Impact of Nationalization on Pakistan's Economic development

[Sulman Badshah]

Impact of Nationalization on Pakistan's Economic development
.
Bhutto's nationalization broke some of the 22 families financially but several of them were also broken in body and spirit, with the result that they disposed off industaries that escaped nationalization or self-imposed a moratorium on new projects. Farooq A Shaikh of Colony group, one of the major affectees of nationalization remarked in an interview with author that top Pakistani industrialists not just lost industrial units to Bhutto's nationalization policy, they lost the urge to invest in Pakistan.

" We concluded regretfully that it was a bad judgement on the part of our group to have remained exclusively confined to Pakistan. It was like putting all the eggs in one basket", he said while noting that several industrialists particularly those from Karachi had resorted to flight of capital, ahead of Bhutto's nationalization and were able to comfortably live out the Bhutto era in Europe or United States on business ventures set up there.

Karachi based business communities of Memons, Khojas and Bhoras had led the first wave of industrial development in Pakistan but it were they who suffered most in the seperation of East Pakistan and Bhutto's nationalization. These business communities had been seasoned by persecutions of different types in their abodes in India and elsewhere, particularly, Burma, and therefore, they responded in the only way that was expected in such a situation , i.e switch over investment and move abroad. It is not surprising that several leading industrial families of the 1970 era have not set up a single big industrial project in 25 years since nationalization.

Earlier in this chapter, we have listed some projects abandoned by the big business, half or three quarters complete because nationalization order excluded private sector from operating in certain industrial fields. These projects mainly related to manufacture of tractors, automobiles and fertilizers which were capital intensive and employment generating. The sponsors of these gigantic projects resigned themselves in the post-Bhutto era to become traders or at best spinner of yarn and processor of sugarcane.

The sweep of nationalization, its impact on the psyche of the big business and thus on Pakistan's industrial development can not be comprehended without taking a look at the taken-over industries, companies and their ownership.

In six traumatic years of Z A Bhutto, 31 key industrial units, 13 banks, over a dozen insurance companies, 10 shipping companies and two petroleum companies were nationalized, out of which at least 22 industrial units, 9 banks, 9 insurance companies, 3 shipping companies and 2 petroleum companies belonged to the 22 families. Nasim Saigol claimed in the interview with the author that Saigols lost 70% of their assets in Bhutto's nationalization.

Following is the list of industaries and companies nationalized by Bhutto and the groups owning them.



31 Key industries nationalized in 1972
Units taken over in Karachi
1 Steel Corporation of Pakistan Fancy
2 Hyeson's Steel Hyesons
3 Ali Automobiles Jaffer Bros
4 Kandawala Industries
5 ROK Industries
6 Haroon Industries Haroon
7 Wazir Ali Industries Packages
8 Gandhara Industries Bibojee
9 Indus Chemical and Industries
10 Valika Cement Valika
11 Karachi Gas Fancy
12 Valika Chemicals Valika
13 Karachi Electric Fancy-Jaffer Bros
14 National Refinery
15 Pakistan Fertilizer Corporation Jaffer Bros

Units taken over in Punjab and NWFP

16 BECO C.M.Latif
17 M.K.Foundary
18 Ittefaq Foundry Ittefaq
19 Rana Tractors
20 United Chemicals Saigol
21 Pakistan Cement Saigol
22 Ismaeel Cement Colony
23 Central Iron and Steel Works
24 Valika Steel Works Valika
25 Jaffer Steel Corporation Jaffer Bros
26 Pakistan Progressiv Cement Wah Colony
27 Pakistan progressive Cement Dandot Colony
28 Rawal Pindi Electrics
29 Modern Steel Muredke
30 Multan Electric Supply Colony
31 Karim Industries Nowshehra Nishat
Nationalized Banks and their ownership
1 Habib Bank Ltd. Habib
2 United Bank Ltd Saigol
3 Muslim Commercial Bank Adamjee
4 Australasia Bank Colony
5 Premier Bank Arag
6 Habib Bank Overseas Habib
7 Commerce Bank Ltd Fancy
8 Memon Cooperative Bank Dawood
9 Lahore Commercial Bank Dawood
10 Punjab Cooperative Bank Dawood
11 Pakistan Bank Ltd Dawood
12 Bank of Bahawal Pur Dawood
13 Standards Bank
Natioanlized Insurance Companies

