PM asks Fahim to

strengthen exports’

institutional

framework

ISLAMABAD: Makhdoom Amin

Faheem, Federal Minister for Commerce

called on Prime Minister Raja Pervez

Ashraf at the Prime Minister’s House on

Monday and held discussions on a host

of issues including prevailing political

situation in the country and matters

pertaining to his ministry. During the

meeting, the Prime Minister directed the

Federal Minister to focus on

strengthening of institutional framework

for promotion of exports, says a press

release issued by the Prime Minister

House. The Prime Minister directed him

to institute such policies and

programmes which promote regional

trade as it has a huge potential, which

needs to be tapped. “The promotion of

goods and handicrafts produced by

those hailing from the less developed

areas could be instrumental in their

economic empowerment”, observed the

Prime Minister. The Ministry of

Commerce should facilitate channeling

their exports, he added. The Prime

Minister directed Amin Faheem to

sensitize the public on the achievements

of the democratic government. APP

Attock Cement to

trade CERs at iCtE after

UNFCCC registration

KARACHI: The Attock Cement Pakistan

Limited (ACPL) would be trading the

Carbon Emission Reductions (CERs) in

the International Carbon Trade

Exchange (ICTE). The ACPL, one of

country’s leading cement manufacturing

and exporting firms, would be able to

trade thousands of CERs in the ICTE

annually. According to company

sources, the ACPL has got its Waste

Heat Recovery System (WHRS) project

registered with the United Nations

Framework Convention on Climate

Change (UNFCCC) for the qualification

of CERs. With this registration the

cement giant is expecting from the the

WHRS project CERs approximately

35,000 per annum. The company has

also shared this material information

with its shareholders at the Karachi

Stocks Exchange Monday. “These CERs

are tradable in the International

Carbon Trade Exchange,” Company

Secretary Irfan Amanullah told the

front regulators at KSE. The listed

firms are bound under Clause (xx) of

the Listing Regulation No 35 under the

Code of Corporate Governance to

share any material information with its

stakeholders on the country’s equity

market that could impact, in a positive

or negative way, the price of its

shares. STAFF REPORT

01

KARACHI

ISMAIL DILAWAR

IF investors’ sentiments on the stocksmarket are any criteria, the econom-ics seems to have had a profoundedge over politics in the country ofuncertainties like Pakistan.

The investors’ bullish mood at KarachiStocks Exchange on Monday depicted asif the traders were completely unwary ofwhat was happening on the city’s roadsthat remained deserted throughout the day,thanks to a wheel-jam and shutter-downstrike called by the Shia Ulema Counciland other stakeholders to mourn the deadlycarnage in Quetta Sunday.

Even the traditionally most effectivepolitical upsets like the fresh split betweenthe ruling collation partners, the PPP andMQM, did not seem to have its impact onthe country’s largest sentiments-drivenbourse. Rather, the improving economicindicators seemed to be dictated the in-vestors’ sentiments at the country’s largestbourse that, despite the most uncertain lawand order situation, gained 68.39 points orincreased by 0.38 percent on the day.

The benchmark KSE 100-share indexclosed at 17,865.61 points against17,797.22 points of Friday, last trading ses-sion of the previous week.

The index was also recorded peakingto the intraday high of 17,914.43 points be-fore plunging to the intraday low of17,750.12 points. Of the total scrips traded,147 saw their share price increasing, 162contracting and 22 as unchanged.

The free-float KSE-30 index alsoclosed in green zone at 14,624.29 points,gaining 61.51 points compared to

14,562.78 points of the previous session.The shares traded were recorded at the

ready-counter at 291.611 million, register-ing an increase of 28.865 million com-pared to Friday’s 262.746 million shares.The value of total traded shares also roseto Rs 7.177 billion from Rs 7.063 billion.

