Sino-Pak projects: From Shanghai to Gwadar

LAHORE: 

China is planning to replicate the model of Shanghai Free Trade Zone (SFTZ) in Gwadar, said Pak-China Joint Chamber of Commerce and Industry (PCJCCI) President Shah Faisal Afridi as he highlighted various investment projects on Tuesday.

The official said that China is also planning to invest $50 billion into a number of projects including coal, solar and wind energy till 2017 under the Early Harvest Programme.

He added that these would enable Gwadar to create a nexus among Pakistan, Iran, China and Central Asian States that would ultimately generate billions of dollars in revenues along with several job opportunities.

“The SFTZ is a perfect model to be implemented at Gwadar. It was first used as a testing ground for a number of economic and social reforms in China and it proved very helpful in scaling up the country’s economic growth,” said Afridi.

The zone, he said, incorporated numerous relaxations in different sectors, under the FTZ’s new capital registration system — foreign investors were no longer required to contribute 15% capital within three months and full capital within two years of the establishment of a foreign invested enterprise (FIE).

The ‘one-stop application processing platform’ was introduced at the zone, he said, which meant that applicants may obtain all the necessary documents for the company establishment under one roof.

The Chinese assistance in the development of this port is essential in positively impacting the country’s economy.

Helping hand: Indian businessmen call for visa relaxation

LAHORE: 

Indian businessmen have labelled Pakistan a lucrative market for their companies and expressed eagerness to transfer their state of the art technology in energy solutions.

They requested relaxation on the visa issuance process by Pakistan High Commission as delays were stalling prospective joint ventures.

Since the current government clearly articulated their interest in expanding bilateral trade relations with its neighbour, some Indian companies have shown interest to working with Pakistani counterparts to produce and install advanced turbines and boilers in sugar and allied industries.

“We are working with our Pakistani counterparts to provide local industries – especially sugar mills – with technology transfer in shape of power packs, but visa delays often hinder the timely completion of projects”, said Triveni Turbines India Deputy General Manager Sales and Marketing Sanjay Dewan.

Triveni Turbines is providing energy solutions with its Indian counterpart, Cheema Boilers Limited, and a Pakistani firm SK Alliance International. These three companies have installed three power packs and eight turbines in different sugar and paper mills in one year and plan to install another six soon.

These steam turbines are energy efficient and produce 150% more electricity than the turbines already installed in many industries. They generate electricity via bagasse and other biomass fuels like rice husk, barn, corn cobs and coal.

“Since we all are well aware of the relations between both countries, we are training local engineers in Pakistan to take care of technical issues after installations. We step in for the faults only if they are beyond the expertise of local engineers. This way, we are shifting technology and providing employment opportunities to Pakistani engineers,” Dewan added.

“Such power packs or turbines are 30-40% cheaper than European products and the quality of Indian turbines is far better. However, Chinese manufacturers are our biggest competitors,” said SK International Chief Executive Officer Khawaja Khurram Iftikhar.

“For instance, an Indian turbine of 8MW capacity costs $1.2 million whereas the same from Europe would cost $2 million. For a complete power pack, consisting of a turbine and high pressure boiler, the price is 30% less than the power packs manufactured in Pakistan,” said Iftikhar.

“A power pack normally takes 18 months to install. A few Pakistani companies are producing these power packs but their production capacity is one or two a year, whereas our joint venture can produce around 4 packs annually,” he added.

An exhibition organised by Pakistan Society of Sugar Technologies was held in Lahore, where local firms along with  foreign companies from India, Europe, US and China displayed their energy efficient and technology-related products.

China coming up with investment, not loans: Asif

ISLAMABAD: 

Federal Minister for Water and Power Khawaja Mohammad Asif has lashed out at the Pakistan Tehreek-e-Insaf (PTI) chairman for repeatedly criticising upcoming Chinese investment, saying the money is coming in the form of foreign direct investment and not as a loan that will increase the country’s debt burden.

Speaking at a press conference here on Tuesday to respond to allegations levelled by PTI chief Imran Khan, Asif said Chinese government had approved $34 billion worth of investment after assessing Pakistan’s electricity needs.

“Beijing has designated three banks including Exim bank that will provide loans to Chinese companies for investment in power, railway and transport sectors in Pakistan,” he said. “These loans will not be a liability on the government of Pakistan.”

He advised the PTI chairman to consult his aides before issuing statements. “We are ready for scrutiny and accountability,” he said and ruled out the possibility of overlooking bidding rules in the award of contracts to Chinese firms.

“We have given advertisements for investment in Gadani power projects and a competitive bidding process will be initiated for upcoming power plants.” Successful bidders would have to show project feasibility reports to Chinese banks to qualify for the loans, he pointed out.