1 Eastern Federal Union (EFU) Arag
2 United Insurance Valika
3 New Jubilee Fancy
4 Adamjee Insurance Adamjee
5 Habib Isurance Habib
6 Premier Crescent
7 Central Dawood
8 IGI Packages
9 Union Nishat
Nationalized Shipping Companies
1 Pan Islamic Shipping Arag Industries
2 United Oriental Shipping Arag Industries
3 Trans Ocean Shipping
4 Mohammadi Shipping Arag Industries
5 Pakistan Shipping
6 East and West Shipping
7 Gulf Steam Shipping
8 Chittgong Shipping
9 Crescent Shipping Crescent

According to Ahmad Dawood's biography by Usman Baltiwala, Dawood also lost 25 Shipping vessels but the name of Dawood group Shipping company does not appear in the list of Nationalized shipping companies as published by newspapers. Dawood also lost two oil companies namely Dawood Petroleum and Pakistan National oil, under Marketing of Petroleum Products Ordinance, 1974
.
How nationalization retarted Pakistan's economic growth can also be illusterated by the simple fact that in 1974 Pakistan had inherited three aging vessels but their number increased to 75 when Bhutto nationalized the nine shipping companies and merged them into Pakistan National Shipping Corporation (PNSC). But in 1992 when Sharif government finally licensed private shipping companies, the number of vessels with PNSC had come down to 25 only.

Several leading figures like Rangoonwala, Haroon, Dawood, Jaffer, Saigols simply left Pakistan, some of them for good. Others were to return only to indulge in trading. Still others with the degree of ostentatious courage who stayed back till Bhutto's day of reckoning, like Gul Ahmad, Fateh, Adamjee, Bawani, Dadabhoys and Dadas did not set up a single industrial project of consequences in next 25 years. When I asked Razak Dawood during an interview if he can identify a few big industrial units set up by the Memons after 1971, the only unit that came to his mind was Gatron Industries.

Ahmad Dawood was imprisoned and put on the Exit Control List. It was only in 1974 that he managed to go abroad, not to return till the overthrow of Z A Bhutto by Gen. Zia in 1977. While in USA Ahmand Dawood set up an oil exploration company which is reported to have carried out explorations at six wells " All of which prove to be oil bearing".

Sadiq Dawood migrated to Canada where he set up chain of departmental stores but returned in 1980 to launch BBR Madaraba with an initial capital of Rs 5 million. The BBR group today comprise five listed companies with an asset base of Rs 2 billion, but except for one, all the group comapanies are active in the services sector. TransPak, the only manufacturing company set up during this period by the members of Dawood family produces toothpaste and combines a packing concern.

Jaffer family business headed by Ahmad Ebrahim comprise at leat ten compnies including Ahmad Jaffer and company, Jaffer Sons, International Travels Ltd, Pakistan Garage Ltd and Karachi Electric Supply Corporation. A car assebly plant and an under construction fertilizer factory at Hawks Bay was nationalized. Presently the group is active only in trading and does not have a single company listed on Karachi Stock Exchange.

In the wake of nationalization the Fancy group members sold of remaining assets like Kotri Textile Mills, New Jubilee Insurance and interests in Pakistan Industrial Credit & Investment Corporation (PICIC) to Sadaruddin Hishwani. The solitary project set up by Fancies in last two decades is a biscuit factory.

Valika Steel was a big nationalized unit which underwent major expansion during Bhutto's six years when its name was changed to Special Steel. It came close to bankruptcy and was marked for privatization when it was taken over by Kahuta Research Laboratory of Dr. A Q Khan. It is today the nucleus of key 0defence-related projects in Pakistan.