The market capital also set in the greenzone by inflating to Rs 4.469 trillion com-pared to Rs 4.461 trillion of last week. Thesecond and tier shares remained on theforefront led by the PTCL which countedits traded shares at 29.23 million gaining0.82 paisas. The Pace (Pak) Limited, NIBBank, Fauji Cement, Telecard Limited,Jhangir Siddqui Company, Engro Corpo-ration, Maple Leaf, DG Khan Cement andAisha Steel were other volume leaders ofthe day. The trading on the future side alsogrew to 31.3 million shares from the pre-vious 19.71 million.

The earning announcement sessionwas cited by the market analysts as a pri-mary sentiments-booster on Monday.

“(The) stocks closed bullish amidhigher trades in the earning announcementsession at KSE on strong earnings out-look,” viewed Ahsan Mehanti, a senior eq-uity analyst. Other leading attributablefactor Mehanti saw at work to enhanceconfidence of the risk-averse investors onMonday was the small but significant sur-plus the country was able to achieve in itscurrent account during the first sevenmonths of current fiscal year.

According to data released last weekby the central bank, during July-Janu-aryFY13 the country’s current accountposted a surplus of $ 62 million comparedto a huge deficit of $ 2.792 billion duringthe corresponding period of FY12.

The surplus, according to chiefspokesman of State Bank of Pakistan SyedWasimuddin, was “due to the CoalitionSupport Fund (CSF) and reduced tradedeficit”. While the review period saw thetrade gap narrowing down to $ 8.774 bil-lion from last year’s $

9.418 billion, the country received $ 688million from its non-Nato allies in theUnited States in December last year as warreimbursements, popularly known as CSF.

Washington’s reported willingness tocontinue the reimbursement of CSF to Is-lamabad despite opposition from someCongressmen also boosted the investors’confidence at Karachi bourse. “(The) $62million current account surplus for July-Jan 2013… speculations ahead of US CSFrelease” Mehanti said played as a catalyst.

The receipts under the head of workerremittances, which amounted to $ 8.207 bil-lion during July-JanuaryFY13 compared to$ 7.436 billion of last year, are also consid-ered to be a persisting stimulus to this effect.Other factors that impacted the investors’sentiments positively were the expectedhike in KESC’s power tariff easing concernsfor circular debt in the energy sector, hopesfor the OGDC gas sales agreement with fer-tilizer companies and improved outlook forLDI segment revenue for telecom stocks,

the analyst said who also isa director at Arif Habib Se-

curities. This Mehantisaid was “se-

curity con-cerns in thecity and

r i s i n gpoliti-cal un-

certaintyafter key(the) coali-tion partner( M Q M )exits gov-

ernment”.

BUSINESS

BTuesday, 19 February, 2013

Gwadar agreement will give

new impetus to Sino-Pak

relations. —President Asif Zardari

Bulls rally on PositivEeconomic indictors

The index was recorded peaking tothe intraday high of 17,914.43 pointsbefore plunging to the intraday low of

17,750.12 points. Of the total scrips traded,147 saw their share price increasing, 162

contracting and 22 as unchanged

KARACHI

STAFF REPORT

The industry sources are foreseeing the average gas saleprice to be set at $ 4.1 per mmbtu as the Ministry of Pe-troleum is said to have submitted its recommendationson the fertilizer sector’s gas requirement.

This price would be inclusive of the average saleprice of $ 3.75/mmbtu along with $ 0.35/mmbtu thatwould be added as the average tolling charge by the gasutility company like the SNGP.

Quoting the industry sources, the analysts at ArifHabib Research Monday said the Ministry of Petroleumhad recommended that Engro Fertilizer, Pak-Arab Fer-tilizer, Dawood Herculus Fertilizer and Agritech Limitedwould need 205mmcfd gas during the interim period. Thesource-wise breakup shows that of this total 130mmcfdwould be provided from Kunar Pasaki Deep (KPD),22mmcfd from Mari, 25mmcfd from Makori and28mmcfd from other gas fields.

“The minimum time period expected would bearound eight months,” they said.