He categorically stated that Pakistan government would not give any sovereign guarantees to Chinese investors, who would install power plants in public-private partnership mode.

He revealed that Chinese banks would extend commercial loans to private enterprises at 7% mark-up. On the other hand, Pakistan has got concessionary loans from the Asian Development Bank (ADB) and World Bank at 2% to 4% mark-up.

“The ADB and World Bank have loan deals with Pakistan, therefore, these are concessionary loans whereas Chinese investment is in the form of commercial loans at 7% mark-up,” he said, adding Chinese companies would set up power plants to generate 10,400 megawatts to bridge the shortfall.

He also claimed that PTI leader Imran Khan had deposited utility bills and electricity supply would be cut off in case of unpaid bills.

Acknowledging that the existing transmission system could carry load of only 16,000MW, Asif announced that the government was going to unveil a policy to pave the way for the private sector to lay transmission lines.

He expressed the hope that industrial units, which were shut down due to power shortages, would be revived after an increase in electricity generation. “We face a shortfall of 4,000 to 5,000MW and the Chinese investment will not only help fill this gap, but will also revive the closed industrial concerns.”

Speaking about the Thar coal project, Asif said capital injection into the scheme was part of the $34-billion investment programme. The rate of return on coal-based power plants will be 17% to 27%.

He admitted that the cost of coal-fired power projects was $1.45 million per megawatt whereas in India it was $550,000. “India produces 60% to 70% of material whereas we would have to import all material for power plants.”

The minister rejected the perception that the giant Mansha group would benefit from the investment programme, saying the group would have to go through the bidding process if it wanted to set up a power plant.

He also ruled out any role of Saifur Rehman, former NAB chief, in the deal for power plants.

“Nepra is the most independent body and defends its independence. It has members from all provinces including Khyber-Pakhtunkhwa and decisions are taken with consultation,” he said.

He also said no changes were made in Nepra laws and the regulator’s chairman was not his brother as he was from Sindh.

GOTZE said he will likely to play outside Germany

The 22-year-old attacking midfielder only arrived at the Allianz Arena last summer but he is open to the idea of playing outside Germany in the future

Bayern Munich starlet Mario Gotze has revealed an interest in moving abroad at some point in his career.

The 22-year-old only joined the German champions from Borussia Dortmund last summer, after the Bavarians agreed to meet his €37 million buy-out clause.

However, Gotze, who has yet to nail down a regular starting berth in Pep Guardiola's starting line-up, has now admitted that he is open to the idea of playing outside Germany in the future.

"Being abroad would be attractive for your character; there are good examples of that," the attacking midfielder mused in an interview with Sport Bild.

"But I haven't yet had any serious thoughts [about it]. I'm very, very happy that I am at Bayern, and playing in Germany.

"[I want to play] as long as possible. [Former Germany team-mate] Miroslav Klose is 36 and still playing.

"Since I could have another 14 years ahead of me, you have to wait and see how things go; where the path leads..."

Gotze, of course, was Germany's match-winner at this summer's World Cup, scoring the only goal in the 1-0 win over Argentina in the final. However, he is uncomfortable with his hero's tag.

"Football makes people happy, but it's not a matter of life or death," he reasoned

"Doctors and nurses - they save lives and do much more than all of us footballers. They are heroes to me.

Van Gaal told he can spend again in January as Manchester United announce record turnover

The Dutchman spent big in the summer window, acquiring the likes of Angel di Maria, Luke Shaw and Radamel Falcao, but will be given the green light to splash further cash

By Wayne Veysey

Louis van Gaal has been given the green light to carry on spending as Manchester United announce a record turnover of up to €535 million and a profit of around €51m in their latest set of financial results.

The accounts for the year ending June 2014 do not take into account the club-record €75m signing of Angel Di Maria or the late August captures of Marcos Rojo, Daley Blind and Radamel Falcao on loan.

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United's commercial deals, including a €66m-a-year shirt sponsorship deal with Chevrolet that started this summer and a 10-year kit agreement with Adidas worth €93m-a-year that kicks in next year, mean the 20-times Premier League champions are able to withstand the cost of a season outside of Europe's elite.

Real Madrid announced last week that their annual revenue has soared to €598m, the highest mark for any club in the world. But even the Spanish giants and fellow big-hitter Barcelona cannot rival the fresh commercial deals in place at Old Trafford.

United have spent in excess of €187m this summer on new signings, including the British record signing of Di Maria.

Sources have told Goal that United could have even afforded to have spent €250m on transfers and have the finances in place to buy a player to the equivalent value of Di Maria every year for the next decade.

Further spending is expected to take place in the January market as Van Gaal is given further licence to continue his radical overhaul of a squad that failed so dismally under David Moyes last season and has begun the current campaign in equally uncertain fashion.