Harron's had atleast 25 companies in their group including pakistan Services Ltd., Pakistan Herlod Ltd,Haroon Industries Ltd, Haroon Sons Ltd and Herbertson (Pakistan) Ltd. Today their interests in Pakistan are limited to Haroon Oils and Herold Publications while Yousaf Haroon has a divesified industrial network in the united States.

Born in Rangoon, M A Rangoonwala had migrated to Bombay in 1933 and had intrenched himself in business by the time Pakistan came into being as an independene state. In 1947 he migrated to Pakistan and by 1971 he was represented on the board of 45 companies, of rich 25 belonged to his own Rangoonwala-Bengali group. When nationalization uprooted him for the third time he migrated to Malaysia. Since he majored in edible oil industry , many people in this industry see him behind Pakistan's emergence as the single biggest importer of palm oil from Malaysia.

Like Rangoonwala, C.M. Latif was a towering personality of paksitan industry, both in physique and achievement. He had setup Batala Engineering Company (BECO) in Batala , East Punjab, India in 1933 and in less than a decade it came to be ranked as one of the India's top three machine tool companies. It is said that half of the Wagner equipment that was obtained by the British India, as war reparation from Germany, after the Second World War was allocated to BECO. In 1947, C.M. Latif migrated to Pakistan and set up his company with the same name in Badami Bagh area in Lahore. By the time it was nationalized in 1971, it had become one of the biggest engineering complexes in Pakistan which was on the threshold of launching the domestic manufacturing of textile machinery, in collaboration with Toyota Carporation of Japan . In 1995 when Privatization Commission decided to dispose off BECO, (now Pakistan Engineering Company, PECO), it had incurred losses of Rs. 365 million and the government was still toying with the idea of indigenous manufacture of textile machnery in Pakistan.

Between 1977-95 , C M Latif had waged a one man crsusade for the return of his unit which is currently being sold by the Privatization Commisssion in several lots of realy estate. In an advertisement in the daily Business Recorder of February 1, 1991 C M Latif demanded return of BECO to former owners and reminisced about his factory in the following poem, intitled ( Food for thought

 

[somebozo]

It was classic socialist sponsored national theft of assets!
I wonder why do we let this PPP survive and not ban it together for good...

The industries nationalized first were then looted second time by privatization..that is how many political-industrial tycoon and Fauji industries were born..Pakistan since bhutto has been a backward agarian slum..

the state sponsored theft also gave rise to economic revenge give birth to a new under ground industry of obtaining wealth by any means including theft and corruption to siphon it off to offshore. No wealthy Pakistan wants to keep their dollars and Euros inside Pakistan..they all have bank accounts in Dubai, BVI, Cayman, Switzerland, Panama, etc.

Even me as a Pakistani dont feel safe keeping my wealth here..

 

[somebozo]

One of bhutto most nasty accomplishment was bringing backward agrarian classes into the center of political power which plunged the country backward as a whole. Pakistan which could have been the Singapore of South Asia and middle east with strong banking network, offshore and free zone regulations etc.

Impact Of Nationalization On BECO And Pakistan Economic Development
Posted on August 22, 2008 by Anika Khan
There had been many times in Pakistan’s history when stupid decisions were taken by the government. Nationalization in Bhutto’s era was one of those decisions. 22 Families lost everything that they had worked for all their lives. BECO (Batala Engineering Company) is one such example.

Late Chaudhry Mohammad Latif was the founder and chairman of the Batala Engineering Company (BECO). After attending a meeting of leading Muslims in Batala, who wanted to establish Muslim industries in the face of Hindu dominance of retail, that he struck upon the idea of forming BECO.The company was established in 1932. , He sold its first 10 shares to a lime merchant for Rs 10. In the early years, he worked almost single-handedly to build up the company from its first workshop in two rooms and a veranda. Over the course of the next forty years, and in spite of losing much of his business when he migrated to Pakistan at Partition, he built BECO into a stalwart of the engineering industry in Pakistan. when the migration took place and all the muslims came to Pakistan. BECO donated a very large amount of its money to the govt of Pakistan, so the institutions could start functioning.

