the likes of Hyundai, Mitsubishi, Proton, DFSK, BAIC have invested in Bangladesh as well. BMW has shown interest to take a spot in one of the upcoming economies zones through German High Commission. Surprisingly, VW is also interested. Toyota and some other Chinese companies were looking for a chance for quite some time now.

4. The biggest game changer for Bangladesh’s growth is assumed to be the EV market. Bangladesh already has a decade old EV 3 wheelers auto market which used to be imported from China. They are now made in Bangladesh with our locally manufactured
batteries with other components. Walton (Local brand) have kick started E-bikes production as well.

Bangladesh do have mature battery manufacturing industry. Most of the car batteries use mix of local and foreign batteries. Although I know the they dont make bigger batteries for complete electric cars. But that was a mere example of the situation here.

Bangladesh has gone to hybrid for a decade now, people understand the concept of batteries lot more now. The taxes are much lower for hybrids. Shows the governments involvement as well.

VW & Toyota have included ev’s if they plan to start local assembly or manufacturing in the future.

Just like the gun market of Pakistan, Bangladesh has a place called ”Dholaikhal”. That place is the pinnacle of refurbished motor spare parts in Bangladesh. They manually overhaul gears, gasket, pistons etc. With big shipyards in the vasinity. They make big propeller for ships as well. They are working for few generations now. That place is big lifeline to the existing maintenance of local vehicals.

Surprisingly the govt is appreciating anyone who is coming with EV proposal. Thats a big green flag for the future. Nothing is certain, I don’t know if Pakistan will be outpaced.

If the government truly gives importance on local assembly to manufacturing especially with added ev’s . Bangladesh may surpass Pakistan in next 8-10 years.

 

[Shimz]

Nothing of these you have envisioned will happen unless people are fully employed and also the employment base cannot be enlarged without building many industrial plants that should be placed more along the coastal belt.

Why coastal belt? A country without natural resources has to do import raw materials and fuel and export its products. In order to keep its production cost cheap, it has to minimize the transport cost. Locating industries in the coastal belt helps the industries to produce cheaper.

So, I do not think BD needs to spread out its industries throughout the country, at least, when its industrial plants, mills, factories, and workshops are all at the underdevelopment stage.

But, @Destranator has been talking about administrative decentralization. Read his some other posts. So, I was asking about it. Why do you think it is a kind of feud?

You mean employment? I think you are missing the whole point. Dhaka has seen better days in the past. Full functional traffic lights with 2 storey houses with garages and backyards with much lower prices of goods etc with better air quality. Without having the firm pharmaceutical, apparel or manufacturing industry as now.


Why costal belt ? That could be a great initiative from the government. What could be the outcome except making richer more rich and feed the poor three times rice with Banana.

Regardless of coastal belt, Bangladesh has to move ahead. Its not possible to give everyone employment,I totally understand, but if the existing employees complain about their work environment thats fatal for the whole chain. Therefore if you cannot save the rights of current employees then it would be dumb to give more employment.


People thought the same about 15 years ago. Dhaka will be the nucleus and citizens will flock in like birds. Dhaka was supposed to the nucleus of urban core and booming economy then the habilitation of people and more slums . Look what a mess Dhaka is turning into.

Citizens need breather from all the noises, pollution and mismanagement from the default bodies. I am asking for the assistance of the people who are in working phrase.

I dont think if you can ever counter the upgradation of the current citizens by giving jobs to rest of the people. We need plans for now and for the near future.

This government is failing again and again to upgrade the scenarios of the cities. They stayed in power for so long and yet they are struggling. Building infrastructure is like brining a brand new tv home which gives u pleasure in leisure time and nothing more. We needed the onging infrastructure otherwise there was no point of living in 2021. We cannot keep our expectations like 2010 and praise every single developments like nothing more is happening around the world.

 

[bluesky]

You mean employment? I think you are missing the whole point. Dhaka has seen better days in the past. Full functional traffic lights with 2 storey houses with garages and backyards with much lower prices of goods etc with better air quality. Without having the firm pharmaceutical, apparel or manufacturing industry as now.


Why costal belt ? That could be a great initiative from the government. What could be the outcome except making richer more rich and feed the poor three times rice with Banana.

Regardless of coastal belt, Bangladesh has to move ahead. Its not possible to give everyone employment,I totally understand, but if the existing employees complain about their work environment thats fatal for the whole chain. Therefore if you cannot save the rights of current employees then it would be dumb to give more employment.


People thought the same about 15 years ago. Dhaka will be the nucleus and citizens will flock in like birds. Dhaka was supposed to the nucleus of urban core and booming economy then the habilitation of people and more slums . Look what a mess Dhaka is turning into.

Citizens need breather from all the noises, pollution and mismanagement from the default bodies. I am asking for the assistance of the people who are in working phrase.

I dont think if you can ever counter the upgradation of the current citizens by giving jobs to rest of the people. We need plans for now and for the near future.

This government is failing again and again to upgrade the scenarios of the cities. They stayed in power for so long and yet they are struggling. Building infrastructure is like brining a brand new tv home which gives u pleasure in leisure time and nothing more. We needed the onging infrastructure otherwise there was no point of living in 2021. We cannot keep our expectations like 2010 and praise every single developments like nothing more is happening around the world.

You are talking very much of a Utopian country. It is not possible for a densely populated country like BD. It was always a poor and underdeveloped country even when its population was less than half. But, then everyone had a piece of land to grow the necessities. But, not now.