The annual results should also include details of pay-offs to former manager Moyes and his coaching team, but the figures will not reflect any financial losses incurred from failing to qualify for Europe for this season.

It is believed Moyes was given a €4.3m pay-off, equivalent to a year's salary, and a similar sum was handed to his backroom team of Phil Neville, Steve Round, Jimmy Lumsden and Chris Woods.

United’s surprise drop from champions in 2012-13 to seventh-place last season saw the club suffer a reduction of £8.4m in Premier League prize money last season – a campaign which Woodward described as "very disappointing" when addressing investors following the publication of quarterly accounts in May.

The absence of Champions League football this season is worth a minimum €31m, and probably at least €12.5m more, meaning the Moyes regime cost the club in the region of €62.2m compared to the heights usually reached under Sir Alex Ferguson.

Hummels blasts Bayern's "calculated" attacks on Dortmund

The Germany international has blasted his former club's CEO for trying to destabilise BVB by publicly revealing the alleged figure of Marco Reus' buy-out clause

Mats Hummels has accused Bayern Munich of repeatedly making "calculated" attempts to "weaken or unsettle" Borussia Dortmund.

The defender came through the youth team ranks in Bavaria before leaving for BVB in 2009, after a year on loan at Signal Iduna Park.

However, despite his close ties with Bayern, he is appalled by what he feels are deliberate and underhanded attempts to destabilise Dortmund, citing Karl-Heinz Rummenigge's recent comments on Marco Reus' buy-out clause as a case in point.

"Bayern have had difficulties for us for years, which is why they try to weaken or unsettle us," the Germany international told Transfermarkt.

"Look at the way Karl-Heinz Rummenigge recently betrayed the alleged contract details of Marco Reus - such statements are calculated.

"But the fact that Bayern deals with us is actually the greatest praise."

Hummels also feels that Dortmund, who won successive Bundesliga titles in 2011 and 2012, believes that Jurgen Klopp's side have upset Bayern with their on-field excellence and argues that they would have claimed even more trophies at their rivals' expense had it not been for poor officiating.

"What if we had had the luck of the referee on our side in the Champions League final [in 2013 when Dante controversially avoided a red card] and the DFB Pokal final [last season when Dortmund had a fair goal not given] - and not Bayern?"

"I think they know that these two victories were lucky and that they could have been very different."

Hummels admitted that he could easily still be at Bayern today had fate not intervened - but insisted that leaving the Allianz Arena was the key moment in his career to date.

"If Bayern had not bought Breno in 2007 for €12 million, I would not have left," he argued.

"But that's the way football is sometimes: I was practically forced towards happiness. It was the best thing that could have happened to me."

Consequently, while Hummels has been linked with the likes of Manchester United and Barcelona in recent times, he has no intention of leaving Dortmund, which is precisely why he insisted against having a buy-out clause in his contract.

"I wanted to set an example with the extension I signed and it will run for five years until 2017."

How’s that?: Brett Lee embraces the big screen

MUMBAI: Former Australian fast bowler Brett Lee will star in his first lead role as an actor in UnIndian, the first feature of a recently established Australia India Film Fund (AIFF). He will share screen space with Indian actress Tannishtha Chatterjee.

The romantic comedy, which will highlight the complexities of the Indian diaspora, will go into production in October in Sydney; it was announced during Australian Prime Minister Tony Abbott’s visit here Thursday.

Written by Thushy Saathi and to be directed by Anupam Sharma, UnIndian is being presented by Devendra Gupta and Yateender Gupta.

The two actors are excited

“I’m honoured to have been cast as a lead in the first AIFF film, privileged to be working with Anupam Sharma and humbled to be working with an actress of the calibre of Tannishtha Chatterjee,” Lee, who had earlier featured in a cameo in Hindi film “Victory”, said in a statement.

Tannishtha is equally upbeat

“Australia has always been a very special country for me. I love the script and I am super excited to work with Anupam Sharma and his entire team. And Brett Lee… What can I say? Look forward to having a blast, Brett,” she said.

Sharma and Lisa Duff are co-producing the film while Chandru Tolani is the executive producer.

AIFF was established in 2013 to invest in Australian films with Indian themes for a global audience.

The story of UnIndian is about a divorcee and single mother, Meera (Tannishtha), who meets the charismatic Will (Lee). Love is the last thing on Meera’s mind, but her marital status is the subject of much discussion within her family, and she is encouraged on a seemingly daily basis to marry ‘a nice Indian man’.

Devendra Gupta, CEO, AIFF, said: “Over the next few years we intend to inject significant funds into the Australian film and television industry, with specific focus on cross-cultural stories.

“As Indian-Australians we see it as our responsibility to both celebrate the values of and strengthen ties between the two countries.” IANS