At its peak BECO employed 6,000 workers producing tools and engines that drove forward Pakistan’s fledgling economy. A model of Pakistani industry and the pride of Pakistan, BECO was a regular stop by visiting foreign dignitaries

Board of Directors (Lto R)

Chaudry Abdul Karim, Arif Latif, CM Latif, Khan Abdul Rehman , HMS Chaudri

Visit by Chinese Prime minister Chou En Lai. He was so impressed by BECO that he vowed to send Chinese engineers there for training.

Visit by Syrian Head Of State

King of Thailand on a visit to BECO during his state visit to Pakistan. Mr. Latif showing him a diesel engine coupled with pump. In those days all visiting head of states were shown BECO as a national asset

Mr. Latif with his team showing slow speed diesel engine parts to visiting dignitries. A lot of these were sent to East Pakistan to drain out water and produce power.
In background is Mr. Schneider BECO’s German works manager and Chief Engineer.

Mr. Latif with visiting KSB pumps director from Germany. BECO produced pumps in collaboration with KSB pumps with Siemens electrical motors in the BECO Kot Lakhpat factory

Visit by Pakistan’s Prime Minister

Being an Engineer Mr. Latif always believed in making progress in development of ideas and technology. In an interview couple of years back he said “I believe in creating money and not in making money.” “We can create money by employing more people and by expanding our business. Money, as such, should have no attraction for any reasonable person. What should really move us is the task of adding to our national wealth.”

Mr. Latif was a man of great genius and dedication . He brought BECO to teh heights of glory. Beco was ahead of its time in terms of technology.

Concrete Mixers

With his team of Japanese engineers

Machine tool division with lathe machines.

Testing the gates for barrages and canals

Machine tools division.

Zulfikar Ali Bhutto took over power on December 21, 1971 and on January 1, 1972 his government promulgated the Nationalization and Economic Reforms Order nationalizing 31 key industrial units, completely wiping out BECO. The company’s name was changed to PECO (Pakistan Engineering Company). Like other nationalised companies, PECO did not cut it and by 1998, it had run up an acknowledged accumulated loss of Rs 761.58 billion. In October 1977, Gen Zia-ul-Haq offered to return control of the company to Mr Latif and his management. Mr Latif refused to accept the offer unless the same were extended to owners of all nationalised industries.

It is such a sad thing that in the name of the country Mr.Bhutto ruined what was something to be proud of as a Pakistani. Had BECO remained with its owners we would have put Tata and Birla to shame. Govt abandoned the factory, sold out tons and tons of steel in the building structer and , and now what is left of it ,is an Industrial graveyard.

abandoned halls in the office at the Badami Bagh location

The desolate time office crumbling with time surround by acres of nothingness. At one point it was responsible for a factory chock a block full of sheds. There was no space to move without encountering a crane, machines, raw materials, spare parts and 3000 workers.

Every single shed was taken apart and all steel used in its construction was sold off made money pocketed. The glorious days pictures show the strength and amount of steel used in the sheds. Thats a gigantic amount of cash ……..

The office at the Badami Bag factory……the only remaining building at the 52 acre unit that was completely covered in production sheds. Wondering why this was also not pulled down. Perhaps not enough steel in the construction to sell

graves haunted by spirits of diesel pumps, machine tools, textile power looms, concrete mixer, diesel engines………………………….

This room was filled with drawing boards jammed next to each other. A place of engineering creativity which now lies in ruin.

 

[somebozo]

If a pillar has huge steel poles then its no surprise the sheds were demolished, scrapped and sold

Foundations of the factory under the grave like mounds………a true industrial graveyard where hope for Pakistan has been buried by greed of political leaders and bureaucrats.

