C pack gwadar port

PAK CHINA ECONOMIC CORRIDOR
PRESENTED BY:
 NABEEL ARIF


 Pakistan–China relations began in 1950
 Strategic alliance was formed in 1972 and economic co-
operation began in 1979
 China has invested $20 billion in various projects
 Mega infrastructural projects in Pakistan
 Gwadar Port, the Coastal-Highway linking Karachi with Gwadar,
Karakoram Highway, the Chashma nuclear power plants, and a
number of hydro-power projects.
PAK CHINA ECONOMIC
CORRIDOR
HISTORY OF PAK CHINA
RELATIONS

PAK-CHINA ECONOMIC CORRIDOR
 The kkh was started in 1959 and was completed in 1979 (open to the
public since 1986 )
 Length 1,300 km (Pakistan 887 km ) China 413 km
 It connects China's Xinjiang region with Pakistan's Gilgit–Baltistan
and Khyber Pakhtunkhwa regions
 Major cities Hasanabdal, Abbottabad, Thakot, Chilas, Gilgit, Aliabad,
Sust, Khunjerab Pass, Kashgar
 The importance Karakoram Highway
 Chinese companies
 Tourism in Pakistan
 Transportations

The KKH highly contribute economic activities of both
countries export and import

*
On 8 September 1958 prince Aga khan karim purchased the Gwadar enclave from Oman for $3
million, and gave it to Pakistan and it officially became part of Pakistan
Gwadar Port is located at the mouth of the Persian Gulf
Gwadar is a planned free trade port
Gwadar Port is a strategic developed jointly by the both countries
 National Highway Authority (NHA) began construction of the 653 km-long Makran Coastal
Highway linking Gwadar with Karachi,
 In 2004, Pakistan's NHA began construction of the 820-km long M8 motorway linking Gwadar
with Ratodero in Sindh province Turbat, Hoshab, Awaran and Khuzdar
 In 2007 Civil Aviation Authority of Pakistan acquired 6,000 acres (17-24 km2) to construct a
new greenfield airport, at an estimated cost of Rs 7.5 billion.

GWADAR ECONOMIC ZONE
GDA was established to promote industrial activities in
mega port city of Gwadar
China focused on the fast-track construction of roads,
other infrastructure and public buildings
In 2013, Gwadar Port operations were officially handed
over to China,
To connect china with Gwadar through railway track has
already begun

Outflow of goods from western China and Central Asia through
Gwadar

CURRENT PAK-CHINA ECONOMIC
CORRIDOR DEVELOPMENT
Gwadar-Khunjerab-Kashgar rail
network Gwadar-Khunjerab-Kashgar
rail network
 connecting the maximum
number of population through
a network of highways and
railways
 six-lane motorway to be built
from Karachi to Lahore. MoU’s
signed with China

OBJECTIVE OF PAK-CHINA
ECONOMIC CORRIDOR
 Increase the volume of trade between
Pakistan and china
 Take full advantage of preferential trade
agreement(PTA) and free trade agreement
(FTA)
 Increase export to china, recently export to
china is $3.14 billion

ECONOMIC CORRIDOR
 Pakistan and china are second largest
partners in south Asia, this will help to retain
partnership
 Widen Karakorum high way and open new
economic corridor from china to Gwadar
 Approximately reduce 10000 km distance
and it is the shortest route

ECONOMIC CORRIDOR
 Expand trade with Afghanistan and it help
both countries to play their role in post-2014
Afghanistan
 Expand trade with Russia by providing
trade route till Gwadar port
 Development of infrastructure along
Pakistan

ECONOMIC CORRIDOR
 China access to the Indian Ocean with the
aim of widening its geopolitical influence
and military presence in the region
 Job opportunities and economic
development in Baluchistan
 Increase Chinese investment, Pakistani
investment in china will also be
encouraged

ECONOMIC CORRIDOR
 Regional peace, prosperity and elevate the
life of poor people of south Asia
 Enhance trade among Pakistan, China, Gulf
States, Central Asia and Africa
 China is interested to extend the Iran-
Pakistan pipeline to its western territory

ADVANTAGES OF PAK-CHINA
ECONOMIC CORRIDOR
Can benefit new emerging regional cooperation
Save time, cost and freight charges
Facilitate trade, have Economic Zone en-route
and will allow reaping of full benefits of
development, economic and social uplift


 Increase the economic collaboration between
both countries by connecting western china
to Gwadar
 Regional stability in Asia as well as whole
world
 Pakistan economy will Boost
ADVANTAGES OF PAK-CHINA
ECONOMIC CORRIDOR

ADVANTAGES OF PAK-CHINA ECONOMIC
CORRIDOR
 Pakistan can avail great opportunities from
chine’s expert in various sectors like energy
,Technology and Education sector
 Create new employment opportunities
 Pakistan and china both collectively target
the half of the population of the world ,it will
provide great opportunity for both countries
to expend their market
PAK CHINA ECONOMIC
CORRIDOR

 FTA leads to threat for local markets and local
manufacturers
 Disturb of local industries
 Difficult to compete chine’s product in market
 Increase the ratio of unemployment
 Dependent to China
DISADVANTAGES:

Huge difference between Balance of
payment Trade deficit
Pakistan-China trade
increased by 17.6%
to a total of US$ 12.4
billion in 2012.
China export to
Pakistan is
9.3billion
Pakistan’s export
to china is
3.14billion
9.2
3.14
Trade Deficit

DISADVANTAGES:
Focus on import rather than
Domestic production
Threat for potential group
Due to free trade agreement
with china leads to lack of
competition.

Recommendation:
 Pakistan should create stability In its terrority to
implementation on that plan
 To make positive balance of trade Pakistan should
increase exports
 Agriculture products
 Textile products
 Leather

Precious stone
Sports goods
Textiles products
 Maintain favorable balance of trade

RECOMMENDATION:
• Restriction on that commodities which is harmful for our
industries
• To make a frame work to use Domestic currency for trade (barter system)
• Develop auto industries rather than focusing on import parts.

Should provide
latest technology
Think tank should
collaborate by both
countries
Implementations
of agreements
should be
addressed

RECOMMENDATION:
Pakistan should
implement and
handle policies up to
the mark
Utilization of raw
material and value
added process should
be done in Pakistan

{
Recommendations
Make efforts to diversify market in China
Security issues, law and order system are main
obstacles in the way of Pak-china economic
corridor
Pakistan should develop the training centers
and Chinese language centers in order to make
effective communications

CONCLUSION
Natural Gateway for China
Positive response by both countries through mutual
cooperation
Both countries are keen to enhance trade activities

Infrastructural improvement and Development of
Dams
Stability of economy by investment in different sectors
“our friendship is “higher than the mountains, deeper
than the oceans, stronger than steel, dearer than
eyesight, sweeter than honey”.

Thank you 

C pack gwadar port

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