In the upcoming phase of the China-Pakistan Economic Corridor (CPEC), there is a significant emphasis on industrialisation, particularly through the establishment of Special Economic Zones (SEZs).
Jamshed Ahmed, an Investment and Industrial Specialist at the CPEC Authority operating under the Ministry of Planning, Development, and Special Initiatives, shared insights with WealthPK. He mentioned that in 2016, Chinese experts were tasked with conducting site visits to assess the feasibility of potential locations for SEZs.
“The primary goal was to identify the most suitable sites for industrial development. Initially, 34 to 39 sites were deemed appropriate and feasible for this purpose,” Ahmed stated.
He added that provincial governments were actively involved to reach a consensus on their preferences for SEZ locations. Ultimately, nine zones and areas were selected as potential sites for SEZ development.
Ahmed highlighted that four zones, one in each province, were identified as priority areas, with plans for expansion into other regions in the future.
Allama Iqbal Industrial City (AIIC)
One of the priority SEZs, Allama Iqbal Industrial City (AIIC), is being developed on approximately 3,217 acres of land in Faisalabad. Ahmed mentioned its strategic advantage of proximity to the M-3 Industrial City, which houses textile, pharmaceutical, information technology, chemical, automotive, and service units.
“Construction work on AIIC has been ongoing since November 2019, with 20 to 25 Chinese companies in the process of establishing their units there,” he noted.
Rashakai SEZ
In Khyber Pakhtunkhwa, the Rashakai SEZ is being developed over an area of 247 acres. Plots have been allocated to 24 enterprises, including a Chinese steel manufacturing company. Some units in this SEZ are nearing completion and are expected to commence production in the coming months.
“Strategically located, Rashakai aims to boost trade and connectivity as a gateway to the international market,” Ahmed explained.
Dhabeji SEZ
Situated near Thatta district in Sindh, the Dhabeji SEZ spans 1,530 acres of land. Ahmed highlighted its strategic proximity to Port Qasim and Karachi Port, attracting considerable interest from Chinese investors.
“The location offers significant cost advantages for inland transportation and facilitates direct export operations from the ports,” he added.
Bostan Industrial Zone
Covering an area of 1,000 acres, the Bostan Industrial Zone in Balochistan lies on the border between Pishin and Quetta. Ahmed mentioned its accessibility through various means of connectivity, including airport, seaport, dry port, railways, and roads, ensuring business activities and labor force mobility.
“The zone is conveniently situated just 23km from Quetta Airport,” he noted.
Regarding the progress of these SEZs, Ahmed mentioned that for projects assigned to Chinese contractors, the CPEC Authority closely monitors progress through their headquarters in China.