A true industrial graveyard……….. When successive governments failed to run the company the Badami Bagh factory was demolished to the ground. Surprise surprise the aim was to plot it and make into a housing scheme……The family now has a stay order on this, but they often wonder what good is it when everything has been destroyed

As Mr. dadbuoy said in an interview to a loacal newspaper

” Had we gone at the rate of growth during the decade of 1960’s, I reckon we would have definitely been an Asian tiger by now”

Special thanks to Mahbina Waheed for sharing such historical pictures.

 

[Sulman Badshah]

It was classic socialist sponsored national theft of assets!
I wonder why do we let this PPP survive and not ban it together for good...

The industries nationalized first were then looted second time by privatization..that is how many political-industrial tycoon and Fauji industries were born..Pakistan since bhutto has been a backward agarian slum..

the state sponsored theft also gave rise to economic revenge give birth to a new under ground industry of obtaining wealth by any means including theft and corruption to siphon it off to offshore. No wealthy Pakistan wants to keep their dollars and Euros inside Pakistan..they all have bank accounts in Dubai, BVI, Cayman, Switzerland, Panama, etc.

Even me as a Pakistani dont feel safe keeping my wealth here..

Nationalization also had a bad impact on trust of international investors on Pakistan ... Our industry haven't recovered so far by the nationalization effect

 

[SoulSpokesman]

I guess businesses go through this period of destruction and regeneration.

There have been new industrial giants no- Ittefaq, Mansha, Engro, Hashwanis to name a few? Plus some of the older groups have resurfaced- Habibs, Adamjees, Dawoods.

Regards

 

[somebozo]

Nationalization also had a bad impact on trust of international investors on Pakistan ... Our industry haven't recovered so far by the nationalization effect

It will never recover until the political parties with socialist roots are completely banned and serious framework reforms are performed..the lack of international investors and excessive reliance on China is a naked example of this.

What was Bhutto economic vision? destroy private industries and build private casinos and night clubs to pimp the nation to gulf arabs??

The vulgar politics of Bhutto coupled with destruction of industry and redundancy of hard working people created an equal reaction in opposite force...paving way for Zia take over and extremism of Pakistan..

The casino

On the site where Pakistan’s largest shopping mall stands today (in Karachi’s Sea View area), there was once a stylish building erected between 1975-76. It was a widespread structure which was supposed to be the country’s first major casino.

The land for it was allotted by the Z.A. Bhutto regime to an entertainment business tycoon, Tufail Sheikh, who already owned a hotel and a nightclub in the city. The idea was to construct a giant casino to attract rich Arab sheikhs to Karachi after a civil war had broken out in Beirut. Beirut, before the war, had been a favourite haunt of rich Arabs and Americans frequenting its casinos.

The casino was completed in April 1977. It was an impressive and imposing structure with a huge hall where gambling tables and machines were placed. The casino also had bars, restaurants, guest rooms and a nightclub. The Bhutto regime was expecting a windfall of foreign exchange and a booming entertainment and hoteling industry to emerge around the casino.

In March 1977, the Bhutto regime got cornered by a violent protest movement by a right-wing alliance of opposition parties. In April, he agreed to their demand of closing down nightclubs, gambling at horse racing and the sale of alcoholic beverages (to Muslims). Ironically, these sudden bans were imposed on the day the casino was to be inaugurated.

 

[313ghazi]

nationalisation is a positive and responsible thing to do. The corruption and mismanagement is what has crippled Pakistan.

Core resources required by the state should always be nationalised;

- Energy
- Transport
- Health
- Infrastructure
- Minerals
- Agriculture

There should be private competitors to nationalised companies, but never a market were only private companies own such thing and there is no regulation.

I'll give you an example of the UK. Energy companies are owned by private companies, despite fluctuations in fuel prices, the cost of energy has only risen. Energy companies have been involved in price fixing (making sure they are not selling below a certain amount). All this is inspite of regulation. The parliament is bought off by lobbiests who get MP's jobs on the boards of such companies. It's a very dirty system.

