Nationwide Updates

► Wheat import tenders to be opened on June 10: Gondal

Tenders to import wheat would be opened on June 10, Minister for Food and Agriculture, Nazar Muhammad Gondal said Wednesday. He said the imported wheat would help in ensuring abundance of wheat in the country to overcome shortage being faced in some areas. “No crisis of flour is in villages where country’s 80 percent population lives. It is only in few city areas. Strategy has already been finalised to cope with the situation. No crisis will be witnessed in the country after a fortnight”, he added. Arrangements have been finalised to avert any crisis by enhancing supplies through utility stores and special truck service has also been initiated.  (Daily Times)

► Imported garments flood local market

The textile apparel industry, faced with a tough competition in the world market, is also unable to compete with cheap imported garments and fabrics in the domestic market. According to traders, the local markets, particularly of posh localities, are flooded with imported readymade garments. Beside, being cheaper than locally manufactured garments, the quality and designs are also better which attract buyers of all income groups. These garments and fabrics are finding their way to domestic market from China, India and other regional countries.  (Dawn)

► PC changes growth targets of LSM, services sector

In a surprising move, top bosses in the Planning Commission have changed two important growth projections of the macroeconomic framework for the next fiscal year 2008-09. Planning Commission has lowered the large scale manufacturing (LSM) growth target from 9 percent to 6.5 percent and increased the growth target of services sector from 6.7 percent to 7.3 percent for the next fiscal year 2008-09, a senior official told Daily Times Wednesday. NEC, headed by Prime Minister, Syed Yousaf Raza Gilani, is scheduled to meet on June 2, 2008 and would approve Macroeconomic Framework for the next fiscal year 2008-09.  (Daily Times)

► Staving off stagflation

The biggest economic challenge the ruling coalition is faced with today is to hold down price inflation without letting fiscal tightening hamper investment and economic growth. The trade-off between two conflicting objectives — controlling inflation and boosting economic growth — should help avoid a situation which can lead to stagflation, in which an economy is characterised by high inflation and a low or negative growth rate. Price inflation soared to above 17 per cent in April in spite of a tight monetary stance adopted by the State Bank to curb demand.  (Dawn)

► Oil prices drift higher

World oil prices rebounded towards $130 per barrel on Wednesday, reversing earlier losses in volatile trade amid lingering worries about stretched global energy supplies, analysts said. New York’s main oil futures contract, light sweet crude for July delivery, gained 64 cents to $129.49 after earlier sliding as low as $125.96. Brent North Sea crude for July rallied 66 cents to $128.97, having earlier touched an intra-day low of $126.04. “The market still remains well supported by persistent supply concerns due to rising energy demand and limited spare capacity on the supply side,”.  (Dawn)

► ‘High inflation is a key challenge’

Rising inflation is key challenge in Pakistan for brands seeking market growth, president of Nielson Eastern Europe, Middle East and Africa (EEMEA region) Lennart Bengtsson said Wednesday. Speaking during a meeting of representatives of various national and multinational brands, he said RMS optimization program which delivers the deepest and widest coverage of market trends can give brands and manufacturers an accurate picture for various brands along with a sharp focus on helping retail partners for fulfilling their needs. staff report  (Daily Times)

► Arab states keen to invest in Sindh

Senior diplomats of Saudi Arabia, Bahrain and Oman have expressed the intentions of their respective governments and investors to set up agro-based projects in Sindh. They identified Larkana and Khairpur Mirs as their possible investment avenues. Consul General of Saudi Arabia Dr Hasan Abdul Rashid Attar, Consul General of Bahrain Khalid Mhammad Al Tami, and Consul General of Oman Rashid Saqar Al Zabi met Sindh Industries and Commerce Minister Rauf Siddiqui in his office on Wednesday and made enquiries about the potential of industrial investment in the province.  (Dawn)

► Industrial relations, key to economic progress

Some of the basic concepts of industrial relations have been summarised by Richard, A. Lester, Chairman, Department of Economics and Research Associate, Industrial Research Section, Princeton University, USA. Though these are based on a study of the conditions of American labour relations, these concepts may apply more or less to labour relations in all the industrial democracies of the world. Labour relations do not differ much except in totalitarian countries. (1) Labour and management have different goals and place a different priority on social values, such as security and individual incentives.  (Business Recorder)

► 14.11 million bales cotton production likely this year  

It is hoped that 14.11 million bales of cotton will be produced this year while the sowing area target has been fixed at 3.2 million hectares (7.904 million acres). The target has been set by the Crop Assessment Committee in its recent meeting, said Director, Central Cotton Research Institute (CCRI), Muhammad Arshad, while talking to APP. He said that cotton sowing "is at its peak currently", and cultivation would continue till the first week of June. The province-wise sowing targets are: Punjab 2.52 million hectares (6.224 million acres); Sindh 0.63 million hectares (1.556 million acres), NWFP 0.01 million hectares (0.024 million acres), and Balochistan 0.04 million hectares (0.98 million acres).  (Business Recorder)

► New agriculture policy for Punjab on the cards

The Minister for Agriculture, Punjab, Malik Ahmad Ali Aolakh has said that the government was preparing farmers' friendly policies in the upcoming budget. 'We will deal with the hoarders of DAP with iron hands and fix the rates of seeds, fertilisers and pesticides', he said this while addressing a meeting of 'Crop Management Group' held in the Central Cotton Research Institute on Wednesday. He said that southern Punjab was being made the head quarter of agriculture. Due to shortage of water, till now cotton has been sown only on 24 percent of the area but the situation would become better by June 15.  (Business Recorder)

► Food crisis will eventually end: Amartya Sen  

Amartya Sen, who received the Nobel Prize in economics in 1998, has said that the present global food crisis will eventually end. Senator questions whether the food crisis that is menacing the lives of millions will ease up - or grow worse over time. According to Sen, the answer may be both. "The recent rise in food prices has largely been caused by temporary problems like drought in Australia, Ukraine and elsewhere. Though the need for huge rescue operations is urgent, the present acute crisis will eventually end. But underlying it is a basic problem that will only intensify unless we recognise it and try to remedy it."  (Business Recorder)

► Pakistan participates in leather exhibition  

Pakistani manufacturers of shoes and leather products are taking part in the annual exhibition started in Guangzhou from Wednesday. As many as 17 prominent entrepreneurs from Karachi and Lahore are taking part at the 18th International Exhibition on recommendation of Pakistan Tanners Association with the collaboration of Trade Development Authority of Pakistan (TADP). According to the organiser, the fair is unique in terms of specifically catering to the needs of shoe manufacturers. The exhibition has become an important event for the leather industry for the consumption of finished leather for shoes in Guangzhou city as it is also considered one of the industrial hubs of China.  (Business Recorder)