About the impact of this development on Engro, theanalyst said the current scenario placed Engro in be-tween the devil and the deep blue sea, where Engro hadbeen showing reluctance in finalizing the mentionedGas Sale Agreement (GSA) due to agreement with thegovernment for keeping the final feedstock price intactat $0.7/mmbtu. “By accepting the aforesaid GSA, theEngro’s urea production would be increased and, as-suming 80 percent capacity utilization at current ureaprices, it would be enough to pull EFERT’s bottom lineout of the red zone, as we estimate an EPS of PKR 0.67(at $ 4.1/mmbtu rate),” they said.

Further salvation, the market observers said, mightcome for EFERT if it paid only tolling charge (at $0.35/mmbtu) and received gas at subsidies rates ($0.7/mmbtu) as per initial agreement. This scenarioyields an earning per share of Rs 5.18 for EFERT (forENGRO: Rs 10.86), the analysts said.

PETROLEUM MINISTRYrecommends gas saleprice at $4.1 per mmbtu

ISLAMABAD

APP

COMSATS Institute of Information Tech-nology (CIIT) will organize 2nd Pak-China Business Forum inMarch, to promote Uni-versity -Industry collab-orations in business andeconomic sectors for themutual benefit of both thecountries.

CIIT introduced an acade-mia driven model of Business Cooperation by estab-lishing Pak-China Business Forum to promote

academia-industry collaboration in business and eco-nomic sector for mutual benefit of both the countries.The seminar will comprise project exhibition, seminars,workshops and industrial academic expo.

Major Chinese and Pakistani companies, small andmedium enterprises, entrepreneurs, universities, and re-search & development organizations will attend theforum activities. According to an official, the forum will

provide an opportunity for commercializationof products and processes of the partici-

pating organizations. CIIT started its journey

in 1998, and establishedits first campus at Islam-

abad in April 1998. In Au-gust 2000, in recognition of

CIIT’s achievements, the gov-ernment granted it the status of

a Degree Awarding Institute (DAI) through promul-gation of its charter.

UAE’s Ajman FreeZone’s road-show inPakistan on 26thKARACHI: The Ajman Free Zone Authority (AFZA) isorganizing a seminar to enhance business relations,promote trade and strengthen ties with Pakistan’sbusiness community. The road show is aimed atPakistani businessmen, entrepreneurs and investors thatwould like to spread their operations internationally,especially in the Middle Eastern region whereby theUAE serves as a springboard and a centre point to enterthe regional markets. The road show will be held on26th February here at a local hotel in which potentialPakistani investors will be briefed about diverseinvestment options at AFZA through which emergingand established Pakistani industrialists and entrepreneurstargeting emerging markets can set up operations in theAjman Free Zone. A three-member high profiledelegation from AFZA will arrive from UAE for theINVESTORS MEET on 26th February. During theirvisit, AFZA officials aim at meeting investors fromvarious industries, trade and service sector and showcasemultiple facilities and business investment opportunitiesavailable for the Pakistan business community. Theconvenient set-up solutions, diverse range of licensingoptions along with a tax free operation are some of thecore subjects to be discussed with the prospectiveinvestors. Mahmood Al Hashemi, Director General ofAFZA, in his statement said that “We have been able toattract significant investments from all over the worldand are committed at facilitating services to theseentities through cost-efficient, flexible and innovativeplatforms”. So far, AFZA has attracted over 7,000companies with a significant chunk of SME investmentsin the portfolio. Ali Fahmi, Head of Customer ServicesDepartment said: “Pakistan is an important market forAjman Free Zone and the investment from the countryhas been growing over the last few years. Ajman servesas an opportunistic destination for Pakistani businessdue to close proximity to Pakistan, a strong connectivitywith ample of flights between the countries and robustinfrastructure. We are confident of offering investorsfrom Pakistan all assistance required in setting up andensuring thriving operations as their success reflectsour”. Situated at the foot of the Arabian Gulf, the AjmanFree Zone is widely regarded as the ideal depot for thesupply of goods and services for both domestic andregional markets around UAE. STAFF REPORT