 

[!eon]

PPP is like punishment for Pakistanis
First, it was Bhutto
then his son in law, Mr 10%

 

[jermankill]

Impact Of Nationalization On BECO And Pakistan Economic Development
Posted on August 22, 2008 by Anika Khan
There had been many times in Pakistan’s history when stupid decisions were taken by the government. Nationalization in Bhutto’s era was one of those decisions. 22 Families lost everything that they had worked for all their lives. BECO (Batala Engineering Company) is one such example.

Late Chaudhry Mohammad Latif was the founder and chairman of the Batala Engineering Company (BECO). After attending a meeting of leading Muslims in Batala, who wanted to establish Muslim industries in the face of Hindu dominance of retail, that he struck upon the idea of forming BECO.The company was established in 1932. , He sold its first 10 shares to a lime merchant for Rs 10. In the early years, he worked almost single-handedly to build up the company from its first workshop in two rooms and a veranda. Over the course of the next forty years, and in spite of losing much of his business when he migrated to Pakistan at Partition, he built BECO into a stalwart of the engineering industry in Pakistan. when the migration took place and all the muslims came to Pakistan. BECO donated a very large amount of its money to the govt of Pakistan, so the institutions could start functioning.

At its peak BECO employed 6,000 workers producing tools and engines that drove forward Pakistan’s fledgling economy. A model of Pakistani industry and the pride of Pakistan, BECO was a regular stop by visiting foreign dignitaries

Board of Directors (Lto R)

Chaudry Abdul Karim, Arif Latif, CM Latif, Khan Abdul Rehman , HMS Chaudri

Visit by Chinese Prime minister Chou En Lai. He was so impressed by BECO that he vowed to send Chinese engineers there for training.

Visit by Syrian Head Of State

King of Thailand on a visit to BECO during his state visit to Pakistan. Mr. Latif showing him a diesel engine coupled with pump. In those days all visiting head of states were shown BECO as a national asset

Mr. Latif with his team showing slow speed diesel engine parts to visiting dignitries. A lot of these were sent to East Pakistan to drain out water and produce power.
In background is Mr. Schneider BECO’s German works manager and Chief Engineer.

Mr. Latif with visiting KSB pumps director from Germany. BECO produced pumps in collaboration with KSB pumps with Siemens electrical motors in the BECO Kot Lakhpat factory

Visit by Pakistan’s Prime Minister

Being an Engineer Mr. Latif always believed in making progress in development of ideas and technology. In an interview couple of years back he said “I believe in creating money and not in making money.” “We can create money by employing more people and by expanding our business. Money, as such, should have no attraction for any reasonable person. What should really move us is the task of adding to our national wealth.”

Mr. Latif was a man of great genius and dedication . He brought BECO to teh heights of glory. Beco was ahead of its time in terms of technology.

Concrete Mixers

With his team of Japanese engineers

Machine tool division with lathe machines.

Testing the gates for barrages and canals

Machine tools division.

Zulfikar Ali Bhutto took over power on December 21, 1971 and on January 1, 1972 his government promulgated the Nationalization and Economic Reforms Order nationalizing 31 key industrial units, completely wiping out BECO. The company’s name was changed to PECO (Pakistan Engineering Company). Like other nationalised companies, PECO did not cut it and by 1998, it had run up an acknowledged accumulated loss of Rs 761.58 billion. In October 1977, Gen Zia-ul-Haq offered to return control of the company to Mr Latif and his management. Mr Latif refused to accept the offer unless the same were extended to owners of all nationalised industries.

It is such a sad thing that in the name of the country Mr.Bhutto ruined what was something to be proud of as a Pakistani. Had BECO remained with its owners we would have put Tata and Birla to shame. Govt abandoned the factory, sold out tons and tons of steel in the building structer and , and now what is left of it ,is an Industrial graveyard.

abandoned halls in the office at the Badami Bagh location

The desolate time office crumbling with time surround by acres of nothingness. At one point it was responsible for a factory chock a block full of sheds. There was no space to move without encountering a crane, machines, raw materials, spare parts and 3000 workers.

