Pakistan - Industry

Pakistan Industry 1128
Photo by: Asianet-Pakistan

During the 1960s and 1970s, light industry expanded rapidly— especially textiles, sugar refining, fertilizers, and other manufactures derived from local raw materials. Large government investments in the 1970s established the country's first large-scale ship-building and steel milling operations; the production of chemical fertilizers was also given special government support. The Pakistan Industrial Development Corp., established in the early 1980s with IDA credit, developed industrial estates for small- and medium-scale industries, assisting their occupants in obtaining credit, raw materials, technical and managerial assistance, access to production facilities, as well as marketing support. Despite steady overall industrial growth during the 1980s, the sector remains concentrated in cotton processing, textiles, food processing and petroleum refining.

The 1973 nationalization program, which placed 10 basic industries wholly within the public sector, was reversed in 1991 with the enactment of an ambitious privatization program. In 1992, the government began auctioning off majority control in nearly all public sector industrial enterprises, including those manufacturing chemicals, fertilizers, engineering products, petroleum products, cement, automobiles, and other industrial products requiring a high level of capital investment, to private investors. In 1995, however, the speed of privatization began to slow as the sale of some large state-owned units were stalled and postponed. In 2002, the public industrial sector, under the Production Wing of the Ministry of Industries and Production consisted of eight public holding companies—Pakistan Steel, the State Cement Corporation (PACO), Federal Chemical and Ceramics Corporation (FCCC), State Petroleum Refining and Petrochemical Corporation (PERAC), State Engineering Corporation (SEC), the Pakistan Industrial Development Corporation (PIDC), the state fertilizer corporation and Pakistan Automobile Corporation. The majority of the 74 production enterprises controlled by these holding companies have been privatized, and most of those remaining are scheduled to be sold. The public sector continues to dominate in steel, heavy engineering, automobiles, petroleum and defense-related production.

Cotton textile production is the most important of Pakistan's industries, accounting for about 19% of large-scale industrial employment, and 60% of total exports in 2000/01. Pakistan has become self-sufficient in cotton fabrics and exports substantial quantities. Some long and extra-long staple cotton is imported to meet demand for finer cottons. About 80% of the textile industry is based on cotton, but factories also produce synthetic fabrics, worsted yarn and jute textiles. Jute textile output amounted to 70,100 tons in 1999/00. The textile industry as a whole employs about 38% of the industrial work force, accounts for 8.5% of GDP, 31% of total investment, and 27% of industrial value-added.

Other important industries include food processing, chemicals manufacture, and the iron and steel industries. Food processing is considered Pakistan's largest industry, accounting for slightly more than 27 of value-added production. Pakistan Steel, the country's only integrated steel mill, employs about 14,500 workers and has an annual production capacity of 1.1 million tons. The government plans to expand the mill's annual capacity to 3 million tons. Pakistan Steel produces coke, pig iron, billets, hot and cold rolled coils and sheets, and galvanized sheets. In June 1999, the first tin-plating plant began operation, a joint venture with Japan.

Pakistan has ten fertilizer plants, six state-owned and four private, with a total annual production capacity of 4.65 million tons. Production in 2000/01 was 3.66 million tons, up 10.5% from 1999/00. There are 21 cement plants, four state-owned and 17 private, with an annual production capacity of 19.2 million tons. Production in 1999/00 was 9.9 million tons., up 4% from 1999/98. Pakistan's chemical industry produces an number of basic chemicals used in its other industries, including soda ash, caustic soda and sulfuric acid. Industrial output from other major industries also includes refined sugar, vegetable ghee, urea, rubber tubes, electric motors, electrical consumer products (light bulbs, air conditioners, fans refrigerators, freezers, TV sets, radios, and sewing machines), and pharmaceuticals

