23 Years Tax Exemption Granted to Chinese Firm Investing In Gwadar
This decision was a step towards rearrangement of the Chinese manufacturing industry in Gwadar, and busying the local labor.
Ali Haider Zaidi, Federal Minister for Maritime Affairs, announced that tax exemption to COPHC (China Overseas Ports Holding Company) has been granted by the government. The tax exemption has been granted for 23 years, to help in the establishment of industrial units at the Gwadar Port.
On Tuesday, Mr. Zaidi announced to a press conference that COPHC that had already been operating at Gwadar Port would get tax exemption to aid in machinery installation and other equipment at the port. The press conference was attended by Zhang Baozhong, COPHC Chief Executive Officer, and Hammad Azhar, Minister for Economic Affairs.
This decision was a step towards rearrangement of the Chinese manufacturing industry in Gwadar, and busying the local labor, Mr. Zaidi said. He further added that this step will help in boosting the economy of the country.
It will provide 5,000 gallons of water per day to people:
The minister continued that COPHC would also set up a desalination plant, with a total cost of Rs. 1.95 billion. This will help in providing 5,000 gallons of water per day to people. China would also build a Pak-China Technical and Vocational Training Institute in Gwadar, with a total cost of $10 million, which will create job opportunities for locals.
“About 360 students equipped with technical skills would pass out from the institute every year,” – he said.
Mr. Zaidi also told that Pak-China Friendship Hospital will be built on 68 acres of land, at a cost of $100 million, and not only that but a coal power plant for generation 300MW electricity will also be set up in Gwadar.
While addressing the issue of Gwadar Port’s link with Makran Coastal Highway, he said that ECNEC (Executive Committee of the National Economic Council) had approved of the construction of three bridges on Eastbay Expressway, to help local fishermen. 40% of the work on Eastbay Expressway has been completed, while the rest will be done in December 2020.
COPHC CEO Zhang Baozhong, the COPHC CEO, said that the tax exemption issue had been solved by the current government, the problem had been on hold for seven years. He hoped that due to the government’s business-friendly policies, foreign investment in the country would increase.
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