Every single shed was taken apart and all steel used in its construction was sold off made money pocketed. The glorious days pictures show the strength and amount of steel used in the sheds. Thats a gigantic amount of cash ……..

The office at the Badami Bag factory……the only remaining building at the 52 acre unit that was completely covered in production sheds. Wondering why this was also not pulled down. Perhaps not enough steel in the construction to sell

graves haunted by spirits of diesel pumps, machine tools, textile power looms, concrete mixer, diesel engines………………………….

This room was filled with drawing boards jammed next to each other. A place of engineering creativity which now lies in ruin.

my father told me that BECO was planing for next big items products in Pakistan like tank air plane engine and many other thing... this bhuto fked all the thing

 

[Sulman Badshah]

nationalisation is a positive and responsible thing to do. The corruption and mismanagement is what has crippled Pakistan.

Core resources required by the state should always be nationalised;

- Energy
- Transport
- Health
- Infrastructure
- Minerals
- Agriculture

There should be private competitors to nationalised companies, but never a market were only private companies own such thing and there is no regulation.

I'll give you an example of the UK. Energy companies are owned by private companies, despite fluctuations in fuel prices, the cost of energy has only risen. Energy companies have been involved in price fixing (making sure they are not selling below a certain amount). All this is inspite of regulation. The parliament is bought off by lobbiests who get MP's jobs on the boards of such companies. It's a very dirty system.

What was positive ? If someone have built a factory or invested in something than why should govt forcefully acquire that without compensating them ...

Govt can control the pricing policy of private industries and firms to ensure benefit for supplier and buyer .. Just like Pakistan govt have restrict pricing policy in Pharma sector

 

[somebozo]

PPP is like punishment for Pakistanis
First, it was Bhutto
then his son in law, Mr 10%

And we keep voting for this punishment

 

[313ghazi]

What was positive ? If someone have built a factory or invested in something than why should govt forcefully acquire that without compensating them ...

Govt can control the pricing policy of private industries and firms to ensure benefit for supplier and buyer .. Just like Pakistan govt have restrict pricing policy in Pharma sector

ok - i don't know the history of nationalisation in Pakistan. If the government grabbed other peoples assets that was wrong, they should have at least compensated them for it.

What my opinion is that any essential part of society (like pharmacuticals for example) should have a state owned element to it. I don't think people should profit from fuel, energy, from medicine, to an extent even from food, because this is what the awam needs to survive.

Take food as an example. This does not mean there shouldn't be restuarants, or food exports, or supermarkets, but i do think the price of certain essential foods (atta, rice, butter, milk, eggs, vegtables, meat) should be controlled so the poorest of the awam can afford to eat. The best way to do this is to have state owned shops that operate in the market place who sell these commodities at non profit prices (ie at cost prices).

 

[Khafee]

PPP is like punishment for Pakistanis
First, it was Bhutto
then his son in law, Mr 10%

Calling him Mr.10% is not fair. There hasn't been one single deal in which he has taken 10%. It has always ranged between 20% to 40%.

Calling him Mr.30% would be more appropriate.

 

[somebozo]

What was positive ? If someone have built a factory or invested in something than why should govt forcefully acquire that without compensating them ...

Govt can control the pricing policy of private industries and firms to ensure benefit for supplier and buyer .. Just like Pakistan govt have restrict pricing policy in Pharma sector

Dont worry dude he might be PPP jialya!

Calling him Mr.10% is not fair. There hasn't been one single deal in which he has taken 10%. It has always ranged between 20% to 40%.

Calling him Mr.30% would be more appropriate.

You dont get the pun...Mr 10% because that is what he leaves for the state..90% goes to him and his cronies!