2nd Pak-China businessforum in March

PRO 19-02-2013_Layout 1 2/19/2013 12:09 AM Page 1

BUSINESSTuesday, 19 February, 2013

Major Gainers

COMPANY OPEN HIGH LOW CLOSE CHANGE TURNOVERUniLever Pak 10300.00 10400.00 10200.00 10400.00 100.00 940Shield Corporation 137.00 143.85 143.84 137.00 0.00 200Pak Services 182.09 189.95 187.50 187.50 5.41 1,200Engro Corporation 94.44 99.16 94.97 99.16 4.72 13,017,500Mehmood Tex 92.70 97.33 97.33 97.33 4.63 500

Major LosersBata (Pak) 1474.00 1440.00 1440.00 1440.00 -34.00 50Indus Dyeing SPOT 519.50 494.00 493.53 493.53 -25.97 200Philip Morris Pak. 184.59 176.00 175.37 175.59 -9.00 1,300Gillette Pak 143.00 135.85 135.85 135.85 -7.15 500National Foods 334.38 337.98 325.55 326.37 -8.01 3,900

Volume Leaders

Pace (Pak) Ltd. 3.93 4.37 3.93 4.32 0.39 26,601,500NIB Bank Limited 2.73 2.96 2.62 2.88 0.15 19,832,500Fauji Cement 7.99 8.24 7.98 8.05 0.06 17,631,000Telecard Limited 5.49 5.82 5.28 5.56 0.07 17,122,500Jah.Sidd. Co. 17.77 18.18 17.53 18.01 0.24 14,354,500

Interbank RatesUSD PKR 98.1350GBP PKR 151.9032JPY PKR 1.0433EURO PKR 131.1084

ForexBUY SELL

US Dollar 98.95 99.2Euro 132.25 132.5Australian Dollar 101.5 102.5Canadian Dollar 98.55 98.85Japanese Yen 1.055 1.11China Yuan 13.5 14UK Pound Sterling 154.5 155.7UAE Dirham 27 27.25Saudi Riyal 26.3 26.6

two italian writers atKarachi LitfestKARACHI: With the participation of two Italian

authors, Italy co-sponsors for the first time the

KLF. Mrs. Lorenza Raponi, in a conversation with

Mrs Tehmina Durrani, and at the presence of Mr.

Edhi, launched on Friday the English version of

her book “Half of Two paisas”, which focuses on

the story of Abdul Sattar Edhi, modern hero of

solidarity. Mrs. Silvia Di Natale, multiple-prize

winner in Italy, further enriched the programme

of the KLF by presenting last Saturday her book

“Kuraj”, that explores the difficulties of

relocation to another country. The Italian

support to the Festival comes in the framework

of a renewed effort to build ever-closer ties

between Italy and Pakistan. Just weeks ago,

Madame Minister Hina Rabbani Khar and her

Italian counterpart signed in Rome a “Strategic

Engagement Plan” to enhance the bilateral

partnership also in the cultural field. In his address

at the inaugural session, the Italian Ambassador,

stressed that “literature has always played an

important role in linking far-away countries and

allowing different cultures to better understand

each other”. In this respect Ambassador Chiodi

Cianfarani praised the Karachi Literature Festival

for its important role in promoting vibrant

exchange of views and underlined, on the

occasion, how crucial culture and education are for

the future of all countries. PRESS RELEASE

LEsCo innovating

through technologyLAHORE: Technology and business have been

intertwined since the industrial revolution. It has

caste significant effect on every aspect of market

place, driving innovation, affecting partnerships,

changing business-stockholder relationships, and

prolific sales growth. Technology has revolutionized

global and local markets. It expanded the

attractiveness of investing additional capital as

more and more people have gained access to

financial markets, which have become more liquid

and efficient with expanded opportunities. Most of

the organizations have started incorporating latest

technology for keeping pace with the contemporary

high-tech environment.To meet the challenges of

rapid technological advancements, Lahore Electric

Supply Company has also incorporated latest

technology in its operations to optimize the

efficiency of its human resource and extend

maximum facilities to its over 2.6 million valued

consumers in Lahore, Okara, Sheikhupura and

Kasur.To make the best use of technology for

improved customer service, LESCO established a

network of mobile customer service consisting of

seven mobile vans fitted with state of the art

computerized system of bill corrections and

duplicate bills. It facilitated millions of consumers,

particularly of remote areas to get all their billing

complaints resolved at their doorsteps. Another step

towards technological excellence is managing

enterprise resource planning system in

LESCO.Through these latest technological solutions,

complete restructuring and reorganization of LESCO

will be carried out and all departments and

procedures will be streamlined by linking them

through LAN and VAN (Computer Networking) for

transparency, speedy operations and cutting down

laborious task of unnecessary

documentation.Another significant and very modern

project introduced by LESCO is ”Remote Metering

System”. As a pilot project of ten GSM operated,

software installed meters are being fixed in various

locations of Lahore. These remotely controlled

meters are connected to LESCO’s main server

through wireless communication and the reading for

electricity consumption at any time. This remote

metering system will not only facilitate the

consumers to avoid manual meter reading problems

but also will minimize the complaints of over

billing.The billing will be sent through SMS to the

mobile phones of the consumers from LESCO’s main

mobile networking system. If the pilot project is

evaluated as a successful and viable system then it

will be installed in complete city of Lahore, initially,

and then in all its surrounding areas. The most

pragmatic and consumer friendly system introduced

by LESCO is its online billing system. PRESS RELEASE

oGDCL signs GsA with 4

fertilizer companiesKARACHI: The Oil and Gas Development Company

Ltd (OGDCL) has signed a gas sale agreement (GSA)

with four fertilizer companies to directly sell 130

million cubic feet (mmcf) of gas per day at $ 2.6 per

mmbtu from its Kunar Pashaki Deep gas (KPD) field.

This field is expected to generate a total of 210-230

mmcfd of gas after completion of Phase 2 in August

2014. Out of this, 130 mmcfd will be provided to

fertilizer producers and rest will be given to Sui

Southern Gas Company (SSGC). PRESS RELEASE

sanofi Regional Headvisits PakistanKARACHI: The Senior Vice President heading

Intercontinental Global Operations of Sanofi,

Antoine Ortoli, visited Pakistan for a two-day visit

from February 14th to 15th. He was accompanied

by a 6 member delegation from the Sanofi

Headquarters and joined by 4 members from the

South-Asia zone. Stretching across 4 continents,

the Intercontinental region of Sanofi serves over 80

countries from Africa, the Middle East, South Asia

and Eurasia. The delegation held meetings with the

management of Sanofi Pakistan and reviewed

Sanofi local manufacturing strategy. Mr. Ortoli

discussed Sanofi’s presence in Pakistan, the

existing potential of the production capacity and

increasing access to medicines for the local

population. PRESS RELEASE

CORPORATE CORNER

02

B

India’s rise is going to be one of the great phenomena

of this century and Britain wants to be its partner of

choice. — British Prime Minister David Cameron

LsM grows 6.5% inDecember, 2.13% infirst half of 2012-13

ISLAMABAD

APP

The country’s Large Scale Manufacturing(LSM) has registered positive growth of 2.13percent during the first six months of thecurrent fiscal year over the correspondingperiod of the last financial year. On yearbasis, the LSM grew by 6.5 percent duringthe month of December 2013 whencompared to the same month of last year,according to the data of Pakistan Bureau ofStatistics (PBS). The Quantum IndexNumbers (QIN) of LSM stood at 107.96points during July-December (2012-13)against 105.71 points during July-December(2011-12). During the period under review,industries monitored by Oil CompaniesAdvisor Committee (OCAS) registeredincrease of 0.63 percent while the indices ofMinistry of Industries grew by 0.21 percentand that of Provincial Bureaus of Statisticsby 1.29 percent. The industrial items thatwitnessed growth during the first six monthsover the same period of last year includedfood beverages and tobacco (2.69%), ironand steel products (19.3%), coke andpetroleum products (10.45%), paper andboard (34.84%), rubber products (28.44%),pharmaceuticals (6.5%), non metallicmineral products (2.89%) and Textile(0.24%). The items that witnessed decreasein production during the period includedfertilizer (10.01%), electronics (12.7%),wood products (21.02%), leather products(4.81%), engineering products (12.47%) andautomobiles (9.08%).

