Fuel Crunch Risks Factory Closures in Pakistan’s Business Center

[Indus Pakistan]

that my friend should be your concern and not hating Karachi or its people

I repeat again. Please stop using 'hate' as means to muzzle or deflect. The reasons are many but foremost is rewarding import subsitution - that is home market but heavily subsidised my the Pak consumer as opposed to export market.

Meaning for example - make a shoe inefficiently of shoddy quality and then sell it at xyz price which is 50% higher then global market price. Because imports are restricted the Pak customer is forced to buy that shoe at xyz price. The local 'endustries' makes a killing out of hostage market. Rhis encourages smuggling and discourages local endustry from investing, improving or being globally competitive. Why should they? They rape the Pakistan market of 220 million.\

But this parasite endustri can hardly be exported to compete globally. Thus exports remain stagnant.

 

[Jango]

I'd take this with a grain of salt. Businesses around the world are able to cope somehow, but Pakistan must have some specially fragile businesses. Not to worry, this is the global market nature's way to cull the weak and inefficient businesses. The well-run will survive and flourish once it's all over.
Maybe instead of complaining they should figure out how to do something else or better instead of living on subsidies, then not paying income taxes but keeping the price of goods the same as everywhere else

Because businesses in Pakistan run on subsidies.

Sugar, auto, textile, construction, manufacturing, fertilizer...you name it.

You know who doesn't run on subsidies? Tech...jis ko ham nay khudday line lagaya hua hai.

 

[lightning F57]

Dont care what anyone says, if your a patriot you would do what is in the interests of the country and its people, that means the NCV should never have happened. Ok so it happened, why not set an early date for elections to help create stability, but no the power hungry few get a chance to be in the lime light for a few months leaving carnage around them.

To me it shows those who are in power are clearly selfish have their own interests at heart, its a shame large swathes of the population don't see this. Even if as an opposition party if you hate PTI surely you would know that by going for a NCV and then trying to hold on to power for a year or more will create lots of instability, either those in power are stupid or like I said so intoxicated with grabbing power that its to hell with the rest.

 

[Bilal.]

But this parasite endustri can hardly be exported to compete globally. Thus exports remain stagnant.

The export did not remain stagnant. It grew 28% due to the policies of IK government. He gave the right incentives and the industry responded by 28% growth just this year. That’s a phenomenal performance!

Exports pick up

Exports increased 27.78pc from July to May to $28.84bn, up from $22.57bn in the same period last year. Exports increased by 55.66pc to $2.60bn in May, up from $1.67bn the previous year.

 

[newb3e]

I repeat again. Please stop using 'hate' as means to muzzle or deflect. The reasons are many but foremost is rewarding import subsitution - that is home market but heavily subsidised my the Pak consumer as opposed to export market.

Meaning for example - make a shoe inefficiently of shoddy quality and then sell it at xyz price which is 50% higher then global market price. Because imports are restricted the Pak customer is forced to buy that shoe at xyz price. The local 'endustries' makes a killing out of hostage market. Rhis encourages smuggling and discourages local endustry from investing, improving or being globally competitive. Why should they? They rape the Pakistan market of 220 million.\

But this parasite endustri can hardly be exported to compete globally. Thus exports remain stagnant.

agree one of the reason our industry dint progress or become efficient or worked on quality exportable product at competitive price but thats not only specific to Karachi who you seem to have a "love" affair with same sub standard industry exists in Punjab..yes Sialkot is an exception but Sialkot exports a good number still low compared to other industries! so why single our Karachi?

PS : dear sir yes i am from Karachi but i am not defending Karachi all i am trying to say a city the size of Karachi and statue of Karachi (in past not present) should be one of the top cities in Pakistan if not world leading the whole country in every field of commerce and not just benifiting people of Karachi but helping other parts of Pakistan enter into modern era or get a variety of modern industry to whole Pakistan but look at the state of Karachi!

 

[Azadkashmir]

Mangoes are grown on farms. Mangaters are made on beds at night. So whither the 400,000 endustries?

They are numbers equal to 400,000 industries.

 

[Indus Pakistan]

dear sir yes i am from Karachi but i am not defending Karachi

I respect that and I thank you for having the decency to consider my thinking as opposed to start calling me 'racist' etc. Karachi people deserve respect as they came out ingreat numbers to oppose the imported government - I saw the crowds.

