Automark magazine march2016 by Mustafa Hanif

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Contents

Article / Review

Company Profile 25

Aftab Engineering Services (Pvt) Ltd.

Standard Engineering Works (Pvt) Ltd.

PF Auto Parts Industries

Agriauto Industries Ltd.

Agriauto Stamping Co. (Pvt) Ltd.

Ruba Digital

Green Wheels

26 36

Price List 46 Car/Light commercial vehicle price list 48 Motorcycle Price LIst

52 53

News Updates 35 49 50

Inside

March-2016

Man with a mission to revolutionise automobile industry orsche Pakistan CEO Abuzar Bokhari

Pakistanâ&#x20AC;&#x2122;s Auto Sector still witing for new AIDP Exclusive Article by AM Team Pakistan Auto Industry from Independence to Nationalization Exclusive Article by M. Shuja ul Haq

Trucking sector of Pakistan auto industry rides high Exclusive by M. Laman Karakoram Motors will introduce some new models for Pakistan Market in year 2016-17 Exclusive by Engr. IHT Farooqui Record by Pakistanis Member of PBC & his team (Part-2) Exclusive report by Kamal Haider

Become a Responsible Biker! Sponsored by United Motorcycles Report by Muhammad Zahid Iqbal Malik

News Updates

Groundbreaking ceremony Karachi Green Line BRT stuck on the red light Suzuki plans to stop production of Cultus

The agonizing journey of a fresh engineering graduate By Engr Zeenat Anjum

29 35 47 51

Volvo to re-enter Pakistan Groundbreaking ceremony Karachi Green Line BRT stuck on the red light Corporate News

Istanbul mayor and CM Punjab launch cab service in Lahore

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March-2016 edition Volume 09, Issue 03

Pakistan’s premier magazine on automotive, engineering & energy sector

Monthly

AUTOMARK International Editor-in-chief Muhammed Hanif Memon Technical Editor

Advisors

Muhammad Shahzad

Imtiaz Rastgar CEO, Rastgar Group & CBI External Expert, Ex-chairman EDB Islamabad

Advertising Manager Tahir Siddiqui

Circulation Manager Shahzad Raza

Graphic Designer Mustafa Hanif Salman Hanif

Web Master Murtaza Hanif

CONTRIBUTING IN THIS ISSUE Engr. IHT Farooqui Zahid Malik M. Hanif Memon Mohammad Laman M. Shuja ul Haq

Engr. IHT Farooqui Chief Operating Officer Karakoram Motors (pvt) Ltd. Karachi Muhammad Yousuf Shaikh Founder & Chairman Pakistan China Motorcycle Industry Council Karachi Syed Mansoor Rizvi Principal Officer M/s. CNH Services (Pvt) Ltd. Karachi

Import of Qatar LNG Hope for Pakistan’s energy crisis The historic agreement of LNG supplying from Qatar and this agreement will be a milestone in resolving the energy crises. TheÊfour agreementsÊand MOUs have been signed with Qatar to increase cooperation in diverse fields between Pakistan and Qatar that have been witnessed by Prime Minister of Pakistan Mian Nawaz Sharif and Qatar Amir Sheikh Tamim BinÊHamadÊBin Khalifa Al-Thani. The most important agreement is import of Liquefied Natural Gas (LNG) from Qatar, which shows keen interest of our Prime Minister to remove the energy crises in next 2 years.

After import of LNG from Qatar the issue of the shortage of Natural gas will be resolved Nadeem Ahmed Salmi and the industrial units in Punjab will remain Executive Director Operations in operation without any seasonal interruption. Talal Hussain Malik M/s. Al-Haj Faw Motors (Pvt) Ltd. Zeenat Anjum Report of conomic Survey Pakistan 2014-15 Karachi and natural gas production has been stagnant at the 4,000 Million Cubic Feet per Day (MMCFD). There exists constrained demand for natural gas of 6,000 MMCFD against a Active Communications supply of 4,000 MMCFD while the unconstrained Mailling Address: demand for gas is estimated to be 8,000 MMCFD D-68, Block-9, Clifton, Karachi or more than double the current domestic Tel : 021-32603371 Mobile: 0321-2203815 produc tion . I n t he same su rvey the E-mail: automarkpk@gmail.com industrialÊgas consumptionwas recorded website: www.automark.pk 259,032 mm cft Gas consumed by the Industry. AutoMark Canada Office Managing Editor Under the agreement Pakistan will import 3.75 Mohammad Shahzad S.A.E. D.M.P. million tons of LNG annually from Qatar, which 41 Jordana Drive will fulfill twenty percent need of Pakistan. Markham (Toronto) Uninterrupted supply of Natural Gas to the Canada L3S 3N8 Industrial consumers will favorable affects the Phone: 905-472-8282 industrial production, investment and Email: automarkcanada@gmail.com employment in the country which will ultimately be transferred into the higher rate of GDP AutoMark REGD: MC-1330 Published every month by M. Hanif Memon growth. The Qatar hosts more than 100,000 Pakistanis, who have been contributing The views expressed by contributing writers and comments do not towardsÊthe developmentÊand prosperity of necessarily reflect the views and the country and act as a bridge between the policies of the Monthly AutoMark peoples of two brotherly countries. However, magazine's management the Qatar Government also assured to provide jobs more 100,000 Pakistan.

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www.aftabengg.com

Aftab Engineering Services (Pvt) Ltd. Tel: +92-302-8258090 +92 21 36881274-76 E: info@aftabengg.com W: www.aftabengg.com A: A-129, S.I.T.E., Superhighway Industrial Area, KDA Scheme-33, Karachi-75330 Pakistan

Company Profile: Aftab Engineering Services (Pvt.) Ltd. was established in 1975 as a small concern by the present owner and Chairman of the company Mr. Aftab Ashraf khan. A small team of dedicated and skilled technologists worked with lathes, a few power presses and a small welding facility.

AFTAB TECHNOLOGIES (PRIVATE) LIMITED Aftab Technologies (Private) Limited (ATL) with business experience of more than 35 years in engineering, development of tools, dies, jigs & fixtures and manufacturing a large size colplex sheet metal parts, cargo bodies accessories, assemblies, sub-assemblies and compenents for cars, buses, trucks and motorcycles.

AND CENTRAL VENTILATION SYSTEMS CO. L.L.C Central Ventilation Systems Co. L.L.C. (CVS) a manufacturer of air movement and controlequimpement serving projects, ranging from small villas to multi-building complexes, hospitals,malls and universities for over 15 years in UAE, Qatar, Saudi Arabia and Pakistan.

Join hands to form AFTAB ENGINEERING SERVICES (PVT) LTD To serve their valued customers and the products include: 1 - Tools & Dies 2 - Jigs & fixtures 3 - Metal Parts 4 - HVAC Metal Parts 5 - Metal Fabrication

www.automark.pk | March-2016 | Page 15

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www.standard-engg.com

Hall No: 02, Stall No: A1

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www.pfautoparts.com.pk

Introduction Since its establishment PF has supplied quality products to its OEMs. PF have highly skilled and experienced work force with a thorough understanding of his OEMs needs. Ever since its inception PF has always focused to achieve excellence in providing the utmost customer satisfaction. As a result this has made PF the preferred choice. PF have achieved continued growth with successful repeat business from all of its OEMs. Having started as a vendor of Memon Motor (Pvt) Ltd., (assembler of Super Star Motorcycle and Rickshaw), PF is now working with many other leading motorcycle and rickshaw assemblers across the country.

Facilities Having started as a vendor of many motorcycle assemblers, PF worked with major auto joint ventures operating in Pakistan. With the use of the latest designing and manufacturing technology along with experienced supervisor and a dedicated work force, PF has following major in house facilities. -

Plastic Molding Shop Our Moulding dept. is equip with 12 fully automatic moulding machines capable of producing part weight from 5 grams to 1200grams. Wiring Harness Shop Our Wiring Dept. fully capable of achieving any task related to assembly of wiring harnesses, winker, headlight, taillight or it is Speedometer. Press Shop Our Press shop is equip with latest machines andpossess

Vision: Our task is to become the preferred choice of our clients and customers Providing the product as per their specification to their doorstep on time Quality Assurance It has been our fore most principle to satisfy our customer in respect of the quality of our products and precise price calculation as well. The items produced by us can safely stand parallel to that of foreign made so far durability, strength, quality and accuracy is concerned.

D-128, Bawani Challi Metro vileS.I.T.E, Karachi. Faxno.021-32595961 Email: URL: www.pfautoparts.com.pk

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Hall No: 02, Stall No: A37

www.agriauto.com.pk

Head Office: 5th Floor, House of Habib, 3 Jinnah Cooperative Housing Society, Block 7/8, Shahra-e-Faisal, Karachi. Tel: (92-21) 34541540-3 Fax: (92-21) 34549284 Factory: Hub Chowki, Distt. Lasbella, Balochistan Tel: (92-853) 364326-9 Fax: (92-853) 363631 Email : ce@agriatuo.com.pk; shiraz.ahmed@agriauto.com.pk; info@agriauto.com.pk Website: www.agriauto.com.pk Established Year: 1981 PAAPAM Membership No.: 1006/5 Chairman: Mr. Yutaka Arae CEO: Mr. Fahim Kapadia Contact Person(s): Mr. Fahim Kapadia (CEO), Mr. Shiraz Ahmed (Head of Sales & Marketing) Certification(s): ISO-9001:2000 / Year 2005; TS-16949, ISO-9002 Company’s Strength (No. of Employees):698 Annual Turnover: Rs.4.9 Billion (2015)

Mr. Fahim Kapadia

Introduction: Agriauto Industries Limited (AIL) isa Public Limited Company, incorporated in 1981, and is quoted on the Karachi & Lahore Stock Exchanges. The company is a world class manufacturer & supplier of high entry barrier automotive components in the private sector and the first company in Pakistan to acquire ISO-TS/16949 certification. AIL, has increasingly built its status for high quality and leading-edge products, supported by complete industrial understanding and state of the art equipment under technical collaboration with leading international companies such as KYB Corporation Japan, Gabriel Ride Control USA, AISIN Corporation Japan, Ogihara Thailand, Shiroki Japan and Sannou Riken Japan. AIL has achieved another milestone by setting-up a world class Stamping facility in 2012, by the name of Agriauto Stamping Company (ASC) at Port Qasim in collaboration with “Ogihara – Thailand”. ASC is engaged in stamping of sheet metal parts with high tensile material for automotive industry. Our ongoing achievement has come about through our capability to change. With greater emphasis on 5S and Kaizen, leading to inspiration and invention, the company is passing through a change in culture and up gradation of machinery through Total Production Maintenance (TPM) under a phased program. It is our firm belief to accept the challenges which have ensued due to the global business trends. We are working closely with our stakeholders, business partners, vendors and customers in extending these principles and spreading its value. This year, our focus would be on safety at workplace and elimination of environmental hazards. Product Line: The product range includes Shock absorbers and struts in KYB & Gabriel Design (Oil & Gas),McPherson Suspension Assembly (End Module), Press Parts, Door & Hood Hinges for cars, Window Regulator (Manual Type) for cars, Steering Box and Camshafts for tractors, Pipe forks, Case Damper & Piston Rod for motorcycles that caters to both Ori ginal Equipment Manufacturers ( OEM’s) and the after-m ar ket. OEM Customers:Indus Motor Company Limited, Pak Suzuki Motor Company, Atlas Honda Motorcycles, Millat Tractors Limited, Al-Ghazi Tractors Limited, Sigma Motors, Master Motors, Hinopak Motors Limited, Sazgar Engineering Works Ltd and After-Market. www.automark.pk | March-2016 | Page 21

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www.agriauto.com.pk

AGRIAUTO STAMPING CO. (PVT) LTD. Basic Data Form Company Name: AgriautoStamping Company ( Pvt) Ltd. Head Office: 5th Floor, House of Habib , 3 – JCHS , Block 7/8 , Main Shara e Faisal, Karachi. Tel (office):(92–21) 34541540 -3 Factory : 12-B, Down Stream Industrial Estate, Pakistan Steel, BinQasim, Karachi. Tel (Factory) :(92–21) 34740580 E- Mail: yutaka.arae@agriauto.com.pk , aslamkhan@agriauto.com.pk , aqeel.loon@agriauto.com.pk CEO: Mr. Yutaka Arae Established Year: 2012

Brief Introduction of the Company: Agriauto Stamping Company (Pvt) Ltd. is a wholly owned subsidiary of Agriauto Industries Ltd and was incorporated on January 20, 2012. Agriauto Stamping Company (Pvt) Limited has been established for the manufacturingof stamping sheet metal parts, sub-assembly operations, dies/checking fixtures/jigs manufacturing and specializes in making high quality medium size stamping low / high tensile parts for automobiles.

