LAHORE: Coordinator to Federal Tax Ombudsman Meher Kashif Younis Wednesday said that the countries with strong manufacturing sectors generate trade surpluses, increase foreign exchange reserves, and improve balance of payments besides providing impetus to economic growth.
Speaking at seminar, He said that the manufacturing sector equally plays a vital role in international trade by producing quality goods for export besides strengthening the economy by increasing GDP (Gross Domestic Product) and ample jobs creation opportunities.
“Manufacturing industries tend to have higher productivity levels compared to other sectors, leading to higher economic output and improved living standards”, he added.
He said it is a labor-intensive sector that provides employment opportunities to a large number of people that creates both skilled and unskilled jobs, supporting a diverse range of occupations.
“Availability of manufacturing jobs helps reduce unemployment rates, alleviate poverty, and promote social stability”, he said.
Manufacturing sector is closely linked to innovation and technological advancements and drives research and development activities, leading to the creation of new products, processes, and technologies.
Meher Kashif Younis said technological advancements in manufacturing can enhance productivity, efficiency, and competitiveness, benefiting both the sector and the overall economy.
Export-oriented manufacturing industries contribute to economic diversification and reduce dependence on a single sector”, he added.
Highlighting the significance, Meher Kashif Younis said manufacturing can drive regional development by attracting investments and creating industrial clusters in addition to concentration of manufacturing activities in specific areas stimulates local economies, encourages urbanization, and promotes the development of supporting infrastructure and services. It can help bridge regional economic disparities and promote balanced growth, he added.
He said this sector also adds value to raw materials by transforming them into finished products and this value addition increases the overall wealth of a nation.
By producing higher value-added goods, countries can command higher prices, capture larger market shares, and improve their competitiveness in the global economy,he added.
Manufacturing sector is crucial for sustained economic growth, job creation, technological progress, and export competitiveness.
He said government and policymakers often prioritize the development and promotion of manufacturing industries to achieve broader economic objectives and improve the standard of living for their citizens.
