Celebrating 60th Anniversary of China

China-Pakistani economic and trade cooperation has been steadily increasing and now Pakistan is China’s second largest trade partner in South Asia, and one of China’s major global economic cooperation destinations. In 2008, China-Pakistani (July-June) trade volume reached US$ 5.73 billion, a new record in terms of their trade relations, marking China as Pakistan’s first import destination and the 8th export market. And up to the end of year 2008, Chinese companies’ contract value in Pakistan reached 16.5 billion totally, and investment in Pakistan amounted to US$ 1.07 billion.

Pakistan’s Ambassador to China Masood Khan said, 60th anniversary of the People’s Republic of China was an occasion for celebration by the Chinese people. But this historic moment should also be celebrated by all developed and developing countries around the world, as China’s progress in the past six decades has brought peace, stability and prosperity in the region and around the globe.

The Government of Pakistan has also issued a commemorative coin to mark the celebrations. The Prime Minister Syed Yusuf Raza Gilani also visited China to attend Shanghai Cooperation Organization (SCO) meeting to exchange views on previous SCO Summit held in Yekaterinburg, international financial crisis as well as deepening of regional economic cooperation.

The roots of the time-tested and all-weather friendship of Pakistan and China went deep into history.  In the fourth, sixth and seventh centuries, Chinese monks and envoys visited Peshawar, Swat, Charsadda and Taxila and brought back messages of peace, harmony, pluralism and friendship.

According to  Zhou Zhencheng, Economic & Commercial Counsellor, Embassy of the People’s Republic of China in Pakistan, since the establishment of diplomatic ties on May 1951, the relation of the bilateral trade and economic cooperation have increased progressively and with the signing of the 5-year Development Program on Economic Cooperation and bilateral Free Trade Agreement, the trade and economic cooperation of both countries will surely achieve positive progress towards larger range, broader field and higher level. Especially since the 1990s, their bilateral trade volume has witnessed fast growth. In 2009, the trade volume achieved a record high US$ 5 billion.

Exports from Pakistan to China increased from US $344.1 million in 2004-2005 to US $684.8 million in 2007-08, thus showing an average increase of 35% per annum. The main items of Pakistan’s exports to China are cotton fabrics, cotton yarn, bed wear, surgical instruments, tent and canvas, marble, fish and its preparations, leather, fruits and vegetables. Almost around 80% of its exports consist of cotton yarn and other textile products.

Major imports from China are machinery (specially textile machinery), chemicals, stationery, construction materials like tiles, sanitary wares and crockery, etc. Imports from China also increased from US$ 1.84 billion in 2004-2005 to US$ 4.86 billion in 2007-2008, thus showing an average increase of 55% per annum. Import of textile machinery (Major items) from China to Pakistan increased from Rs. 4.0 billion in 2006-07 to Rs. 4.8 billion in 2007-08, thus showing an increase of 20%. Chinese machines most demanded in Pakistan during 2007-08 were spinning machines, knitting machines followed by weaving machines and accessories and other machines.

 China-Pakistan trade and economic relations have maintained a good momentum of development. In 2006, both sides signed the 5-year Development Program on Economic and Trade Cooperation, which set down the major fields and programs for bilateral economic and trade cooperation, as well as the trade target of $ 15 billion by 2010. Nowadays, Chinese business in Pakistan in the fields of infrastructure construction, manufacturing, energy, mining, tele-communication, finance, agriculture, textiles is growing steadily.

For example, Pakistan Haier-Ruba Economic Zone (HRZ) is the first ever China Overseas Economic & Trade Cooperation Area (OETCA); Pakistan Chashma Nuclear Power Plant (CHANUPP) marked the first nuclear power plant exported from China; Gwadar Port, Phase-I is another landmark for China-Pakistan friendship after Karakoram Highway (KKH); Saindak Copper and Gold Mine Project and Duda lead-zinc mine project are good examples for bilateral cooperation in mineral resources development; China Mobile Communication Company’s acquisition of Paktel made a breakthrough for bilateral investment.

Pak-China friendship Pak-Cheen dosti Zindabad To express the solidarity and unity with the Peoples Republic of China on historic occasion of 60th anniversary of its founding on October 2009, the Government of Pakistan has decided to issue 10 rupees commemorative coin in the quantity of 100,000 pieces from State Bank of Pakistan through SBP Banking Services Corporation (Bank) with effect from October, 2009.  The face value of the coin in numeral “10” in bold letters and Rupee in Urdu script are written on the right and left sides of the crescent star respectively. A circle of sixty small beads is all along the edge of the coin. About Reverse, in the center of the reverse of the coin bears flags of the both countries, showing hand shaking and inscribed wording “Sixty years celebrations of the Independence of Jamhoria China at the upper and “Pak-Cheen dosti Zindabad” or “Long live Pak-China friendship” at the lower side in Urdu script along with the periphery. On the left and right sides insignia, of the year of independence and year of anniversary respectively in numeral wording are inscribed. This edition of Pakistan Textile Journal features a series of articles (pg. 44) onwards on Pak-China Economic and Trade Relations and machinery business. PTJ wishes all its Chinese friends and business associates a very happy 60th anniversary.                                                                                                                                                              Amina Baqai. Ed.