Yes, as I said this disease applies to all of Pakistan with possible exception of Sialkot and to some small degree Faisalabad. However the reason I single Karachi out is it is touted most often as being the powerhouse of Pakistan and Hong Kong pr Singapore of South Asia. It is this canard that I deconstruct as false.


And once again much respect to you.

 

[lastofthepatriots]

Overseas Pakistanis regarding Pakistan right now:

 

[Azadkashmir]

I repeat again. Please stop using 'hate' as means to muzzle or deflect. The reasons are many but foremost is rewarding import subsitution - that is home market but heavily subsidised my the Pak consumer as opposed to export market.

Meaning for example - make a shoe inefficiently of shoddy quality and then sell it at xyz price which is 50% higher then global market price. Because imports are restricted the Pak customer is forced to buy that shoe at xyz price. The local 'endustries' makes a killing out of hostage market. Rhis encourages smuggling and discourages local endustry from investing, improving or being globally competitive. Why should they? They rape the Pakistan market of 220 million.\

But this parasite endustri can hardly be exported to compete globally. Thus exports remain stagnant.

mara pra, i bought 3 atta dough mixers all made in pakistan paid taxes to get to england and shipping all expensive. but my mum needed a present, so for the first time i'm getting her gift other two mixers for relatives. A month later my mum told me the atta machine so n so got doesnt work. so i got mine out to test i plugged it in, stood far away for electrical explosion by the side of the door while kicking the socket switch to turn on machine. Nope no crackle or bang/fire infact nothing happened. So i took it apart to check for loose wiring nope then i notice the worlds most shoody made motor, lets put this way a fake motor.

Them it hit me, why no one buys anything made in pakistan.

 

[Big_bud]

Petrol raised 60Rs, electricity units increased 47%, gas increased 45%. Death of our already small industry. Our production would be high cost and unable to compete in the global market. Factories would shut down. Investors would take factories to Bangladesh again. Death of economy. Wider fiscal deficit. Every year we will need more loans. Every year we will have to raise more prices of fuel, electricity and gas to obtain next instalment.

Pakistan to default definitely. Congratulations to Mir Jaffer & Mir Sadiq! Itni si okaat thi, 1,2 insan pura mulk duba gae! Kisi idaray ko hosh na aya!

 

[newb3e]

single Karachi out is it is touted most often as being the powerhouse of Pakistan and Hong Kong pr Singapore of South Asia. It is this canard that I deconstruct as false.

that comparison in past was fair ,khi being a port city of a country with a big population and also the industrial hub (before other parts became industrialized) with a big educated and technical population but now the city is destroyed bruised but again my argument is if Karachi was on par with singapore HK imagine how uch whole Pakistan would have benefited from it! and why khi never reach its potential (again a huge loss for Pakistan) should be a cause of concern and responsible for destruction of Karachi should be hanged!

 

[GOAT]

Remove taxes and fees and only give temporary, targeted subsidies / preferential treatment to help emerging industries scale.

 

[HttpError]

Chuckle. No big loss there. What do these 400,000 endustries export? Nowt !!!

They export "Khud-dar Qoum to the west".

 

[GriffinsRule]

Because businesses in Pakistan run on subsidies.

Sugar, auto, textile, construction, manufacturing, fertilizer...you name it.

You know who doesn't run on subsidies? Tech...jis ko ham nay khudday line lagaya hua hai.

Not just that, we who actually owns those businesses and the supply chain? That should tell us enough on why there are subsidies in place.
But no let's ban passengers from bringing chocolates for their family members instead. That's the extent of any expectation I have from Pakistan and it's decision makers now.

Petrol raised 60Rs, electricity units increased 47%, gas increased 45%. Death of our already small industry. Our production would be high cost and unable to compete in the global market. Factories would shut down. Investors would take factories to Bangladesh again. Death of economy. Wider fiscal deficit. Every year we will need more loans. Every year we will have to raise more prices of fuel, electricity and gas to obtain next instalment.

Pakistan to default definitely. Congratulations to Mir Jaffer & Mir Sadiq! Itni si okaat thi, 1,2 insan pura mulk duba gae! Kisi idaray ko hosh na aya!

I thought we already established that Pakistan is now a bhikari mulk so why worry about default.
PS how is Turkey coping with 70% Inflation for the last few years yet doing better than Pakistan still?

 

[xyxmt]

Thank you neudered Bajwa