In order to employ a big population, the country has to build many millions of industries, mills, factories, and workshops. And in order to keep the production costs cheap to compete with other countries, the factories must be built near the coast. Read the examples of other countries.

All the European developed countries of today went through the process of overpopulation and to get rid of the issues related to overpopulation, they started building industries since the 1780s when people were being employed in the industries and gradually they built Utopian countries that you see today.

There is no gain without pain, and there is no shortcut route. BD has to go through this process if it wants to develop and become a Utopian and ideal country.

 

[xyxmt]

Good to see Pakistan a standard of development in south Asia, after India now BD tries to catch up or exceed Pakistan.

 

[bluesky]

Bangladesh doesn’t have to be an Utopian state to solve most its major issues of the cities. Problems are basic and controlled from the top throughout corruption. Regardless, we have wasted so much time before and we are still wasting more time to reach a point one day to admit our wrong deeds.

All your points would have been so finely appreciated if the corruption could have been controlled. Alas, our point of view differs.

I would be happy to wrap it up from my end.

Nevertheless I always thought that Bangladesh needed its own custom policies to rise up its head. Its not always possible to implement other formulas and get success. Thats because local people may take longer to settle in the same spectrum. And bla bla blaaah . Anyways, I will be delete my previous comment later. You can do yours if you want !

I hope you know the percentage of collection of taxes in the country. The tax-GDP ratio is only 9.3%. So, without increasing the tax base through a continuous process of industrialization and thus an increased tax, BD cannot undertake big-scale public works projects to make the cities beautiful.

Industries will pay corporate tax and individual wage earners will pay their income taxes. So, industrialization is the only way to increase the national wealth and the amount of total collection of taxes that will be used to beautifying the Cities. Note also that Dhaka is not the only City/Town in the country. All of them are very uglier than Dhaka.

By the way, making the cities beautiful is less important than creating jobs for the population. Industrial development and the consequent foreign trades can certainly do both these two jobs. So, the allocation of money must be directed towards industrialization through private companies.

 

[Qmjd]

Bangladesh set to outpace Pakistan’s auto sector

Industry officials say policymakers should take cue from Dhaka’s auto policy
Shahram Haq| February 12, 2021

Sales shoot up 35% year-on-year to 166,898 units. PHOTO: FILE

LAHORE:

Pakistan’s policymakers should take inspiration from Bangladesh that is likely to match Pakistan’s auto industry volumes in the coming years, said local stakeholders.

Bangladesh, with a $302 billion economy and per capita income of $1,855, will soon be announcing its maiden automotive policy draft for vehicle assembly and auto parts manufacturing. The policy period will be 10 years with the target to reach 10% of GDP ($30.2 billion) by the year 2030.

“Bangladesh is taking a step-wise approach from completely built-up unit (CBU) import to semi-knocked down (SKD) to completely knocked down (CKD) to localisation and export in the next 10-year period,” said a group of auto experts while talking to The Express Tribune on Thursday.

They added that Bangladesh’s policy covered fuel-efficient internal combustion engine vehicles, hybrid vehicles, electric vehicles and alternative fuel vehicles such as CNG, LPG, biodiesel, ethanol and hydrogen fuel cells.

“It is also adopting vehicle scrapping policy under WP29 UNECE regulations,” they said, adding that 20% local contribution in eight years was the requirement for passenger cars.

“They have devised a regime covering localised parts and non-localised parts with the concept of green field, brown field plus a scheme for auto parts makers,” they added.

Under the policy, the experts said, Bangladesh would allow import of 100% SKD parts at 10% customs duty for a period of seven years in respect of passenger cars after which CKD tariff would apply.

“The most important step they have taken is the phasing out of used car imports in five years. They do not allow the import of used cars in the fifth year,” said one industry official.

“We are going to have our next auto policy soon so the good features of Bangladesh’s policy can be replicated easily here as they will really help the local auto industry to achieve its targets.”

Published in The Express Tribune, February 12th, 2021.

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Bangladesh set to outpace Pakistan’s auto sector | The Express Tribune

Pakistan’s policymakers should take inspiration from Bangladesh that is likely to match Pakistan’s auto industry volumes in the coming years, said local stakeholders.

www.google.com

Don't compare bangla with pakistan
you are too obsessed.
bangla lives in tin sheds makes what ?
Live with india don't get pakistan involved.

 

[leonblack08]

Don't compare bangla with pakistan
you are too obsessed.
bangla lives in tin sheds makes what ?
Live with india don't get pakistan involved.

Yes we live in tin shed and we are poor.

Go and cry to The Express Tribune.pk who reported the news.

 

[Bilal9]

Yes we live in tin shed and we are poor.

Go and cry to The Express Tribune.pk who reported the news.

I don't get it with some people. All they have to do is Google....

And what's wrong with living in Tin shed? That's all some people can afford.

One single company showed the subcontinent what can be done in less than a decade.

 

[bluesky]

Don't compare bangla with pakistan
you are too obsessed.
bangla lives in tin sheds makes what ?
Live with india don't get pakistan involved.

Before 1971 there were 22 big groups that built many industries in both wings of Pakistan. This part had only two such families, AK Khan and Ispahani who are still active and have grown here and new groups are coming out all the time through their economic activities.

How about today's Pakistan? I do not think the old groups are allowed to contribute much more there and as a result, the Pakistan economy is gradually going down.

Do not please ridicule our tin-shed houses. Some of us still live even in the thatched-roof houses. The important point is industrialization and infrastructure-building on which BD is fast advancing and Pakistan is not.

Then think of advancement in education (both boys and girls), women's participation in economic activities, etc. before you make bad comments about our country.