Agriauto Stamping Co.(Pvt) Ltd has a technical collaboration with Ogihara (Thailand) Co. Ltd. which is a leading die making & stamping part supplier to; Toyota , Honda &Mitsubishi in Thailand. OgiharaThailand has its parent company in Japan and they have overseas operations inUSA, England, Chinaand India. Our team members got extensive training of 6-8 months in Thailand for all critical operations before the start of the commercial production. Agriauto Stamping Company (Pvt) Ltd. is the first ever stamping company in Pakistan having proper technology transfer in different areas of stamping including TPS, quality assurance, die maintenance & logistics. It has started its production in July 2014 by supplying high tensile sheet metal parts to the automobile assemblers.

Facility: The Company is equipped with tandem press line mechanical presses of 800t-500t – 500t – 500t. The plant is also equipped with state of the art welding facilities.

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Monthly AutoMark International

Automotive News - Update

Connectivity: 200 buses to link 14 areas to metro bus The Punjab Mass Transit Authority (PMA) inked an agreement with the Daewoo Pakistan Express Bus Service for the procurement, operation and maintenance of 200 feeder buses for integrated bus operations in the City. Daewoo Pakistan general manager Khurram Mirza said the company would invest Rs3 billion for procurement of the buses. Later, more busses will be added to the fleet, he said. He said the company had been awarded the contract through a bidding process. He said under the contract, 162 big and 38 small buses would ply the feeder routes. Mirza said the buses would be part of the Daewoo City Bus Service. He said the company would own and operate the buses on the feeder-routes of the metro bus and bill the PMA per kilometre. He said the authority would pay Rs165 and Rs140 per kilometer for big and small buses respectively. Responding to a query, he said nearly 200,000 passengers were expected to use the service to commute from various parts of the city. He said it had been estimated that each bus would transport 1,000 passengers to metro bus stations

daily. Talking to media, PMA (Operations) General Manager Syed Uzair Shah said the authority wanted to provide a comprehensive public transport facility for citizens. He said in the first phase the buses would be operated on 14 routes, covering 123 kilometres. Documents available with local press indicate that three companies (Platform AS, Daewoo Pakistan and Gursel and Compak JV) had submitted bids for the feeder bus service. The buses will be equipped with automated fare collection and bus scheduling system (AFC-BSS) and GPS tracking devices. Ticket sales and card recharge spots would be set up in 22 areas along the feeder routes. These sale points will remain open during bus operation time. The operator would also provide 15 handheld electronic ticket validators for spot checking to facilitate PMA’s ticket inspectors. The duration of the contract has been set at six years. The authority has plans to run as many as 1,400 standard or mini buses on 104 routes with a total route length of 951 kilometers.

SMEDA mulling replicating model of KOSGEB: CEO Chief Executive Officer Small and Medium Enterprises Development Au t hori ty (SMED A) Muhammad Alamgir Choudary has said that SMEDA is actively considering replicating model of KOSGEB (Small and Medium Enterprises Development Organization Turkey) for transforming change in the landscape of SME sector of the country. Talking to press media, he said that in this regard, it is suggested that a startup support and business improvement programme be launched. He said that the programme will be designed inclusive of financial assistance to provide support to start-ups and existing SMEs in thematic areas like human resources development, consultancy se rv i c es f or bu s i n es s p ro ce s s improvement, technology up-gradation and marketing, marketing and export enhancement support, technology development, innovation and property rights, quality improvement support and other business activities, he said. Alamgir further stated that the SME support mechanism of KOSGEB is unique and comprehensive as support

is provided to SMEs across the entire business cycles in term of business development services, research and development and infrastructure, packaged with financial assistance that is available to SMEs to benefit from the services. Alamgir further stated that SMEDA had proposed that a comprehensive SME business support model and funding for the project should be obtained from public sector development programme, adding that the proposed project also aligns well with Pakistan Vision 2025. “We are making adequate efforts that an SME start-up support and business improvement programme should be initiated to provide practical, on ground support to SMEs and for launching this programme funding through Public Sector Development programme (PSDP) should be provided to SMEDA for providing SMEs financial assistance in the area of training, consultancy, marketing and branding, technology upgradation, research and development, participation in international exhibitions and trade fairs and other areas that require government support, he said.

SMEDA helps revive 1,532 crisis-hit SMEs Small and Medium Enterprises Development Authority (SMEDA) has distributed grants of Rs1.287 billion amongst 1532 terrorism and flood SMEs of KPK and FATA under the MultiDonor Trust Fund (MDTF) funded Economic Revitalization of KP and FATA. The MDTF funded project for the crisishit SMEs of KPK and FATA is being implemented by the World Bank through SMEDA. Under the project a grant amounting to Rs828 million has been distributed in over 1000 SMEs of KPK and Rs458 million in FATA. The distribution is carried out in a very transparent manner and the top national anti-graft agency, National Accountability Bureau (NAB) had certified the project as corruption free. Besides, the terrorism affected shopkeepers, the beneficiaries of the grants are included the SMEs of different clusters particularly, marble, traditional textile and printing industries. “A bomb blast in our bazaar had wrecked our shops and food items put for display of buyers were destroyed. After the incident we were not in position to carry our business as the whole-sale shops were demanding advance payment and it was the cheque of a grant of Rs0.8 million that bailed our business out of the crisis,” told Sabir, the proprietor of a General Store in the CD Market at Nishterabad. Similarly, marble units of District Buner, one of the affected terrorism was also rehabilitated with the grant assistance of ERKF project through distribution of an amount of Rs262.3 million with an average grant of Rs1.2 million amongst 223 units. “During the period of militancy marble units over 450 were closed and their machinery was taken away by the militants and after the end of the military operation we restarted from scratches, Rasheed Khan, president of the Marble Association told this scribe. He said that the grant provided under the ERKF project has supported us to repair machinery and operate our units.

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By Engr Zeenat Anjum

Monthly AutoMark International

The agonizing journey of a fresh engineering graduate Bei ng an “engineering graduate” has been one of the prestigious aspects that could occur in t h e l i f e of a n individual. With new developing technology, these “engineering graduates” plan to introduce new diversification in innovation. They plan to implement on their ideas and make this World a better place for the common. However, this day-dream of an “engineering graduate” gets shattered once they gets known to the facts of life. Their high hopes take a down-hill run once they realize the worth of their knowledge. After being awarded credentials of being an engineer, a fresh graduate tends to apply his skills in a productive manner. Alas! The society plans a more vicious plan than it was expected by the fresh graduate. Soon, the marathon of job hunting begins between fresh graduates and hose engineering students who were once

good friends become mere acquaintances. Those fresh graduates are driven by professional competency and keep their lives at a loop. These fresh graduates wish their skills to get maximum exposure by hook or by crook. Some of these fresh engineers use “parchi” as a source to highlight their skills while the rest of the fresh graduates without any sort of “reference” are squished brutally by the society. The high hopes of these fresh graduates are abolished to a level that they are willing to do any sort of work and acquire any job just for the sake of contributing to its family. The fresh graduate decides to work day in and day out just to “fit in” and save the family from any sort of shame. Once, a fresh graduate gets appointed to perform some duties, it is specifically made sure that most of the creativity and knowledge acquired by the individual is manipulated by top management in a way a fresh graduate has no option but to work- all day and all night- but work! Hence, slowly and hastily, a fresh graduate starts losing its creative worth and rides a treadmill to

become a robot. Consequently, the robot repeats the same task everyday and pours in no empathetic element to their work. This agonizing journey has been going on from a long time and the fresh graduate has no option but to follow the trend. Many organizations enjoy this agonizing journey of a fresh engineering graduate and leave no stone unturned to add the hurdle in their lives. These organizations add an additional “experience” requirement when putting up a job vacancy so that the fresh engineering graduate has no- to- limited options for acquiring a career. It is high time to think and decide if it’s the way we want to frame the society. It i s hi gh ti me to t hi nk if t hi s demoralization has to stop or not. Lastly, it is high time to think whether you and your firm are a contributive part to this agonizing journey of a fresh engineering graduate or not? Written by : Engr Zeenat Anjum Zeenatanjum06@gmail.com B.E NEDUET Development Engineer GNL Blogger, Entrepreneur, Public Activist

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Exclusive Article by AM

PAKISTANâ&#x20AC;&#x2122;S AUTO SECTOR STILL WAITING FOR NEW AIDP It is important to mention here that motorcycle has become the most economical and affordable conveyance in Pakistan during the last decade as it could be judged that motorcycles' production increased enormously by 353 percent at the end of year 2015 to 1.714 million units as compared to 360,558 units in year 2004. Due to this lack of concern by law enforcement agencies, the national kitty is continuously missing huge revenue in terms of taxes and duties as many local motorcycles assemblers do not show sale of unregistered motorcycles in tax documents. To encourage the new entrants in Pakistan, he said the government should apply 45 percent duty on all types of Completely Build Units including motorcycles. He further said, the duty structure for the Completely Knocked Down of new models or Semi Knocked Down units should be the same.

The solution of all problems being faced by Pakistan's auto industry could be achieved through a twopoint agenda of APMA. Instead of existing eight kinds of duties' structure, the government should bring only two types of duty structures through its new AIDP, he added.

Association of Pakistan Motorcycle Assemblers (APMA)

The motorcycles' production in the

country reached 1.7 million annually in the last decade from which the government earned huge revenue in terms of taxes but the sector is not being facilitated plausibly by the regime, assemblers and dealers said. Muhammad Sabir Shaikh, Chairman Association of Pakistan Motorcycle Assemblers (APMA) demanding levelplaying field urged the government to implement uniform taxation policy for all local auto assemblers and importers in upcoming Auto Industry Development Policy (AIDP) which is pending since last five years. It is important to mention here that motorcycle has become the most economical and affordable conveyance in Pakistan during the last decade as it could be judged that motorcycles'

production increased enormously by 353 percent at the end of year 2015 to 1.714 million units as compared to 360,558 units in year 2004. However, the government of Pakistan also has failed to take full advantage of this exorbitant increase in production in terms of revenue through duties and taxes as allegedly 0.2 million further Pakistan assembled motorcycles besides legal statistics are being sold illegally across the country on annual basis. APMA Chairperson Muhammad Sabir Shaikh told Auto Mark that around 0.2 million of motorcycles are sold illegally in Pakistan due to which the national kitty is being deprived of huge revenue in terms of taxation. He said that selling and smuggling of unregistered motorcycles continued in 2015-16. APMA has written many letters to the Federal Board of Revenue, Board

AutoMark Magazine

of Investment and Engineering Development Board and also met with the concerned officials for ending this malpractice, but they did not bother to take any notice, he added. He said that some black sheep in bureaucracy, having hands in gloves with motorcycles' smugglers and unregistered motorcycle sellers are taking huge amount of bribery for giving a free hand to the unsavory characters of our sector. He said that the government can earn millions more revenue by stopping this anti-taxation exercise despite the fact the government, which is continuously taking serious action to broaden the tax net of this sector still has not become a priority of the new rulers. The solution of all problems being faced by Pakistan's auto industry could be achieved through a two-point agenda of

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Monthly AutoMark International

APMA, added Sheikh. Instead of existing eight kinds of duties' structure, the government should bring only two types of duty structures through its new AIDP, he added. He demanded uniform rate of customs duty on spare parts for all types of vehicles including motorcycles at 25 percent for all kinds of parts, localised, no n- local ised , asse mb lie s, su b assemblies, compo nents, sub component etc, for the after market and assembly of vehicles. To encourage the new entrants in Pakistan, he said the government should apply 45 percent duty on all types of Completely Build Units including motorcycles. He further said, the duty structure for the Completely Knocked Down of new models or Semi Knocked Down units should be the same. He said that this is the only way out to end corruption, smuggling, underinvoicing and nepotism in the automobile sector of the country. He said that motorcycles' registration and verification procedures are only followed in nine main cities of the country while the rest of Pakistan is not used to register motorcycles because of lax implementation of law there. Due to this lack of concern by law enforcement agencies, the national kitty is continuously missing huge revenue in terms of taxes and duties as many local motorcycles assemblers do not show sale of unregistered motorcycles in tax documents, he added. The companies which are manufacturing automobiles are categorized under the automobile industry. So simple it seems.

However, in the real substance, automobiles and the auto sector mean much more than this. It represents mob il ity, transportation and communication. It represents an industry that has a strong impact on a dozen other sectors may it be steel, vending, petrol or even employment. Hence auto sales reflect not only the basic human desire for mobility but these are also an important economic indicator. But in Pakistan Auto Industry means understanding with the Govt. for discounted imports of inputs for the industry, strict policy for new entrance, creating monopoly for existing players. The auto sector, like other industries of Pakistan, has its share of problems and issues. Then it will move on to discuss the theoretical companies’ analysis. The whole analysis, industry wise as well as company wise, would form the basis of the financial analysis. The objective of this study, besides to get a good grade in the subject, is to understand the basics of the automobile industry of Pakistan, discuss its pros and cons, find the reasons for its present state, present the future outlook and propose some ideas that might lead to better results. The automobile industry in Pakistan includes companies involved the production/assembling of passenger cars, light commercial vehicles, trucks, buses, tractors and motorcycles. The auto spare parts industry is an allied of the auto industry. The auto & allied industry form a major sector in Pakistan. The market structure of the automobile industry in Pakistan is concentrated. In economics term, we could say its an

oligopoly, which is characterized by imperfect competition in which the industry is dominated by a small number of suppliers. This is because the auto industry is highly capital-intensive requiring high investments and the products are expensive. Hence the barriers to entry are high resulting in the presence of limited number of suppliers. Moreover, the market can also be categorized as price-oriented. As cars are luxury items, especially in developing countries (Pakistan being one of them), the demand for them is elastic. Any prices change affects the sales of the company to a great extent. When Pakistan was established in 1947, there were neither any automobile assembly plants nor any industrial capability available for this important manufacturing of cars, Light commercial vehicles, motorcycles, trucks and buses. Investment in the automobile industry in Pakistan started in the mid 50s when Kandawallah Industries established its units for assembling buses and trucks. The company’s name was later changed to Naya Daur Motors. National Motors took the challenge to produce locally manufactured automobiles in the 60s and is said to have reached above 80% deletion of the Bedford lorries and trucks b e fo r e i t c l o se d d ow n . T h e n Kandawallah Motors again made a breakthrough by introducing “Nishaan”, a jeep copied on the pattern of Willeys Jeep of USA used by the Pakistan army. However, the project died out before the commercial production began. The automobile industry took another turn in the early 70’s when the

Ministry of Industry Government of Pakistan

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Monthly AutoMark International

Exclusive Article - continued

Instead of existing eight kinds of duties' structure, the government should bring only two types of duty structures through its new AIDP. The uniform rate of customs duty on spare parts for all types of vehicles including motorcycles at 25 percent for all kinds of parts, localised, non-localised, assemblies, sub assemblies, components, sub component etc, for the after market and assembly of vehicles. automobile industry in the country was taken over by the Government and placed under Public sector. Pakistan Automotive Corporation (PACO) was established in 1973 to regulate and supervise the automotive industry in the country. It was not until early 90â&#x20AC;&#x2122;s that the industry could have any private participation. Today, Sind Engineering (Pvt.) Ltd. is the only public sector enterprise in the automobile sector. There are 12 automobile companies listed on the Karachi Stock Exchange under the sector of Auto & Allied. The car industry in Pakistan primarily comprises of four players, all of which are Japanese. These are Pak Suzuki Motor Company Ltd., Indus Motor Company Ltd., Honda Atlas Cars Ltd. And Ghandhara Nissan Ltd. Amongst these, the first players comprise the major position in the market. Naya daur Motors are the manufacturers of Kia. The market for Buses and trucks include Hino-Pak Motor, National Motor, Ghandhara Nissan Diesal etc. The tractors market comprises of Al-Ghazi Tractors, Millat Tractors. THE TOP THREE ( OR ONLY THREE) CAR ASSEMBLERS These three companies are Suzuki, Toyota and Honda Cars, in these Pak Suzuki was the first passenger car manufacturer in the industry. It was formed in August 1983 as a joint venture b et w e e n Pa k i st an A u t o mo b i l e Corporation Limited (PACO) and Suzuki Motor Corporation (SMC)-Japan. The former party represents the Government of Pakistan. The company started commercial production in 1984. The company was privatized in September 1992 and SMC progressively increased its equity to 72.8% by acquiring the stake of PACO. The company today is the largest player in the industry with over 50% market share and a virtual monopoly in the fastest growing small car market. It represents 47% of the total installed capacity in the passenger cars

segment. The second assembler in only three or big three is Indus motors, which is a joint venture amongst the house of Habib (50% equity), Toyota Motor company (12.5%) and Toyota Tsusho Corporation (12.5%) initiated in December 1989 for the assembling, progressive manufacturing and marketing of Toyota vehicles in Pakistan. IMC is also the sole distributor of Toyota vehicles in Pakistan. The company started commercial production in May 1993. The last player in only three is Honda Atlas, who stepped into the Pakistani market in November 1992 as a joint ventu re bet ween Honda Mot or Company, Japan, and Atlas Group of Companies, Pakistan. Commercial production started from July 1994. The truck assembler from Japan also an important player in auto industry of Pakistan. Hinopak Motors Ltd. came into being as a result of a joint venture agreement between Pakistan Automobile Corporation (PACO), AlFuttaim of Dubai, Hino Motors of Japan and Toyota Tsusho of Japan. This company has become a full-fledged member of the Hino and Toyota family as Al-Futtaim Group handed over its 59% stake to Hino Motors and Toyota Tsusho in 1998. This company has a strong presence in the market of buses and trucks. They have been facing competition from Sind Engineering when they started manufacturing Volvo trucks in 1997. Moreover, import of buses by Daewoo and Mercedes in CBU form served as a setback for the company. However, the brand of Hino is going strong in our country, especially in Punjab and NWFP. Policy of the Govt. of Pakistan for new entrants is monopolized by the current only three assemblers and the other issue is the high cost for new plants discourages new entrants on the one hand, the average capacity leaves little room for new comer to take their chance

on the other hand. The competitive environment has been explained in terms of the different segments of the market. It could be observed that in the upper segment, Toyota is the market leader whereas Suzuki leads in the lower segment. In China FAW, First Automobile Works is a global contributor in the automotive industry with a 50 year history of innovation. The company FAW was established in 1953 and the name was changed to Chi na F AW G roup Corporation in 1992. It has been noticed that FAW has recently started doing great in the Pakistani market. Automobile market of Pakistan is very complex and it is not easy for a new investor to compete against the current established players of the market. Along with local production done, the market is also filled with imported cars which further increase the competition. Al-Haj FAW Motors was incorporated in July 2006 and launched first product in October 2006. Started with two variants of heavy duty trucks. They had signed a distribution license agreement with FAW in July 2006, which allowed them to import, distribute and sell FAW products in Pakistan. Two competing companies producing tractors are Al-Ghazi tractors (Fiat) and Millat tractors. The motorcycle industry is the more important segment of Auto Industry of Pakistan, in this segment, Honda motorcycles is a leading player since last many years followed by many new Chinese cum Pakistani assemblers which includes, UNITED, SUPER POWER, UNIQUE, SITARA, ROAD PRINCE, WINNER, BIONIC, SUPER STAR, RAVI & HERO, two Japanese assemblers Yamaha and Suzuki are also very important in the motorcycle industry of Pakistan....

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Automotive News - Update

Volvo to re-enter Pakistan Volvo Pakistan Limited Chief Executive Officer Waqar Asghar said the success of the project – that will see the company provide luxury buses for road transportation – is dependent on consumer feedback, based on which the company would decide its future expansion plan. The transport network and its industry seem to be ‘in-thing’ at the moment, with the latest development being the decision of Europe’s leading bus manufacturing company Volvo to reenter the Pakistani market. The company had a brief relationship with the Pakistani government in the 1980s, but the project did not have a long-lasting impact, shutting down as the country paid less attention to its road networks. However, after decades, Pakistan is exploring a new-found love for the transport sector and this has led Volvo Pakistan Limited to seriously consider catering t o a growing market. Volvo Pakistan Limited Chief Executive Officer Waqar Asghar said the success of the project – that will see the company provi de luxury bu ses f or road transportation – is dependent on consumer feedback, based on which the company would decide its future expansion plan. The company will provide 50 units per annum, as it is targeting the organised inter-city bus operators who can afford the induction of Volvo buses in their existing fleet. “We are sure that the comfort a Volvo bus provides to travellers will force operators to induct these buses,” Asghar told The Express Tribune. “The decision to introduce Volvo bus in Pakistan is based on some important factors; the growing road-transportation network and the consumer power to spend on luxury travel. “Another important factor is the ongoing construction of motorways, es p eci a ll y t he Lah or e- Ka rac hi Motorway. These roads are linking major cities together, hence, increasing demand for quality bus services,” he said. “The growing economic prospect of Pakistan is definitely a reason why the company has introduced this product.”

VPL is a subsidiary of Panasian Group – a su p pl ie r of V olv o - tr uck s, construction equipments and Sunwin buses along with some other products in the Pakistani market. In the 1980s, the Swedish government gifted 660 Volvo buses in order to upgrade the urban transport sector of Pakistan. The Panasian group played an important role in the grant and provided consultancy, infrastructure, processes and route planning. The Punjab Road Transport Corporation was formed to execute the project. The Panasian group managed to transfer technology to Pakistan; some of the buses were imported while the local body manufacturers were engaged in developing bodies of remaining units. But like most endeavours, the project started facing mismanagement issues. The service ended in the 1990s and all buses were gradually disposed-off in a warehouse situated at Multan Road. Since the resumption of operations, Volvo has successfully managed to supply 134 Metro buses for Lahore and Rawalpindi-Islamabad metro projects and is in the process to supply another 35 for Multan. Currently, Daewoo Express is the only company that has ordered 10 Volvo buses for its fleet. Though Daewoo is

considered a ‘luxury bus service’, its fleet mainly consists of buses imported from Korea. Asghar said the company is looking to tap the existing potential. “Once demand touches 300 buses per annum, we will consider investing in the establishment of an assembly line for Volvo buses in Pakistan.” Public transport: ‘Halt construction, start debate on Orange Line’ Pakistan currently imports 1,200 buses a year to meet domestic demand, a low figure since the country’s public transport system leaves much to be desired. Brazil, for example, with almost the same population as Pakistan, meets a demand of 30,000 buses per annum. “In India, Volvo has a manufacturing base with a capacity of manufacturing 1,500 buses p er an num. I t i s manufacturing 10 Volvo bus products, and has recently engaged in exporting 100 Volvo buses per annum to the European market, besides exporting to Bangladesh, South Africa and Sri Lanka,” he said. “On the other hand, in Pakistan, the first Volvo B11R has just been introduced and even that is being imported from Europe, which makes it around 35% costlier than the imported model of Daewoo in Pakistan. “Currently, the automotive sector is in the negative list of Pakistan-India trade and we cannot import Volvo from India,” said the VPL Country Manager (bus division) Uzair Shahid. “We have convinced our parent company to start its bus division based on the growing demand of European cars by a certain segment of the society which will lead the momentum,” he added. “We are in close contact with existing transporters as well as with banks and different financial institutes for financing arrangements.” Curtsy: The Express Tribune

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Transportation News - Update

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Hop on tourism dept bus and travel from Kalachi to Karachi The Sindh culture department will be running a bus tour every week that will take city residents and the few tourists it attracts on a tour of landmarks mostly in District South. The Karachi City Tour, called ‘Kalachi to Karachi Tour’, was inaugurated by Sindh culture, tourism and antiquities adviser Sharmila Farooqi on Feb 13. The ribbon-cutting ceremony was held at the Pakistan Institute of Tourism and Hotel Management (PITHM) after which the inaugural tour began. History lessons The tour started with a cup of tea at PITHM. Uniform-clad drivers stood in front of two Sindh Tourism and Development Corporation (STDC) buses, which were draped in posters advertising the new tour. The first landmark was Mohatta Palace whose director, Dr Nasrin Askari welcomed the participants. She gave a briefing on the textile exhibition, which is going on at the museum. With her passion for art and history spilling into her speech, Askari kept the audience engaged with her knowledge of antiquities. Later, the group headed to Flagstaff House where the curator, Omar Qureshi,

spoke about its history and the belongings of Quaid-e-Azam, which were brought in from his Delhi and Mumbai residence. Finally, the group headed to National Museum of Pakistan where curator Muhammad Shah Bukhari briefed the media about the relics placed in the museum. Tour 101 According to the STDC, the tour for general public will start from Feb 14, and will take place every week. The bus will leave at 10am from PITHM, located near Abdullah Shah Ghazi’s shrine. The bus will leave the institute and head to Mohatta Palace, after passing through Abdullah Shah Ghazi’s shrine and Jahangir Kothari Parade. It will also pass through Frere Hall, Flagstaff House, Quaid-e-Mausoleum, National Museum, Merewether Tower, Mai Kolachi Road and then end the tour at Dolmen Mall, Clifton. A regular trip will last four hours and will cost Rs1,700 per head, which will cover the cost of the welcome tea, the air-conditioned transportation, guided tour, entry tickets and lunch wit h bott led wat er. The tour guides hired by STDC are also experts in their field. Tour guide Vispi Billimoria told press media that he has

been in this field for 18 years. After the security conditions in Pakistan worsened, Billimoria left the tourism industry but now he feels happy to be back. “Peace has returned and so has tourism,” he said. “Pakistan is full of exceptional tourist spots where anyone can visit but one needs the services of a tour guide to know the technical details about any landmark.” Ad dressing the media, Farooqi mentioned that her department initiated this project without taking financial help from the government. They will make use of two culture department vans in the initial stages for the day tours in Karachi. “We are charging very minimal amount from our clients but we want to make the service sustainable by accommodating the salaries of the tour guides, drivers and fuel,” she said. “We will further improvise and include other landmarks.” The tours will offer group discounts for students, senior citizens and foreigners who wish to take the tour with us. “We can add sailing, crabbing and food tours and road trips to Thatta, Ranikot and Moen Jo Daro in the near future,” she added.

Karachi Green Line Bus project The median station design proposed by NESPAK for elevated section of BRT Yellow Line Karachi has been approved by the client Karachi Metropolitan Corporation (KMC) recently. This design will enable the BRT service to operate without any hindrance from passengers while crossing/approaching the median side station. In February 2014, KMC invited bids for p requ alif icat ion of bidd ers /concessionaire for three separate components of the project i.e. infrastructure developer, bus operator, and ITS/fare collector. More than 20 bids were received, half of which were submitted by the international bidders from China, Turkey, Sweden,

and UAE. NESPAK has completed the preliminary engineering design drawings and feasibility report and is presently evaluating the pre-qualification documents submitted by the bidders. The pre-qualified bidders will be provided the Request for Proposal (RFP) document for which NESPAK has prepared the technical evaluation criteria and specifications. The proposed BRT Yellow Line is a part of integrated Mass Transit Master Plan, which will interface with other proposed BRT lines at Singer Chowrangi (Brown Line), Kalapul (Karachi Circular Railway), Numaish (Green and Blue Line), and People's Roundabout (Red

Line). NESPAK along with the JV partners KPMG (Lead) and Mohsin Tayebaly & Co. won this project after competitive bidding earlier in January 2013. Bus Rapid Transit System, Yellow Line K a r a ch i r o u t e s t r e t ch e s o v e r approximately 26 kilometers between Dawood Chowrangi and Numaish Chowrangi and Regal Chowk via 8000 Road, Korangi Road and FTC Building. It is expected that the system will cater for 150,000 passengers per day initially, which will go up to 250,000 passengers per day. The project is estimated to cost about Rs. 14 billion, which will be c o mp l e t e d o n P u b l i c – P r i v a t e Partnership Mode.

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Groundbreaking ceremony Karachi Green Line BRT stuck on the red light The groundbreaking ceremony of the Green Line Bus Rapid Transit (BRT), which was supposed to take place in mid-January, has been delayed further. However, officials claim the construction work on ground has been initiated. The funds for the project have been approved and consultants have completed their homework for Karachi’s very own metro bus service that will breeze through Surjani Town and all the way to Guru Mandir. Not only will modern buses be introduced through the Green Line project for the public-transport-starved city, but segregated lanes for these buses will also be made for commuters to cover the distance in a short span of time. The project, which is estimated to cost Rs16 billion, is being funded by the federal government. The funds were announced in the budget for the financial year 20152016. Out of the 17.8 kilometre (km) stretch of the Green Line BRT, 9.92km will be elevated and 7.88km will be on ground. There will be a total of 21

stations along its route. Karachi Infrastructure Development Company Limited (KIDCL) chief financial officer Bilal Memon announced last year that the project will formally kick-off in mid-January and the infrastructure will be completed by the end of 2016. However, according to sources, work on the project has not yet started because Prime Minister Nawaz Sharif is not available for t he inauguration ceremony. KIDCL has been formed by the federal government specifically to handle the project. Memon had also said last year

that the BRT project will become operational by June 2017, as the infrastructure will be handed over to Sindh government once construction is complete. On Last month Memon insisted that work on the ground has begun and a camp office has also been established at Nazimabad Chowrangi. He said that the PM, or any of his nominees from the federal government, will inaugurate the groundbreaking ceremony this month. Memon said the test piling at Guru Mandir and at various intersections for the flyovers has also been started. “The shifting of waterlines at KDA Chowrangi is also under way, which will take a month or two,” he added. Meanwhile, EA consultancy firm’s Tahir Soomro insisted the construction work is proceeding as planned. “However, the PM’s arrival is very important,” he said, adding that they have to give briefing to the PM regarding the stations, as he has keen interest in their designs and only he will approve it...

Daewoo to build two new terminals in Lahore Daewoo Pakistan is going to establish two new bus terminals at the Defence Housing Authority (DHA) and at Thokhar Niaz Baig to expand its intercity operations. Daewoo Pakistan Express Bus Service vice president Faisal Siddiqui said that the company had acquired land in DHA and Thokar Niaz Baig for setting up the new bus terminals. “The Thokar Niaz Baig terminal will be operational within four months. The DHA terminal will be completed by 2017,” he said. He said that the DHA terminal would have shopping malls, food courts, cinemas and other recreational facilities. “We have recently set up a bus terminal in DHA. We got an encouraging response from commuters. At times, it becomes difficult for the company to cater to the growing number of passengers at the existing DHA terminal.

That is why we have decided to build another state-of-the-art bus terminal close to the current terminal,” he said. Siddiqui said the current terminal at Kalma Chowk faced space constraints and other limitations. “It is not possible for us to run a bus every minute or so due to the dense traffic flow on Ferozepur Road. Everywhere in the

world, transport companies have terminals at multiple locations for passengers’ convenience,” he said. “We will invest around Rs700 million to Rs900 million in new buses. Some new European standard buses are also being inducted in the fleet. We started our operations in the ’90s with only 20 buses, now we have 347 buses, providing transportation to six million passengers every year,” he said. Siddiqui said that the company was investing around Rs4 billion in the Multan Metro Bus Service and the Lahore Metro feeder bus operations. “Daewoo believes historic decline in petroleum prices, reduced mark-up rates, a stable security situation and government’s resolve to improve transport facilities in big cities have provided a conducive environment for investment,” he said.

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Exclusive Article by M. Shuja ul Haq

Pakistan Auto Industry from Independence to Nationalization

Automobile industry is one of main economic pillar of any country. It contributes average 5 to 8 % in GDP and approx. 10 to 18% in manufacturing sector depends on the country. The re aso n beh in d th e si gn if i ca nt contributionis that there are lots of industries associated with it, e.g. Steel, Rubber, Plastic, Aluminum, Chemical, Paints, Carpets, Glass, Fuel etc., auto Industry can absorb massive amount of labor in OEM, tier one and tier two vendors. Repair, Re sales, and Spare part markets are supplement to this industry. History of automobile starts with “Model T” of Ford, which was the first car of world, produced in 1908. One can find many events back through the 18th century about the evolution of cars and its components but all those project were proto type. Model T was labeled as first car because it had been produced in mass production with affordable price with price tag of$850 in 1909 to $300 in 1925;actually Henry ford was passing its saving to the end customers. US have rich history of automobile industry, big three Ford, General Motors and Chrysler belonged to United States. Before Great Depression 1929, there were 32 million cars running on the road globally and US made 90% of them. After World War

IIUS share reduced to 75 % and then in 1992 Japan took the lead and then China in 2008. Fortunatelyhistory of Pakistan auto industry starts with independence of the country when in 1949General Motors Sales and Distribution Co. introduced Vauxhall Bedford Trucks in Pakistan and built assembly plant in Karachi. It was the first assembly plant of the country in a very nascent stage. General Motors brought their UK plant hangars for assembling SKD (Semi Knocked Down) and installed at the place where Awami motors was situated later in Dockyard, West Wharf, production was started but after some years stopped for unknown reason. After rapid growth in demand of cars which heralded the good potential in future demands, other three giants of USFord,Chrysler and American Motors Corporation AMC rushed to enter into Pakistan in early 50’s so they questedfor local company to grant them right as a franchisee. In 1955 Ford came into Pakistan through Ali Automobiles and built various Ford Cars e.g Ford Cortina (which was claimed to be Pakistan’s first car by some auto industry expert), Ford Perfect, Ford Pickup, Ford Angela, Ford Combi etc. Syed Wajid Ali, who was comm-issioned officer of Indian Army before partition,

a philanthropist and a chai rman o f Packages, Wazir Ali Industries, and many industries in Pakistan, started Ali Automobiles, he also incorp-orated Wazir Ali Engineering in 1963, for engineering and heavy Industries. Wazir Ali Engineering made assembly tools, night vision devices and hollow plate bridges for army and later introdu ced LambrettaScooter, in 1962, this Italian brand motorcycle produced through progressive manufacturing. Syed Wajid Ali died in 2008 at Lahore after protracted illness. Chrysler entered into Pakistan through Haroon Industries which introduced Dodge Dart cars in 1956. Plant was located where Hino Pak is situated in Karachi. Haroon Industries was also importing SKODA (Czech Republic brand) cars in 60’s, then the CEO KhawajaRehman decided to build it locally in progressive manufacturing. In 1968 Haroon Industries started venture na med S K OP AK and i ni t i at ed development in 1969 and launched the car in 1970. Haroorn Industries was importing chassis from SKODA and making fiber glass body panels in house. The whole body was exclusively made in Pakistan, so the Haroon Industries was the pionner of fiber glass body in Pakistan. This project ran for one year only and ended in 1971 due to nationalization. In 1962 Kandawalla Industries introduce CJ 5, 6 and 7 Jeeps of American Motors Corporation. It is civilian version of Willey’s military Jeep, CJ is “Civilian Jeep”.Nishan Jeep, copied version of CJ-5, was said to be the first car of Pakistan made through progressive engineering in 1970 at Kandawalla Motors, plant located at SITE area Karachi.Eighty Jeeps were successfully been produced and the project was still

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Independence to Pre Nationalization era is covered in this article. Events of nationalization; post nationalizationera; its good and bad impact on the local industry; truth about different claims of first carand factors that cause debacle of some auto companies will be covered in next articles in trial run when nationalization put an end to it in 1972. Nishan Jeep was built for Pak Army and govt. did all financing because Kandawallas had very good relat ions wi th gov t. Matchless Engi neering t ook the p ride to manufacture first 4 cylinder petrol engine for CJ-5 Nishan Jeep. Govt. conferred Tamgha-e-Khidmat and Nishan-e-Pakistan to Mian Sharif Ahmed, Chairman of Matchless Engineering. There was no substantial industrialization in early 50’s, but in the era of Ayub Khan from 1958 to 1969, known as the ‘Decade of Development’, all industries was started to flourish, Tourism, Civil Aviation, Engineering, Units, Exports etc. Unfortunately this economic and industrial growth belonged to force modernization under undemocratic system. Previously all plants were operating in SKD (semi knocked down) operations means they were only allowed to import sub-assemblies and assemble vehicles in Pakistan, in contrast to progressive manufacturing which required the development of parts locally. In 1963 when Pakistan automobile industries were growing continuously, Lt. Gen. Habibullah Khan Khattak, father in law of Ayub Khan son,GahurAyub, acquired facilities from General Motors during Ayub Khan tenure.He named it Ghandhara Industries Limited, which became the first company of the Pakistan that was granted to make vehicle by progressive manufacturing in 1963. Plant was situated in Karachi, so that adds one more credit to the metropolitan glory, later buses and cars started progressively in this plant.

hovering around 3000 units per annum. By foreseeing that succe ss HabibullahKhattak also incorporated G ha n d ha ra D i es el Li m i t ed t o manufacture diesel engines in-house for Bedford Truck in 1970 at Hub Chauki, which was later nationalized in 1972 and named Bela Engineers Limited. Bela Engineers was first company to manufacture engines for in Pakistan. Auto industries got huge support when Allwin Engineering and General Tyres incorporated. Allwin Engineering, which had expertise in specialized and precision parts, incorporated in 1963, as private limited company, which was owned by Shirazi Group. General tyres was started operation in 1964, initially it was an American company, General Tire International Corp. GTIC, investment which was later sold to Bibojee Group in 1977 and now GTIC is only giving technical assistance. Battala Engineering Company BECO Lahore, founded by Ch. M. Latif, a Mechanical Engineer graduated from Maclagen Engineering College now UET (University of Engineering and Technology Lahore), in 1932. Pakistan was the first Islamic country to build its own prototype diesel engine at BECO in

We can classify auto industry before nationalization in two phases. • Pre Nationalization with SKD Operation ( 1949-1962) • Pr e Na tio nal iz a tion wit h Progressive Manufacturing (19631972) Bedford was a huge success in trucks sector, with the sales volume was

Ch. M. Latif displayed to King of Thailand BECO diesel engine attached with water pump, 1962

early 60’s before nationalization. It was the tremendous achievement by any Pakistani company, but before engine going for mass production nationalization ruined its fortune, started with changeof its name from BECO to PECO Pakistan Engineering Company. So having huge potential for growth it collapsed and ended in making of bicycle instead of diesel engine. In 1964, Raja Motors, Honda Motor Cycles and Rana Tractors (Millat Tractor now) was incorporated. Rickshaw and Vespa of Italian brand was introduced by Khawaja Auto Cars.An employee of Khawaja Auto Car, Raja Abdul Rehman, made his own company named Raja Motors.KhawajaYousuf, founder of Khawaja Auto Car was not well educated businessman,but had very strong relations in Italy, Italians also trustedon him that’s why Italians introduced many products in Pakistan through Khawaja Auto Cars. Monnoo Motors introduced Toyota Corona in 1967 but they only did import CBUs (completely built unit), price tag of Toyota Corona was about Rs. 36,000. Monnoo had a plan to build their plant on Hawksbay, Karachi for Toyota Corona production, they even purchas ed t he l and t here bu t unfortunately project fell in vain due to nationalization. Independence to Pre National-ization era is covered in this article. Events of nationalization; post nationalizationera; its good and bad impact on the local industry; truth about different claims of first carand factors that cause debacle of some auto companies will be covered in next articles. Author: M. ShujaulHaq

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Exclusive Article by M. Laman

Trucking sector of Pakistan auto industry rides high Time will tell how the new Chinese players will grab the share from the already existing players in light and heavy commercial trucks but one thing is certain the new players will definitely try to roll out latest engine technology as per European standards. Economic conditions and import/export trade are considered as the life line for the production of light and heavy trucks as import and export trade is the barometer of country’s economy.