User Contributions:

this article is very useful and informative.i am a student and it is very useful for i think that this article would me useful for every student like me.
zara siddiqui
A very informative article tremendously comprising industrial information along with statistics as in palistan economy
Irfan Kayani
every one has his one views,some say pakistan is good,some says its OK,
But i think !

what ever you asy PAKISTAN is the BEST.
This article was very uselful and i agree. For other students like me, it helps alot. Ty
Tayyeba ahmad
nice and informative article and very useful to enhance students knowledge about pakistan geography.thanks-dua go tayyena
I am student of Industrial Engineering and Management, this article boosts great length for my kind of technology, it gives me full insight about the condition and upright of the industrial sectors of this country. How the country has groomed into this arena and how has it affected the neighbouring states like China and Iran to invest in Pakistan.
anum shahzad
it,s really a very informative article.i think all the students must took advantage by read this article.This is really good.
A Rehman Syed
This is very informative essay about the history of Pakistani Industry, students must read to for their knowledge and I beleive it helps alot in understanding of Pakistani Industrial development.
malik fayyaz sumbal
I think that this article is very usefull for every student that have a subject (economics. this article give me very fine marks in my a report. ok
Great article! no time wasting clutter - draws a complete picture in just a one pager document - brilliant!
naveed burhan
i am student of industrial engineering and managment this knowledge is very useful for mine and also other industrial engineers the govt should take steps to establish industrlisation in pakistan and be strong like a china japan usa etc
thankgod. this is one article thats helping me in my project.
It is very informative and also help students.It very rare and intersting information.Thank for this.
along with statistics in palistan.thank u 4 providing such nice opertunities.
Dr. Ejaz Ahmed
Nice article but regular revisions should be incorporated to provide as current information as possible. That will provide more opportunities for students to get benefit. Congratulations for spreading knowledge.
Very good article with relevant facts and figures. We need to study a lot about Pakistan and conduct researches that may benefit our country in future.
it is very informative article for all students and industrial management
Thank you very much for a very informative article. There is much data which is still missing, I am serving at a very senior position in the Government. Presently working on the Industrial colonization in the Province of Punjab.There is no mention of the Industrial Estates like Sundar Industrial Estate,PIEDMIC,FIDMIC(FAISALABAD).No mention has been made about the job creation as aresult of PRIVATIZATION as far I know majority of the buyers of these Enterprises were the conglomeration of the ambitioush hikers of the REAL ESTATE MARKETE who not only sold the precious machinary and equipment of these instrial units at a through away prices but they sold the land at an exorbitant prices to the housing contractors for making housing units thus depriving the nation from the legend industrial enterpereneures besisides the generation of un-employment at a large scale.
It is a very good article which brings the lot of information about the industrial development in Pakistan and i am very thank ful for providing me this unique and precise information.

With Best Regards
Rana Rashid Afzal
Much informative material,may help a lot of students. Only deficiency i believe is lack of relevent pictures/diagrams.

Hassan Aziz
Very informative can the students especially the engineering students alot
this article help me to understand the industrial background of PAKISTAN n it helps me in preparing my assignment on economy. thnx
i want to see determinant of industry growth in Pakistan.
A very informative and cohesive article indeed , can i get the name of authur and publiser to give reference in my research paper
informative article but most recent data should be incorporated. author and publisher data is needed for referential purposes
informative article but most recent data should be incorporated. author and publisher data is needed for referential purposes
A very informative and article. i've visited it quite late cx its 2011.. but it has helped me for my assignment . thnx
very nice and helpful article for students. i appreciate the one who published this article..
good information. but i want to know the total consumption of fertilizer in pakistan
This staff is very useful for me ...thank you very much ...???
Audrie Chidester
Thank you so much who ever made this organization a possibilty!I am very gtateful!
very nice information.thank you so much to give us such information.
This article is full of genuine information but it is much necessary to be updated on yearly basis to redeem latest information.over all excellent
This article is informative for students and I am a student and this is informative for me

Comment about this article, ask questions, or add new information about this topic: