There is no question that for Pakistan to emerge as a prosperous middle-income country by 2030; it needs to work on industrialization in the fastest manner possible. Development of industry is critical in this path; it raises the national income, creates employment, and, very significantly, improves Pakistan’s continual issues over its balance of payments. Industry would directly produce exports and produce goods for import substitution.
Its growth would act as a multiplier effect for supporting and stimulating development in other sectors of the economy. It has also been recognized that foreign capital and technical skill investment can play an essential part in the rapid implementation of the industrial program in any country. China has become a prime example across the world on how to use special economic zones to attract foreign direct investment and see the rapid development of industry and growth at levels of over 10% for decades.
This emulation of the Chinese model is a desire that has been expressed many times by Prime Minister Imran Khan, and he has mentioned how CPEC phase 2 will focus on Special Economic Zones, specifically, to enhance Pakistan’s industrialization process. Despite, the Corona pandemic, over ten SEZs were launched in 2020 by the prime minister. One of the key policies the Chinese had for their SEZs was that they were operated under Public-Private partnership models. In India over 75% of SEZs operate under the private SEZ model.
Public-Private partnerships are one of the most productive ways to get private sector expertise into operating industrial zones. The private sector is more efficient at attracting investment into SEZs, as well as having a better skill set to run SEZs when these are launched; simultaneously, the government takes on the macro-level risk and ensures that investors understand it would support the SEZ throughout its lifecycle.
It is also cheaper for the government to establish and operate such models because the private developers usually finance most of the internal infrastructure, and governments are asked only to provide the external infrastructure. One of the key factors to gauge any PPP run SEZ’s success is the quality or expertise of those running them. Pakistan SEZ’s are running under several different models, but the Public-Private partnership model is very successfully being run in Punjab under the Punjab Industrial Estates Development & Management Company (PIEDMC), which is a section 42 company incorporated under Companies Ordinance of 1984.
It is an autonomous, not-for-profit entity owned by the Government of Punjab. It is run by a Board of Directors (BOD) comprising private sector industrialists and ex-officio members. PIEDMC was initially conceived by Jehangir Khan Tareen when he was an advisor to the Punjab Chief Minister Pervaiz Ellahi government in 2002. It has proved to be one of the most successful examples of a Public-Private Partnership in Pakistan. Since 2002, it has launched nine industrial zones including the much talked about Sundar Industrial Estate (100% colonized), Multan Industrial Estate & Quaid-e-Azam Industrial Estates.
Four of the PIEDMC’S industrial Estates have already been declared as SEZs namely Quaid- e-Azam Business Park, Rahim Yar Khan Industrial Estate, Bhalwal Industrial Estate, Vehari Industrial Estate. Soon to be launched, Bahawalpur Industrial Estate is also being declared as an SEZ (SEZ application approved by Special Economic Zone Authority Punjab & forwarded to BOI, Pakistan for final approval). GVS recently spoke with Nabeel Hashmi, Chairman PIEDMC, who while explaining the achievements of the PIEDMC, at one point argued that it was possible because PIEDMC team cumulatively bring around 700 years of management experience. We then decided to look at the profiles of PIEDMC board members who have relentlessly worked, away from the public eye, to make these industrial estates possible.
“PIEDMC board has 700 years of cumulated experience.”
Syed Nabeel Hashmi
Syed Nabeel Hashmi Chairman – Thermosole, BBN Energy Pvt Ltd, SASA Pvt Ltd.
Syed Nabeel Hashmi is the current Chairman of Punjab Industrial Estates Development & Management Company (PIEDMC) and has been a board member for 11 years. He is also the current chairman of Thermosole, a design and manufacturing unit of automotive plastic components, BBN Energy Pvt Ltd, a liquid petroleum gas handling company and SASA Pvt Ltd, an import-export company representing various international brands in Pakistan. Mr. Nabeel also serves as President at Pakistan Plastic Manufacturers Association. He aims to lead Pakistan towards a technologically advanced and empowered state.
Muhammad Javed Ilyas Chief Executive Officer, PIEDMC
Muhammad Javed Ilyas is the Chief Executive Officer of Punjab Industrial Estates Development and Management Company (PIEDMC), an autonomous, not for profit entity owned by the government. He previously held the position of General Manager Special Projects at PIEDMC. Before that, he worked as General Manager Contracts at Engineering Consultancy Services Punjab (ECSP). He has a bachelor’s degree in civil engineering from the University of Engineering and Technology, Lahore. He also worked as Chief Engineer at Lahore Ring Road Authority.