The heavy commercial vehicle scenario in Pakistan has surely witnessed drastic changes in the last few years. As many Chinese and foreign brands have tested their luck in the hot-blooded Pakistani market. The new players are already dominated by Hinopak Motors, Ghandara Nissan, Ghandara Industries and Master Motors which cumulatively enjoy sizable market share. It can be said that the new players have proven themselves to enjoy the profit fairly.The aim to cut a slice from the old players’ share seems a gigantic task but the price difference may lure the price conscious people associated with goods’ carrier business. After experiencing the Japanese joint venture, a number of seasoned and organized players in the auto assembling business are now with ink agreements dysin working with leading Chinese truck makers (Sinotruk truck) and Ghandara Industries is working with Dongfeng trucks .Volvo also plans to unveil high quality trucks in Pakistan. One of the leading Japanese company along with one Swedish heavy vehicle

player are collaborating with Chinese DongFeng which is the world’s largest producer of heavy duty trucks. These workings together direct us to a pretty well road which surely is bright for Pakistan. The expansion of the premises of MAN Diesel and Turbo Pakistan is owing to the increase of capacities to realize the sizeable maintenance contracts the company has undertaken. Furthermore, the premises are extended and customized in such way that MAN Truck and Bus can start its business in Pakistan and develop its sales and aftersales services for the region, showcasing trucks, buses and high speed engines in

Lahore. In December 2015, Karakoram Motors signed a contract assembly agreement with M/s Dysin Automobiles Limited for the assembly of their 220 and 290 hp Prime Movers SINO TRUCKS of China. All assembling arrangements are now completed and commercial production of these trucks will start in the first week of May 2016. The plant initially assembled 300 units of Euro compliant trucks and prime movers of various categories and was scalable for production output as per market demand.The Joint Venture Agreement was signed by Quarter Master General which is also Officer Incharge NLC Lieutenant General SajjadGhani, Chairman HIT Lieutenant General Syed WajidHussain and Senior Vice President NORINCO Wang Lee, said an ISPR press release. Some of the existing companies in Pakistan are Hinopak, Ghandara, AlHaj Faw, Afzal Motors (Jac,King&Long van), PM Autos (Faw) Power brand light vehicle etc. Master Motors is a truck

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As the Japanese assemblers are worried over the current heavy vehicle situation, the existing Chinese and Korean investors and upcoming new players must also be alarmed. The import policy permits import of used dump trucks, spraying lorries, waste disposal trucks. manufacturer based in Port Qasim, Karachi as a part of the Master Group of Industries. Although the present transport system is not up to standards but it can be safely said that it has considerably improved compared to previous years. It is true that economy cannot grow without appropriate modernization of trucking sector. Worthy exports and imports travel on such low standards vehicles turning out to be a major risk. Time will tell how the new Chinese players will grab the share from the already existing players in light and heavy commercial trucks but one thing is certain the new players will definitely try to roll out latest engine technology as per European standards. Economic conditions and import/export trade are considered as the life line for the production of light and heavy trucks as import and export trade is the barometer of country’s economy. The existing players had a nail biting experience from 2009-2010 onwards till 2012-2013. As per figures of Pakistan Automotive Manufacturers Association (PAMA), the overall sales of trucks plunged to 1,948 units in 2012-2013 from 2,394 units in 2011-2012, 2,942 units in 2010-2011 and 3,620 units in 2009-2010. High truck prices of existing players can be blamed for low sales from 2009-2010 to 2012-2013 besides investors’ shift towards used trucks and Chinese light commercial vehicles. Even investors in goods carrierbusinesses also lifted only 10,734 units of Suzuki Ravi in 20122013 as compared to 17,015 units in 2011-2012. Hyundai Shehzore (Korean made) remained out of production from 2011-2012 to 2012-2013. However, the PAMA figures for JulyOctober 2013-2014 proved a bit relief for the truck makers as Hino sales stood at 263 units followed by Nissan’s 95 units, Master’s 125 units and Isuzu’s 90 units as compared to 264 units of Hino, 61 units of Nissan, 99 units of Master and 98 units of Isuzu in July-October 2012-2013. In light commercial segment, Suzuki Ravi’s sales rose to 3,692 units in JulyOctober 2013-2014 as compared to 3,030 in same period last fiscal year.

Buyers of Hyundai Shehzorereceiveda good news with start of its production from September 2013 with 150 units, swelling to 300 units in October 2013 and still increasing till date. One of the leading local truck manufacturers was not satisfied as cheaper Chinese trucks wereposing serious challenge to costly and big truck assemblers while arrival of used trucks continued to haunt the local industry. One reason was Pak Rupee’s devaluation against major currencies which pushed up the cost of import of parts and accessories thus pushing up cost of production in the last five years especially from July 2013 onwards when one Dollar was equal to Rs 98.50. The peak was when one Dollar was 108. Although the cost is still up as the current Dollar to PKR is 104.8 which still is a major reason for costs going up and competition to weaken. Chinese truck and commercial vehicle assemblers can sustain the currency parity impact due to cheap parts’ quality and low price of Chinese parts and accessories. Not only the dollar rate but the rising oil prices have had a countable impact on the demand and production. As the Japanese assemblers are worried over the current heavy vehicle situation, the existing Chinese and Korean investors and upcoming new players must also be alarmed. The import policy permits import of used dump trucks, spraying lorries, waste disposal trucks and prime movers etc which find their way into the market for use as normal trucks. Others avenues also exist for import of used vehicles besides the baggage scheme for overseas Pakistanis which continue to be relaxed for heavy commercial vehicles with the age limit is five years and depreciation limit is two per cent. Smuggled and under invoiced heavy

vehicles are also available in the market. With the above negative conditions, the government has imposed sales tax at the standard rate on locally produced heavy vehicles which has further hit the market. The assemblers under PAMA feel that the revival of heavy vehicle sector is not possible unless measures are taken to curb the import of used vehicles for which age limit of used trucks being imported under baggage schemes are brought down to three from five years besides cut in depreciation limit to one from two per cent.PAMA feels that there is a need to comprehensively review all the schemes and appropriately pruning the same in the light of their misuse. The China Pak Economic corridor is going to enhance the heavy duty truck and busses sale. This is because the latest highway is going increase the demand for travelling and people would want to travel in much more luxury and a comfortable manner. It is a great opportunity for Pakistan to attain utmost benefit out of CPEC. The auto industry of Pakistan is surely going to increase if educated steps are taking by related authorities and stake holders. The latest truck launched by hinopak named kazay is a new step taken towards the evolution of heavy duty vehicles in Pakistan. It has been noted that the latest technology sales have increased and travelling has become much easier. Not only this heavy duty trucks will be needed to transport goods and services between the two country therefore latest technology trucks will be needed. PAMA has to create favorable policies so that the industry can boom and new investors can enter. With the entry of new manufacturers and assemblers the quality is going to increase and the prices are going to fall because of competition. The Chinese manufacturers which entered the industry have also given a tough time to the local ones which further has moved the auto sector one step ahead. Government should look up into this matter by giving further subsidies to local manufacturers so that the Pakistani heavy duty truck industry also sustains and can compete in the international market.

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Monthly AutoMark International

Automotive News - Update

Bosch inaugurates Pakistan office in Lahore Bosch, a leading global supplier of technology and services, has inaugurated its first office in Pakistan. Expanding the Bosch Group’s operations in the region, the office based in Lahore will serve as liaison office for the company’s automotive aftermarket, power tools and security systems business divisions. Ina Lepel, German ambassador to Pakistan, attended the inaugural ceremony. Steven Young, president of Bosch Turkey and Middle East, and Volker Bischoff, general manager of Bosch Middle East, attended the event. Commenting on the news, Lepel said, “With a young and growing population of nearly 200 million people, Pakistan is an interesting market, which cannot be ignored in the long-run by

multinational companies. Bosch’s latest venture is an important milestone in our bilateral economic relations with Pakistan.” Pakistan is expected to register a steady GDP growth rate of 4.5 percent over the next two years, according to the IMF (International Monetary Fund), with lower inflation positively affecting domestic purchasing power. Reflecting on Pakistan’s economic growth, Young said, “We are keen to be part of Pakistan’s rising growth story. The strongly developing middle class, rising consumer demand and the growth of manufacturing and automotive sectors are very positive indicators. The industrial sector will definitely benefit from Bosch innovations as we deploy our core competencies in the Automotive Aftermarket, Power Tools and Security

Systems sectors.” Bischoff said, “Pakistan is a crucial market for the sustained growth of Robert Bosch Middle East. We are keen to develop direct relations with our local customers and supporting the industry with our expertise, ultimately improving the quality of life for the people with our innovative products and solutions”. Products and solutions ‘invented for life’ for the Pakistan market studies indicate that Pakistan’s automotive market is still in development. Pakistan’s current economic revival has garnered the interest of more mature players such as Bosch to enter the market. In the automot ive aftermarket , Bosch products, including spark plugs, wipers, batteries and zexel in the diesel segment, are already in significant demand.

Car sales up 22.47pc in January Cheap credit continued to boost car sales in January, which rose 22.47 percent on month-on-month and passed 18,000 marks, industry data showed on Wednesday. According to the Pakistan Automotive Manufacturers Association (PAMA) monthly data , a total of 107,907 cars were sold during the first seven months of FY16, up by 30.96 percent against 74,497 units sold in the corresponding period of FY15. A total of 18,083 cars of all categories were sold out in the country against 14,019 cars in December. In January last year, 15,770 cars were sold out and the current data shows an increase of 12.8 percent on year-on-year basis. An increase of around 22.5 percent is not very surprising, as consumers put a hold on buying during December, waiting for the new model in January, said one dealer. The largest number of sales were recorded in cars of 1300cc or above at 8,903 units, up by 37.42 percent against 5,571 units sold in December 2015. Toyota Corolla led the sales with 5,544 units followed by 3,015 units of Honda cars -both Civic and City- while only 344

Suzuki Swift cars were sold in this category. However, sale of the large vehicles declined by 5.6 percent compared with January 2015 when 9,401 cars were sold. Suzuki Mehran and Bolan were the only cars under the category of small vehicles of 800cc and below 1,000 cc category selling 7,061 cars against 6,060 cars in December. These small vehicles recorded a huge increase of 32.7 percent against January last year. A dealer said that an increase in the sales of small vehicles compared with sales of January last year and a decline in the sales of new cars shows more interest towards small cars. However, he said, more vehicles were purchased through bank finance as banks remained active during this period. During January, 2,119 cars of 1,000cc were sold that included Suzuki Cultus and Suzuki WagonR, while only one unit of Hyundai Santro was sold. One dealer said that import of used Hybrid cars have also affected sales of the 1,300cc and above cars in the country. Karachi Commissioner Syed Asif Haider S ha h, d ur i ng a mee t i ng wi t h

industrialists on Tuesday, said that an average 409 vehicles were being registered in Karachi on daily basis. Roads in the city needed improvement, he said, adding that he was working on that issue with the Sindh government. According to the data of used cars, imports continue to thrive unabated as between January and December 2015, a total of 34,765 passenger cars were imported, including 25,000 small cars, 4,036 SUVs and 2,456 pickup/vans. The total imports of used vehicles last year were 41,257 units. Almost 5,000 units of hybrids competing with Civic and Grande were imported in 2015, while over 4,000 SUVs were imported affecting the locally produced Fortuner, of which around 700 units were sold during the period. Experts believe government would have to change the mindset where automotive manufacturing was discouraged and trade encouraged. This not only hurt the industry but consumers too who are at the losing end due to higher prices, non availability of spares, after sales service, and technical support.

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International Automotive Industry - Update

VW in partnership talks with China’s JAC Volkswagen has confirmed it is in early stage talks with Chinese state-owned vehicle manufacturer Jianghuai Automobile Company (JAC) over possible co-operation, according to local reports. The head of Volkswagen's Chinese operations, Jochem Hei zmann, reportedly confirmed that talks between the two companies are under way but declined to specify which specific areas are being targeted. It is thought that the two companies may be interested in joining forces in electric vehicles, a significant growth segment of the China vehicle market. This was not confirmed by Heizmann, however. Volkswagen has two major vehicle manufacturing joint ventures in China, with FAW Group Corporation and SAIC Motor Corporation.

