Local share just 5pc in Rs 60b auto market

OUR STAFF REPORTER LAHORE Pakistan has over Rs 60b spare parts market, but the domestic industry has only 5-7 percent contribution in the whole national market. This was stated by Pakistan Association of Automotive Parts and Accessories Manufacturers (PAAPAM) newly-elected central chairman Syed Nabeel Hashmi here on Sunday. In domestic market, about 95 percent imported auto parts are in circulation, he said, asking the local assemblers to focus the domestic industry and work hard for the promotion of it. He expressed his determination to double exports of auto spare parts in coming time and announced to follow the 'outward looking policy during his tenure. While addressing a training programme held here on Sunday, Nabeel Hashmi said that Pakistan has to get its share in the international auto parts market. The special training programme was arranged ahead of the three-day mega event of the Pakistan Auto Show 2011 being held from October 24 at the Expo Centre in Lahore. Question and answer session was also held during the 8-hour marathon seminar. He said the Paapam has been seeking the governments assistance in order to produce the two-wheelers with complete locally-made parts so that the industry can hit the milestone of achieving 100 percent localization. He said that he is very optimistic about the governments support in terms of continuation of industry-friendly policy, maintaining level-playing field and encouragement of local players to enhance their production through Research and Development (R&D) funds. He said that the local motorcycle manufacturers have successfully achieved more than 90 percent localization of parts so far but they do not want to relax here as they have eyed on the target of 100 percent deletion level. This milestone will fulfill the dream of the local manufacturers to make cheaper motorcycles available for the consumers besides saving billions of rupees foreign exchange of the country which is spent on importing the locally unavailable parts, he added. He revealed that the local players are trying tooth and nail to manufacture carburettors and hi-tech parts demanding high precision and modern technology. They need governments support in all means to achieve the local production of these parts meeting the international standards. We have to prepare auto parts locally, he said, adding, we should not ignore our presence in the huge international market. He said that the international auto market is in trillions, and we have no presence over there. The PAAPAM chairman expressed special thanks to the CBI, a centre of the Foreign Affairs Ministry of Netherlands for the promotion of imports from developing countries, for their support in the upcoming auto show in Pakistan. He said that the association was working day and night for the success of the Pakistan Auto Show. We are expecting more participation in the mega event, he said, and asked the industry experts to share their knowledge with the participants. CBI expert Christophe Landuyt, who is also coordinator/trainer of trade show, also addressed the seminar, and shared his experiences with the participants. Earlier, Seminar Committee Co-Coordinator Usman Aslam discussed in detail about the upcoming Pakistan Auto Show with participants, and informed them that the three-day event, to be held from October 24 to 26, would have a positive impact on local industry. He asked local industrialists to get what they could from the first-ever event, and work hard to compete the international market.

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