Usman Malik CEO – Kor Tech Auto Industries Pvt Ltd. BOD, PIEDMC
Usman Malik is a successful businessman, an entrepreneur, and a member of Pakistan Japan Business Forum, AOTS, LCCI and AIDC. Apart from establishing a successful business, Kor Tech Auto Industries, Mr. Malik contributes to skills development in country’s youth by serving as a board member in Technical Education and Vocational Training Authority (TEVTA) and Federation of Pakistan Chambers of Commerce & Industry (FPCCI). Mr. Malik has been the flag bearer of Pakistan abroad leading auto sector trade delegations acting as a conduit of knowledge and technology for Pakistan.
Dr. Sumaira Rehman Rector, Superior College
Dr. Sumaira Rehman is serving Punjab Industrial Estates Development and Management Company (PIEDMC) as an Independent Director. She holds a Ph.D. in Women Entrepreneurship and Work-Life Interfaces and is an advocate of education for all and how it can bring a positive economic and social change in Pakistan. She is also a Rector at Superior University, thus enlightening future generations and improving Pakistan’s business outlook in tandem. She works for women empowerment and is a visionary when it comes to entrepreneurship, her presence on PIEDMC’s Board of Directors brings diversity and positivity to the decision-making table.
Mr. Khawaja Arif Qasim President BOM, QIE / Member BOD, PIEDMC
Khawaja Qasim, Member BOD, PIEDMC, has a vast experience in the corporate sector, both at the regional and international level. He has served as the Chairman of Pakistan Vanaspati Manufacturer Association (PVMA) in 2009- 2010, 2012-2013 & 2015-2016. He has also chaired the Pakistan Edible Oil Conference (PEOC) from 2016 to 2018. Mr. Qasim’s first tenure as President, Board of Management, Quaid-e-Azam Industrial Estate (QIE) has been such a period of modernity and growth that PIEDMC’s management entrusted him with the same responsibility again in August 2019.
Mr. Muhammad Anees Khawaja Director – Mahmood Group, Multan
Mr. Khawaja had joined Mahmood Group of Industries in 2003 as a member Board of Directors. Within months, he started taking part in strategic decision-making regarding Marketing, BMR, and Production, Administration, Audit, IT, and ERP. He is an advocate of effectively using systems and new operational techniques, which has helped the group become one of the top five largest textile groups of the country and one of the most efficient. He has been able to diversify the group since then into various other businesses such as leather tanning, food, energy and real estate. Being a corporate citizen has motivated Mr. Khawaja to be one of the largest private solar energy producers in Pakistan.
Mr. Shahid Hussain Tarer Managing Director – Galaxy Rice Mill (pvt) Ltd.
Under Mr. Shahid Hussain’s leadership, Galaxy Rice Mills has become one of Pakistan’s top rice exporters within eight years. His other business ventures include a marble manufacturing business and being involved in quarrying marble and granite. He has been a Director at Sialkot International Airport for the last ten years. He is a firm believer that human potential and output can be aided by innovative means and latest technology. PIEDMC has benefited from this knowledge and passion as he brings deep insight and understanding of how to use our strengths to achieve the ultimate goal.
Mr. Ahsan Mahmood Butt CEO – FAS Tube Mills & Engineering Industries
Mr. Butt brings his vast industry experience, of over 40 years, into PIEDMC’s board. He looks for out of the box solutions; a prudent approach in solving complex business problems has earned him the respect of his peers and colleagues. His entrepreneurial skills and business acumen have been in full display since 1997, the year he became the president of FAS Tube Mills and Engineering Industries. Under his leadership, FAS Tube Mills and Engineering Industries have been nominated by Flussiggas Anlagen GmbH Salzgitter and M/s NINNELT International GmbH, Salzgitter (Germany), as their exclusive distributors in Pakistan including SNG system, LPG Conversion Kits, LPG Fittings / Equipment and various other engineering & technical services.
Mr. Tariq Siraj Jaffrey CEO Koldkraft (Pvt) Ltd.
Mr. Jaffrey is a self-made man who has learned the nuances of entrepreneurship through the market’s practical experiences. He started his journey through a small construction company, moved to Millat Tractors Limited (MTL) and then to Pakistan Elektron Limited (PEL). This diverse work experience and industry exposure led Mr Tariq to start his business venture, i.e. KoldKraft Pvt. Ltd. He has interests in agriculture, fish farming, dairy farming, horticulture & meat processing. As member PIEDMC Board he is making contributions to shape the industrial growth of Pakistan.