Toyota recalls 1 million cars for seat belt separation Strangely enough, the remedy doesn't requ ire touching the seat belt whatsoever. Seat belts are, well, about as important as safety equipment gets. Thus, when seat belt integrity is compromised, it's a problem that needs to be dealt with posthaste. Following a fatal accident in Canada, Toyota is recalling 2.87 million vehicles worldwide, about 1 million of which are in North America. The recall covers two crossovers -- the gas-powered, 2006-2012 RAV4 and the electric, 2012-2014 RAV4 EV. Toyota's statement on Wednesday explained that, during a front crash, rear seat lap-belt webbing might get cut on part of the seat's metal frame. If that happens, the seat belt could separate, eliminating any passenger protection. Toyota will notify all the owners via snail mail. To fix the issue, dealerships will install resin covers that prevent the belt webbing from contacting the metal frame. The seat belts themselves are perfectly fine -- it's the contact that's the problem.

Honda Navi The mini-bike The highlight of the two-wheeler segment at the 2016 Auto Expo was the The Navi carries a sticker price of Rs 39,500 (ex-showroom, Delhi) which makes it one of the most affordable twowheelers in the country. Initially, Honda was working on a low cost commuter bike for the rural market but as time passed, The Navi's design borrows inspiration from Honda's Grom, a 125cc minibike that the company sells abroad. The Grom is a proper motorcycle though, with a fourspeed gearbox, while the Navi is more of a scooter under the skin, powered by the Activa's 110cc engine and the very same CVT transmission. Honda claims the Navi will clock a top speed of 81kmph. In keeping with the tiny dimensions overall, it gets a small 3.8litre fuel tank, which should offer efficiency in the region of 50-55kmpl in the real world...

Monthly AutoMark

Yamaha YZF-R15 Version 3.0 Yamaha YZF-R15 is one of the important models of the company in India. The R15 was one of the first fully-faired sports bike and was well received by the biking fraternity in the country. The new model christened as the R15 Version 2.0 was launched in 2011 with cosmetic changes, and the bike is up for a facelift after about five years. The new motorcycle is expected to be called R15 Version 3.0 and the motorcycle will hit the market before the end of this year. The new R15 will be based on the same Deltabox frame that underpins the current R15. Reworked body panels and cosmetic changes can be expected. The new motorcycle is expected to share many components with the recently launched naked version, the M-Slaz. The digital instrument cluster with blue background lights, USD front forks and LED headlamp can be expected in the new R15.

Dongfeng Renault opens its first plant in China, will produce Kadjar Carlos Ghosn, chairman and CEO of Groupe Renault, and Zhu Yanfeng, chairman of Dongfeng Group, opened the Dongfeng Renault Automotive Company (DRAC) plant in Wuhan, Hubei Province. Just two years after the joint venture was formed, the first DRAC plant in China will start producing the Renault Kadjar, Renault’s latest SUV. The facility, located in Wuhan, in Hubei Province, is a greenfield plant which achieved ISO 9001 certification for quality in November 2015. Local content with its suppliers exceeds 80 percent. The facility includes a vehicle assembly plant, a powertrain plant and an R&D Centre. It will have an initial production capacity of 150,000 vehicles per year which has the potential to be doubled to 300,000 vehicles. Speaking at the opening ceremony, Carlos Ghosn commented: “Thanks to a talented, multicultural team, the Wuhan plant was built in record time to our highest quality standards. This is a milestone in our long-term partnership with Dongfeng Group, as well as for Renault’s growth. China is a core part of Renault’s strategic plan.” The Dongfeng Renault Automotive

Company (DRAC) joint venture was formed on December 16, 2013, and work started on the plant in January 2014. One year later, the joint venture had around 1,000 employees. At end-2015, the workforce totalled 2,000 – a challenge in terms of recruitment and multicultural management. Kadjar goes on sale in March The first vehicle to be manufactured at the plant is the Renault Kadjar, which will be fitted with some different equipment compared to the Kadjar released in Europe in 2015, including a panoramic sunroof, 4Control and i n d e p en d en t r e ar su sp e n si on . The SUV segment accounts for 30 percent of the Chinese market and is the fastest-growing segment, increasing by 53 percent in 2015. The Kadjar was unveiled at the 13th Guangzhou Motor Show on November 20, 2015. It will go on sale in China in March 2016. The Renault network comprises 125 dealerships in all the Chinese provinces. In JD Power’s Initial Quality Study 2015, Renault was ranked second among mass- market brand s i n Chin a.

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New Introducing - Cover Story

Monthly AutoMark International

HYBRID RICKSHAW LAUNCHES BY GREEN WHEELS, IT’S THE ULTIMATE CHOICE FOR PAKISTAN MARKET HYBRID RICKSHAW BY GREEN WHEELS (PVT.) LTD. KARACHI PAKISTAN - Hybrid Rickshaw running cost less PKR compare to normal CNG Rickshaw. - On Petrol Engine mode Hybrid Travels up to 50 Kilometers per liter. - Once the battery fully charge then Hybrid Rickshaw can travel 40 – 50 Km (120Km Optional) and can reach speed up to 50 Km/h. - No stop in the middle of the journey, just keep going If you are like any average Pakistani employees, a major portion of your salary goes into transport costs. CNG isn’t regularly available and even when it is; there are huge queues which have become a part of the scenery it seems. Petrol prices have seen all over the place as well and as a result, we often see up to 30% of our salaries consumed by our cars and bikes. Green Wheels (GW) Hybrid Rickshaw (Petrol Engine + Electric on Batteries) is the ultimate choice for Pakistan market. After having an extensive Research & Development (R & D) of the Pakistan Rickshaw market and also understanding the problems and other technical associated with it, we came to the conclusion that HYBRID Rickshaws is the only choice. GW Hybrid can be charged through: A) Hybrid Built in Petrol Engine. B) Solar Panel on a Rickshaw Roof. C) Solar Charging Station. D) Any normal outlet (100V- 220VAC) utility supply line, just like your cellphone. You can charge the batteries up to 80% capacity in 2 hours. While a full charge would take around 7 hours. The 80% charge will last for about 40-50 Kilometers (optional to 100-120Km also

available). In spite of the above mentioned charging. Hybrid Rickshaw when runs on Petrol Engine can charge the batteries from its own Alternator Generator much more faster than the charging compare to Mains AC utility Sockets. This feature will never stop the Hybrid Rickshaw in middle of the journey, like what happens with other Electric Rickshaws, If Charging of the battery finish, then need to tow the E Ri ckshaw t o char gin g s tat io n. For major cities like Karachi and Lahore, GW Hybrid Rickshaw could be an amazing replacement. We know that we’d prefer it over regular rickshaws for less noise and pollution reduction & low running cost. Mr. Muhammad Ayaz, who is the owner of Green Wheels (Pvt.) Ltd. which imports the Hybrid Rickshaws, says his vision is to replace the normal Rickshaw (petrol + CNG) from the market. If product works out successfully in the market then Mr. Muhammad Ayaz would like to building assembly and manufacturing setup and transfer the hybrid technology in Pakistan, it would be a revolution in the automotive industry in Pakistan. Last, but not the least, GW Hybrid has the solutions also offering to convert the

normal existing Rickshaw (Petrol + CNG) into Hybrid by installation of the Hybrid special kit from GW Hybrid. Same like other 3 wheelers like Vespa petrol design Hybrid kit and also hybrid kit for Qinqi tri-cycle available from GW Hybrid.

Salient features of the GW Hybrid Rickshaw: 1. Latest Technology Hybrid Petrol Engine 213CC 2.With built-in Battery Engine 2200watts 3. In one Liter Petrol it will run for3035 Km 4. When full battery charge it will run for 40-50Km (optional 120Km) 5. Fast Boost charging 50A current when running on Petrol Engine 6. Less PKR expenses compare to normal CNG Rickshaw 7.Seating 6-8 people sitting arrangement 8. USB sound player with memory cards option built-in 9. Latest suspension system for smooth travelling pleasure 10. Latest silencer with less noise 11. Robust Shock absorber with reliable coil for comfort travelling 12. Latest hydraulic brakes for safety

GREEN WHEELS

Hybrid

GREEN WHEELS

#3, Plot 7-C, Bukhari Commercial, Phase VI, DHA, Karachi-75500, Pakistan Tel: (92-21) 35241255, 35432444 Cell: 92-300-8242498 : Email: sales@greenwheelsltd.com sales.greenwheelsltd@gmail.com www .autom ark.pk | M arch-20Website: 15 | Page 0www.greenwheelsltd.com 0 March-2016 | Page 42

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International Automotive Industry - Update

Toyota invests £7m for new hybrid engine in Turkey

A new hybrid engine is to be built at Toyota's Deeside factory, securing hundreds of jobs. More than £7m will be invested in production facilities at the engine plant with a £700,000 grant from the Welsh government. The 1.8 litre engines will be exported to Turkey to be built into a model based on Toy ot a's C- HR con cept car. There are currently abou t 540 employees at the Deeside factory, making 950 engines a day in 13 variants. The new hybrid engine will be built alongside current petrol and hybrid petrol engines for the Auris model, which go to the company's factory at Burnaston, Derbyshire where the vehicle is produced. Engine plant director Jim Crosbie said: "This announcement is a big vote of confidence in the high skills, quality and commitment of our workforce." In 2015, Toyota became the world's topselling carmaker for the fourth straight year, selling 10.15 million cars overall with 209,000 hybrid vehicles in Europe, up 17% on 2014. Engines and components made at Deeside are exported across Europe, South America, South Africa and Japan. Edwina Hart, Minister for Economy, Science and Transport, said: "I am d elighted t his very signi fi cant investment has been secured for Toyota's facility on Deeside. "It will not only provide a platform for growth in what is an extremely competitive market but will help secure the long term sustainable future of the plant and safeguard skilled, well-paid jobs in the region."

Monthly AutoMark

Japanese brands outperform the Chinese market in January, with Toyota leading the rise Toyota, Honda, Nissan and Mazda all welcome a rising sales number in January, 2016. Toyota and Honda’s sales numbers are rising 32% and 20.7% respectively. Statistics from CPCA shows that, the wholesale sales number of domestic narrow passenger cars reaches 2.18m units, increasing 11.6% with the previous period. Japanese brands outperform other brands in the passenger car market. It can be concluded that the halving purchasing tax policy for small passenger vehicles is a great impulse for the rising Japanese brands’ sales number. Toyota leads the rise, and four c omp an ie s enj o y t he in cr ease Reporters learn that Toyota performs best, with the monthly sales increasing 32% to 125,000 units in January,2016. GAC Toyota has a sales number of 55,400 units, increasing 44.1%. H ond a al so has a r emar kable performance. In January, 2016, Honda’s terminal sales number reaches 107,400 units in the Chinese market, increasing 20.7% and recording a historical singlemonth record. Dongfeng Honda sells 47,600 units, increasing 57.6%. Besides, Nissan sells 127,000 units in January, increasing 9.4%. Mazda sells

26,000 units, increasing 5.7%. Japanese brands all welcome an overall recovery in 2015. Toyota, Honda, Nissan and Mazda’s sales rise reach 32.5%, 8.7%, 6.3% and 11.5% respectively in 2015. Analysts believe Japanese brands’ excellent performance in SUV market, together with the levelling performance in car market and increasing new vehicle launching in China, combine the main factors for the steady increase. Compact vehicles are the main growth forces in Chinese market In January 2016, the best-selling Japanese brand model continues to be Bluebird Sylphy, which sells the best among all Japanese brands in 2015. Its 2015 sales number reaches 334,100 units in China, among which the 1.6L model sells 327,400 units with a proportion of 97%. Toyota Corolla’s sales number increases 7% in January to 22,000 units. Gasoline version Levin’s sales number increases 55% to 18,800 units. Corolla and Levin achieve a sales number of 254,300 and 125,700 units respectively in 2015. The sales numbers of vehicles with displacement less than 1.6L for the two models achieve 245,800 and 110,600 units respectively.

Chinese motorcycles CFMoto to be sold in India through Eider Motors Eider Motors, a relatively new and unknown two wheeler maker based out of Hyderabad, has been partnering with various companies from China, Japan, US and so on to get its business up and running. The lat est at tempt at establishing its brand in the Indian two wheeler market sees introduction of Chinese motorcycles from CFMoto. Photographs from Motorbeam.com reveals that the CFMoto models are already on display at Eider Motors showrooms. The Indian company is reported to start selling four CFMoto models namely 650NK, 650TK, JetMax 250 and 150NK. The CFMoto 650NK is a naked street fighter that employs a 650 cc liquidcooled twin-cylinder engine which is good for 55.7 bhp and 62 Nm of torque. The motorcycle is equipped with KYB

front t elescop ic fork and rear monoshock. The 650TK is faired sports tourer based on the same platform. The engine output too is id entical. The Jetmax 250 is a premium motoscooter which targets touring enthusiasts. The automatic scooter packs a 250 cc fuel-injected, water-cooled engine which pumps out a decent 22.45 bhp and 21 Nm of torque. A standard back rest and MP3 player enhances the scooter’s touring credentials. The most affordable model is the 150NK street fighter which is listed on Eider’s official website under the name Dave. The bike’s 150 cc liquid-cooled engine generates 14.3 bhp and 12.2 Nm of torque. It remains to be seen if these bikes will be imported as CBU or CKD. Details on pricing are not available as of now.

