According to news reports, the Chinese investors will be offered land and facility to set up high tech industries along the China-Pakistan Economic Corridor, which would not have any negative impact whatsoever on the local industrial base. However, the actual news is that China is heading towards heavy industry from small industry and is shifting its small industrial units to Bangladesh as part of its $20 billion investment in that country. This is what Japan did in 80s when it shifted its small industry to Malaysia and Pakistan had failed to accept the Japanese generosity. The same is now going to happen in close economic relations between China and Bangladesh as the latter is already progressing with leaps and bounds, leaving Pakistan far behind in the export sector. There is no stir in the government circles over the development of Chinese Bangladeshi relations.
Apart from others, three main factors are strongly attached with the economic corridor. The first is a regional integration, allowing China to get a shortcut to export its goods to the rest of the world. The second is a package of power generation and the third is establishment of industrial zones along the corridor. Due to its strategic location, the corridor is an opportunities for the countries in the region to enhance their connectivity. Chinese are very cautiously moving to invest in Pakistan to avoid any conflict with local industrialists. The government is so far reluctant to establish a joint forum of the Pakistani and Chinese businessmen to workout a plan to set up industries in the industrial and export processing zones along the corridor. Otherwise, there is a need to strengthen cooperation between National Development and Reforms Commission of China and Planning Commission of Pakistan.
The government should also invite investors, other than Chinese, to avail opportunities on the economic corridor. Vietnam is situated below the Chinese economy, but has embarked on ambitious plan to develop its economy on modern lines. Pakistan can also follow the Vietnam model if it does not want to follow Malaysian economic module. At least 36 economic zones are planned to be established along the economic corridor which would not only attract foreign investment, but will also expand the job market in Pakistan and will give impetus to progress and prosperity in the region. The government is going too slow to grasp the opportunities. Once the Chinese made their mind to shift industries to Bangladesh, there will be no going back.