KARACHI

STAFF REPORT

THE trade and industry in this fi-nancial capital of the countryMonday shown serious concernover a new wave of terrorism andunrest across the country,

particularly in Karachi for the lastfew days.

In a joint statement issuedhere, Patron In-Chief Ko-rangi Association of Tradeand Industry (KATI) S.M.Muneer, Chairman Mo-hammad Zubair Chhaya,President All Karachi In-dustrial Alliance MianZahid Hussain and ViceChairmen Najmul Arfeen andNiaz Ahmed showed an “ex-treme concern” over the continuedtargeted killing and the frequentingclosures of businesses due to strikes and un-rest. “It seems that some elements have decidedto completely destroy the economy of Karachiand snatch peaceful atmosphere of Karachiitespermanently,” they said.

The traders and industrialist said there was noresilience being shown either by the political par-ties or religious factions and adamant toresort to

strikes and ‘dharans’ in the city not only disturbingthe lives of the peaceful citizens but compelling thetrade and industry and market to shut down. Theyfurther showed their dismay over the loss of pre-cious time of the young generation due to frequentclosure of schools and colleges in the city. Theyparticularly mentioned the pathetic attitude by the

provincial government and law enforc-ing agencies (LEAs) not to pay

heed on continuing targetkilling and extortions.

“For God’s sake all thepolitical parties and reli-gious factions should getunited to face and fightthe enemies who are tak-ing toll of Karachi’speaceful life and crippling

its economy to paralyzethe entire country economi-

cally,” said Chairman KATIMohammad Zubair Chhaya. Hesaid while the LEAs and the pres-

ent government had miserably failed andwas not interested in restoring peace and stabilityin the city anymore the civil society and patrioticelements along with all trade and industry stake-holders should get united and play their due role inexposing the enemies of Karachi and compel therulers to wake from deep slumber and restore lawand order in the city.

Karachi businessmencondemn politics ofstrikes and ‘dharnas’

EU is all about good governance: EU envoyKARACHI: “In essence, European Union is all about good governance, a word that is often used here in

Pakistan and sometimes seen as the missing link between your market economy and a still fragile

democracy. For the same reasons, the EU will not trade fully or at all with countries that do not respect

human rights, violate democratic standards – or pose a threat to international peace and security.” This

was stated by Lars-Gunnar Wigemark, Ambassador and Head of Delegation of European Union in Pakistan

while addressing the English Speaking Union of Pakistan. In a very scholastic discourse, the EU Envoy

added that “Today more than ever the EU’s foreign relations are not just about trade and aid. We are not a

military alliance and are unlikely to become one for the foreseeable future. Nor are we a nation state – or

even a federation with a common government and a single capital. The EU is not a flawless entity and we

need to remind ourselves of our humble origins and how the Union was conceived as a peace and

reconciliation project.” PRESS RELEASE

KARACHI: The English Speaking Union of Pakistan held a reception in honour of Lars-Gunnar

Wigemark, Ambassador and Head of Delegation of European Union in Pakistan at a local hotel.

Picture shows President ESUP Aziz Memon, Senior Vice Chairman Abdul Kader Jaffer, Vice

President Byram Avari, Francis Campbell, British Deputy High Commissioner, Secretary General

Majyd Aziz, AR Sattar and Rebeka Naomi Wigemark. PR

KARACHI: (From R-L) Tariq Wajid, GM & MD

Sanofi Pakistan, Antoine Rene Jacques Ortoli,

Senior Vice-President Intercontinental, Global

Operations, Dr Asim Jamal, General Manager,

Sanofi Bangladesh and Dr Shailesh Ayyangar

General Manager, India and VP, South Asia

Zonal Operations. PR

It seems that someelements have decided tocompletely destroy theeconomy of Karachi and

snatch peacefulatmosphere of Karachiites

permanently

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