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International Automotive Industry - Update

Monthly AutoMark International

Honda Motor to make Hybrid cars in China this year The Japanese automaker renews its hybrid potential, as China bets on green cars to control worsening air pollution Honda Motor Co. Ltd plans to start manufacturing hybrid cars in China this year. These green cars will be gasolineelectric hybrids, the right fit in the face of stringent Chinese regulations for carmakers, as the country struggles with worsening air pollution. According to a Reuters report, a Honda spokesperson said that the company will make hybrid models of its Acura compact sport utility vehicle (SUV) and Accord sedan. Currently, the automaker markets four models of hybrid cars in China, but these vehicles have not yet seen impressive sales. All four green cars are shipped from Japan, and sold at hefty prices after import duties are added to their price tags. Hond a would now pref er producing green cars in China, so that it can avoid transportation costs and import taxes. Honda Fit hybrid costs nearly 180,000 yuan (USD27,378) in the country, which is more than double the price of its gasoline version in China, according to Just Auto. In order to start local production, all foreign car-makers have to tie knots with local Chinese manufacturers. Honda has two Chinese joint ventures: Guangzhou Automobile Group Co Ltd. and Dongfeng Motor Group Co Ltd. The company already makes and promotes Accord hybrid through Guangzhou. On the other hand, gasoline-fueled Spirior is produced and marketed via Dongfeng. According to Japanese business newspaper Nikkei, the average fuel economy of new cars is expected to be 20 km per liter of petrol. Honda is expected to produce about 20,00030,000 hybrid versions of Honda Acura SUV and Accord sedan this year. By 2020, the company intends to introduce

plug-in versions as well. Honda Motor is doubling down on clean-fuel technology, as the Chinese government tightens its grip over auto emissions. According to industry experts, auto emission regulations are expected to become more stringent through 2020, the same year by which the country plans to put five million electric vehicles on its roads. Last December, Honda chief technology strategy officer Keiji Ohtsu told Wards Auto that the company will stop producing internal combustion engine cars in China by 2025, in a bid to shift toward green cars permanently. The executive further said that the cars will mostly be hybrids, including plug-in variants. Despite its efforts in China, Honda prefers to shift 20% of its global auto deliveries to hybrids by the end of this decade. The company is not only betting

on electric cars as a remedy to lower emissions; it also plans to promote hydrogen-powered fuel cell vehicles (FCVs) to the mass market. The company intends on making its FCVs mainstream by 2030. For the past few years, China has been struggling to cut auto emissions by promoting green cars. Last year, it banned nearly half of the vehicles in Beijing, in attempts to cut back on carbon emissions. The city also follows odd and even number plate car rules, so that all the vehicles are restricted from coming out on roads all at once. So far this year, Honda Motor stock has dropped over 21%, against the S&P 500 Index’s 9% loss during the same period. The company’s American depositary receipts closed at $25.14 on last month, up 1.17%.

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Monthly AutoMark International

Exclusive Review by Engr. IHT Farooqui

Karakoram Motors will introduce some new models for Pakistan Market in year 2016-17 In December 2015, Karakoram Motors signed a contract assembly agreement with M/s Dysin Automobiles Limited for the assembly of their 220 and 290 hp Prime Movers SINO TRUCKS of China. All assembling arrangements are now completed and commercial production of these trucks will start in the first week of May 2016. Karakoram Motors (Pvt.) Ltd came into existence in year 2003 and has emerged over the years as one of the leading automobile assemblers and importers of Chinese automobiles in Pakistan. The Company owns one of the oldest automobile assembly plant of Pakistan formerly known as “NAYA DAUR MOTORS” (originally Kandawala Industries,) in early 60’s Kandawala Industries introduced locally assembled Jeep CJ 5, 6 & 7 in Pakistan. Later it was nationalized and the new investor M/s Tawakal entered into a TCA with M/s Kia Motors of South Korea for the local assembly of Kia Pride Cars in Pakistan. The Company was again nationalized by the Government of Pakistan due to non fulfillment of the commitments of the M/s Tawakal Brothers. The Company was again offered to new investors through an open bid. Karakoram Motor offered highest bid and ultimately acquired the ownership rights of the Naya Daur Motors in year 2003. After taken over of the Naya Daur Motors facilities the new company invested a huge amount in the BMR of the production facilities by installing a CED Paint Shop, Vehicle Tester

Line, Spot Welding and Final Assembly Lines. The Company than entered into a TCA with M/s Changan Automobile of China for the local assembly and manufacturing of KALASH mini Pickup in CKD condition, and had marketed large number of Kalam 7 seater Passenger Vans, Kaghan 11 and 13 seater Vans, Gilgit Double Cabin Pickup, GONOW SUV, Chery QQ Passenger Cars and Shahensha Trucks in CBU condition. In year 2008, the Company acquired the complete rights of Dynasty Electric Cars from M/s IT of Canada and had est abl ished complet e i n house assembling and manufacturing facilities. Few units of Electric cars were assembled and exported to UK also. Local assembly of this car is still not commenced due to the imposition of higher rate of custom duty by the competent authorities. The Company is however re- working on t his project and hope to launch it by December 2016. Karakoram Motors is also introducing a 1000 cc Euro-II model mini Pickup Kalash . This new Pickup is equipped with Steering Rack and Pinion with 5

gear transmission system .The trial production of this mod el is successfully completed and we are planning to market this vehicle in the first week of March 2016. To fill the vacuum of One tonner diesel truck segment in the market, the Company is in the advance stage of introducing state of the art Korean Technology Product with independent suspension and front disc brake system. This truck have more power full and additional features as compare to its existing competitors and will surely be a good replacement of the Hyundai Shehzore. The production of this model is expected to commence from the first week of October 2016. In December 2015, Karakoram Motors signed a contract assembly agreement with M/s Dysin Automobiles Limited for the assembly of their 220 and 290 hp Prime Movers SINO TRUCKS of China. All assembling arrangements are now completed and commercial production of these trucks will start in the first week of May 2016. In year 2017-18, Karakoram Motors is also planning to introduce a wide range of Automobiles which includes Single and Double Cab trucks, SUV, Passenger and Sports Cars. The introduction of these new models by Karakoram Motors will be a turning point in the automobile industry of Pakistan.

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Car / Light Vehicle Price List

SUZUKI Model Model WAGON-R VX 1000cc Euro II WAGON-R VXR 1000cc Euro II WAGON-R VXL 1000cc Euro II MEHRAN VX 800cc Euro II MEHRAN VX 800cc CNG MEHRAN VXR 800cc SUZUKI SWIFT 1.3L DX SUZUKI SWIFT 1.3L DLX SUZUKI SWIFT 1.3L Automatic CULTUS EFI VXR Euro II CULTUS EFI VXR CNG LIANA 1.3L RXI MT PETROL LIANA 1.3L RXI MT (CNG) BOLAN VAN VX 800cc E2 BOLAN VAN VX 800ccm (M)E2 SUZUKI VAN CARGO Euro II RAVI PICK-UP STD 800cc E2 APV 1.5L GLX MT (Petrol)

Ex Factory Price

Advance Tax

Rs. 854,000 Rs. 896,000 Rs. 1009,000 Rs. 630,000 Rs. 700,000 Rs. 683,000

Rs. Rs. Rs. Rs. Rs. Rs.

25,000 25,000 25,000 10,000 10,000 10,000

Rs. 1,297,000 Rs. 1,433,000 Rs. 1,044,000 Rs. 1,119,000 Rs. 1,365,000 Rs. 1,444,000 Rs. 700,000

Rs. Rs. Rs. Rs.

50,000 50,000 25,000 25,000

Rs. Rs. Rs. Rs.

10,000 10,000 10,000 10,000

Rs. 671,000 Rs. 642,000 Rs. 2,418,000

HONDA Model Honda Aspire Manual 1.3L Honda Aspire Prosmatec 1.3L Honda City Manual 1300cc Honda City Prosmatec 1300cc HYUNDAI Honda Civic VTI Manual 1800cc Honda Civic VTI Manual SR (Oriel) Honda Civic VTI Prosmatec 1800cc Honda Civic VTI Prosmatec SR (Oriel)

Price Rs. 1,687,000 Rs. 1,809,000 Rs. 1,537,000 Rs. 1,678,000 Rs. 2,053,000 Rs. 2,285,000 Rs. 2,174,000 Rs. 2,406,000

TOYOTA COROLLA Model XLI VVT-i 1.3 M/T 1299cc Petrol GLI VVT-i 1.3 M/T 1299cc Petrol GLI VVT-i 1.3 A/T 1299cc Petrol GLI VVT-i 1299cc LE ALTIS 1.6L Dual VVT-i M/T ALTIS 1.8L Dual VVT-i MT GRANDE 1.8L S.R. M/T GRANDE 1.8L S.R. A/T CVT-i FORTUNER 2.7L A/T Petrol

Rs. Rs. Rs. Rs. Rs. Rs. Rs. Rs. Rs.

Price 1,627,500 1,752,500 1,827,500 1,712,500 1,952,500 2,027,500 2,152,500 2,302,500 5,748,500

Hilux Pickup 4x2 sc Model

Price

Brand New Toyota Hilux Pickup, 4x2, 2500cc Single Cabin, White only, Hilux STD

Rs. 1,859,000

Hilux Pickup 4x4 E Model

Price

Toyota HILUX 2494cc, Diesel Turbo Charger Common Rail Engine, 4x4 Double Cabin - Standard Model

TOYOTA VIGO DAIHATSU Model Model

Price Price

Rs. 3,129,500

AL-HAJ FAW MOTORS Price

Model

Vigo Champ-V MT Rs. 3,453,500 FAW Carrier 1000cc (WHITE ,BLACK,STRONG BLUE & SILVER) FAW X-PV 1000cc Std FAW X-PV 1000cc A/c Vigo Champ-G AT Rs. 3,653,500 Sirius S80 1300cc (WHITE ,BLACK,STRONG BLUE & SILVER) Sirius Grand 1500cc

Monthly AutoMark Magazine - International

Rs. Rs. Rs. Rs. Rs.

724,000 824,000 875,000 1705,000 1885,000

Price updated Feb- 2016

Corporate Event - Update

Monthly AutoMark International

Karandaaz Pakistan, Meezan Bank Join Hands with Atlas Honda to Deepen Access to Finance for Small and Mid-Size Vendors and Distributors Atlas Honda Limited today signed a corporate partnership agreement with Karandaaz Pakistan and Meezan Bank Limited to support the development of small and mid-size automotive part vendors in Pakistan. This is the first corporate partnership Karandaaz Pakistan and Meezan Bank have entered as part of the PKR 9 billion Corporate Vendor and Distributor Finance Program launched recently. The partnership will strengthen Atlas Honda’s supply chain and distribution channels by providing access to finance (capital investment and expansion working capital financing) for Atlas Honda’s small and mid-size vendors and distributors with growth potential. By i d en t ify i n g lo cal ve nd o rs a nd distributors with profitable growth potential and good operating and credit history, Atlas Honda will help identify and direct credit to strategic vendors and d i str ib uto rs an d p ro mot e localization of automotive parts and broad based employment growth in Pakistan. The signing took place at Atlas Honda’s head office in Karachi in the presence of senior management from all three partner organisations, including Mr. Saquib H. Shirazi, CEO Atlas Honda Limited, Mr. Ariful Islam, Deputy CEO & Executive Director of Meezan Bank and Mr. Asad Azfar, Chief Investment Officer at Karandaaz Pakistan. Mr. Saquib H. Shirazi, CEO Atlas Honda Limited stated, “In the early years, in du stry i n Pakist an owed it s development to the support it received from the public sector DFIs. The role of institutions like IDBP, NDFC, BEL and PIDC can not be overstated. Later, Private sector institutions, supported by the World Bank and ADB, tried to bridge the financing gap for SME financing. Unfortunately, the results were mixed and a financing vacuum still exists. The initiative taken by Karandaaz and Meezan Bank is, therefore, timely and well targeted. As Atlas Honda’s vendor and service providers look to expand, the support from the two institutions can be an effective catalyst for their growth.” he added.

FAW dealers convention at PC Lahore

Cheque being presented to NUST SMME on behalf of Pakistan Automotive Sector

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MADE IN PAKISTAN MOTORCYCLES RETAIL PRICE LIST

70cc Motorcycle Sr./ No. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12.

Product & Model Name Crown CR-70 Hero RF-70 Model 2015 Hero Plus 90, 90cc Honda CD-70 Honda CD Dream Hi-Speed SR-70 Metro Premier+ 70cc Ravi Premium R1 Road Prince bullet Road Prince 70cc United US 70 United Extreme 70

Retail Price Rs. 42,000/= Rs. 46,000/= Rs. 48,000/= Rs. 63,500/= Rs. 67,500/= Rs. 43,000/= Rs. 45,600/= Rs. 46,950/= Rs. 45,000/= Rs. 39,000/= Rs. 42,000/= Rs. 44,500/=

125/150 cc Motorcycle No. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12.

Brand & Model Name Crown CR-125 Super Star SS-125 Super Star SS-125 DLX Honda CG-125 std Euro II Honda CG-125 DX Hero Prince 125 Metro MR-125 Regular Ravi Piaggio Storm 125 United US-125 Euro 2 Yamaha YBR-125cc

Retail Price Rs. 65,000/= Rs. 59,000/= Rs. 67,000/= Rs. 102,900/= Rs. 124,000/= Rs. 96,000/= Rs. 68,800/= Rs. 112,000/= Rs. 70,000/= Rs. 129,400/= Road Prince Twister 125cc Rs. 108,000/= Road Prince WEGO 150cc Rs. 180,000/=

Suzuki Motorcycle (Heavy Bikes) Sr./ No. 1. 2. 3. 4.

Product & Model Name Inazuma GW 250 Intruder M800 Hayasuba GSX1300R Bandit GSF650SA

Sr./ No. 9. 10. 11. 12. 13. 14. 15.

Product & Model Name Ravi Hamsafar-70 Sitara GT-70 Super Star SS-70 Super Power SP-70 Super Power Delux Unique UD-70 Bionic AS-70

Retail Price Rs. 45,450/= Rs. 40,000/= Rs. 44,000/= Rs. 44,700/= Rs. 48,200/= Rs. 43,500/= Rs. 44,500/=

100cc Motorcycle No. 1. 2. 3. 4. 5. 6. 7. 8.

Brand &Model Name Crown CR-100 Hero Splander Model 2015 Honda Pridor Super Star SS-100 Super Power SP-100 Road Price Jackpot 110cc United US-100 Euro 2

Retail Price Rs. 52,000/= Rs. 56,000/= Rs. 86,000/= Rs. 57,000/= Rs. 60,000/= Rs. 44,000/= Rs. 50,000/=

Suzuki Motorcycle Sr./ No. 1. 2. 3. 4. 5. 6.

Retail Price

Product & Model Name SD110 Sprinter ECO SD110 Sprinter ECO Del

SD110 Raider GS-150 Euro-II GD 110 Euro-II GD 110s Euro-II

Rs. 101,400/= Rs. 88,400/= Rs. 101,400/= Rs. 128,500/= Rs. 114,000/= Rs. 126,000/=

Retail Price Rs. 725,000/= Rs. 1,700,000/= Rs. 2,600,000/= Rs. 1,550,000/= Price update: Dec-2015

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Changing Trends - Porsche Pakistan

Monthly AutoMark International

Man with a mission to revolutionise automobile industry Porsche Pakistan CEO Abuzar Bokhari says his company manufactures cars for those who enjoy driving instead of offering privileged services that often require professional chauffeurs Porsche Pakistan CEO Abuzar Bokhari has ventured to say that constant innovation, uncompromising quality of services and a goal to revolutionise the local automobile industry has been the secret behind the success of his company. The company is the authorised importer of Porsche AG, the most profitable automotive manufacturer in the world; with more than 200,000 units delivered in 2015. Talking exclusively with Daily Times, Abuzar Bokhari felt pride in saying that the idea behind launching the service came in early 2000’s under former president Pervez Musharraf’s regime when a reduction in customs duty was announced. He said initially it was difficult to penetrate into a market where people played it safe by opting only for local brands. However, the aim behind the launch was to change this perception and bring the European players into the local industry, he opined. According to the CEO, among other models, Porsche Cayenne has been able to make a niche in the Pakistani market and since 2003; it has been among the best selling models of the brand in the country. “The reason behind this success doesn’t come as a surprise as driving an SUV is best suited to the commuters on roads that lack infrastructure. Apart from the poor infrastructure of roads, the mind-set of the customers in

Pakistan, much like that of our customers in the Middle East, is such that driving an SUV gives them a feeling of empowerment besides luxury,” he observed. Explaining his point of view on a query, Bokhari told this scribe that instead of holding mega events, his company focuses on the maintenance of exclusivity of the brand. “We prefer organising below the radar brand events for a few selected people who show interest in the product. We select a remote location and invite 15 to 20 people and allow them to test the vehicles in extreme driving conditions,” the CEO said. ‘Having a Porsche one must feel proud of’ is our motto, he added. He said Porsche only manufactures sports cars, which means that it manufactures cars only for those who enjoy driving themselves. An average Porsche driver would enjoy the feel of driving whereas most other luxurious brands offer privileged services that often require professional skills or

chauffeurs, he added. Shedding light on the company’s future plans, he said apart from the establishment of a new showroom in the Gulberg area of Lahore, Porsche Pakistan would also launch its services in Karachi and Islamabad soon. Earlier this month, Porsche Pakistan signed a strategic alliance agreement with Dubai Islamic Bank Pakistan Limited (DIBPL), enabling a landmark luxury automobile experience platform for their esteemed and respected customers nationwide. During the signing ceremony, Bokhari sounded confident when he quipped, “We see a huge potential for luxury cars in Pakistan and I am delighted to have DIBPL as our first and exclusive strategic alliance Islamic bank. Together we are offering best value proposition to DIBPL and our customers, which will help them in their automobile purchase, financing and priority banking needs.” Himself a qualified engineer, Abuzar Bokhari appreciates the scope of entrepreneurship in the local market, and believes that it is important for the youth to keep on experimenting and innovating, as Pakistan offers an abundance of opportunities to the young and aspiring entrepreneurs. He is a visionary and believes in transforming dreams into realities. Curtsy: Daily Times

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Monthly AutoMark International

Automotive Sector - Update

Istanbul mayor and CM Punjab launch cab service in Lahore Chief Minister Shahbaz Sharif and Mayor Istanbul Dr. Kadir Topbas have inaugurated a modern radio cab service on last month. Initially, 100 vehicles will be plied in Lahore and its number will be increased phase-wise. After inauguration of taxi service, Shahbaz Sharif and Kadir Topbas sat in the radio cab vehicle and drove it. Addressing the inaugural ceremony, Shahbaz Sharif said friendship of Pakistan and Turkey spread over centuries and the world knew that the hearts of people of both countries beat together. He said Pak-Turk friendship had achieved a new dimension during the tenure of Prime Minister Muhammad Nawaz Sharif and Turkish leader Recep Tayyip Erdogan. He said this friendship had been converted into useful economic relations and trade and investment between both countries were increasing. The chief minister said Albayrak Group had started investment in Punjab during our previous tenure and now investment of this group had reached billions of rupees. He said governments of Turkey and Punjab worked in collaboration with each other for the promotion of i nvestment and forwarded this collaboration. He said role of his brother Kadir Topbas had been prominent in increasing collaboration between Turkey and Punjab governments who had supported us on every occasion. Shahbaz Sharif thanked Albayrak Group and Kadir Topbas for launching a modern taxi service and said start of modern radio cab service was a gift for Lahorites. He said service being started with 100 vehicles would reach thousands in coming few years through which quality travelling facilities would be available to citizens. Shahbaz Sharif said Mayor Istanbul

Kadir Topbas was his brother and friend and Pakistani people, particularly people of Punjab, were very happy over the visit of Kadir Topbas. Addressing the inaugural ceremony, Mayor Istanbul said he had brought a message of love and sincerity of Turkish brethren for brothers of Punjab.

He said promotion of cooperation with Punjab government would also continue in future. Turkish Ambassador Babur S Gurgin, MNA Mehr Ishtiaq Ahmed, Kh. Ahmed Hassaan, Albayrak Group Noori Albayrak and a large number of citizens were present....

www.automark.pk | March-2016 | Page 51

Exclusive report by Kamal Haider for Monthly AutoMark Magazine

Record by Pakistanis Member of PBC & his team (Part-2)

The day was now near to end. All were in a deep thought. We had burnt the ship and there was now no way to return for us. Unwillingly, after a concealed discussion, we took an unofficial step according to the situation. We came back to Juraid , 5 km short of Mahandri. We parked our car there and got a local Hiace for Kaghan after informing about factual situation. Thanks God, they agreed. The expedition luggage was dumped into the van and then all team members come down to Kunhar River just two kilometers away from checkpost. We started to walk along the gushing river, which was flowing in a relax mood due to less flow in winter. This strategy eventually paid-off. After two kilometers walk, we crossed the Check-Post and climbed up the road again. Since the check-post was upside the road so we escaped from their tiger’s eyes. We were not happy to do it. The driver was already there at our appointed place. At last after 30 minutes’ drive, we were successful to reach Kaghan. The night came swiftly over the valley.

It was now 6pm past. The whole day was spent on the clearance of all hurdles. Usually, it is a loss of full-day for any expedition. It overall affects to expedition schedule because expedition plan is already designed with a limited time of frame from day to day demanding social life. The porters were already waiting for us in a lonely hotel while the bazar was mostly closed due to off-season. Imran had introduced us to porters and their head Fazal-urRehman, a strong man of over 40 years of age. They were 4. They had to lift our expedition assortments as without whom no expedition could achieve its objectives. But their clothing was not up to the expedition description. However, I advised to leave the bazar immediately to avoid any unexpected barrier like mobile force. Our porters had already hired two jeeps for Makh-Layian. The direction of jeep was now uphill to a local road which veers off to the true right side from the main Kaghan-Narran Road. After two kilometers, our jeep took a sharp turn to the right side across the bridge, the

paved road converted into an un-paved narrow path which was fit for 4x4 wheel. The drive on an uneven path felt more oppressive into the darkness than usual in the day. Team members were sitting among luggage, gripping the bars with full force whereas our bones were now literally shake to the bumpy ride while every adventurer knows that much of the enjoyment of expedition is hidden in such type of journey itself. After half a mile, our jeep climbed to a very steep zigzag trail while the road was so narrow that our jeep could barely fit on it. I was sitting on the front so visibility was a little clear in the nightfall. The outside views were terrible as there were mountains on one side while many hundred feet deep was MahandriNaala. I closely observed the poor structure of aged jeep and understood that we were in between life and death and literally believe me, a little patch in the way was so dangerous to cross by the jeep where there was a test of nerves too. By Kamal Haider, Tourism Expert at Pakistan Bikers Club Continued in next issue (April-2016)

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Report by Muhammad Zahid Iqbal Malik

Monthly AutoMark International

Become a Responsible Biker! Sponsored by United Motorcycles This is the effort that is liked by both genders i.e., male and female. Because it not only helps riders but also guides new comers who want to learn riding well. On 16th of Feb 2016, we had first session of the course at COMSATS Lahore. The around 125 newly inducted BBA and BFA students attended the session. A unique thing at start was United Motorcycleâ&#x20AC;&#x2122;s introduction, because for the first time we arranged a five minutes documentary of the said company. It was really a chance for business students to know much more about an industry and about all processes involved in production of motorcycles. The session

included all relevant material about biking life of a new rider, who has decided to ride a motorcycle for the first time. It introduced motorcycles with girls in a way that they felt interested by participating in Q&A session. Moreover, important topics like knowing your bike, maintaining a bike, handling a bike etc were covered well so that everyone can do same in life. Test Ride of United Deluxe 125 that is yet to be launched was a new thing of the project and was a great chance for youngsters to ride a bike that is not available in the market yet. COMSATS presented Souvenirs to United Motorcycles and PBC Riding

Academy that were received by Mr. Salam Ullah and Mr. Zahid Malik respectively. We are thankful to Director COMSATS, HOD of Management Sciences and Mr. Shumail for their warm welcome and encouraging behavior. We are also thankful to Mr. Sana Ullah Chaudhary, Mr. Zia Ullah Chaudhary and Mr. Salam Ullah & his team for their cooperation and efforts made for the safety of youth. Because it is really difficult to involve sponsors into such projects that are more for riders welfare. Report by Muhammad Zahid Iqbal Malik, Senior Lecturer & Trainer PBC Riding Academy

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Monthly AutoMark International

Report by Engr. IHT Farooqui

2nd Re-Union of 1981 passing out Engineering Graduates of Mehran University of Engineering and Technology Jamshoro OMEGA (Old Mehran University Engineering Graduates Association) is an association of graduates of 1981 passed out batch of Mehran University of Engineering and Technology Jamshoro Sindh. On 6th February 2016 , 2nd re-union of the members was held at Union Cooperative Club Karachi. A large number of members with their spouses attended the event. Addressing to the audiences the Chief Organizer Mr. IHT Farooqui welcome the members on the 2nd Re union which

was held after a lapse of 30 years . It was decided in the meeting that this re union will now be held regularly on yearly basis . Different proposals were given by the members which includes welfare plans for those members who are facing financial problems due to some accidents or job less or are searching for the suitable life partners for their sons and daughters. Mr. Majid Malik (Sr.GM-SSGL), Mr. Akhtar H Kazmi (Add. Sec. Energy Deptt. GOS), Zameer A R Memon (SEIrrigation GOS),Sarfraz Khan (GM-

Matiari Flour Mills), Nehal Faroqi (GMPlant AGS Battery),Sohail Maftun, Shahid Mehmood, Shahid Khan, Masood Akhtar (Sr. Manager- Abbott) and others ad dress the event . At the closing of the event the Organizers present a video named Yadeen, in which many old and memorable photographs collected from different sources were present to the audience, the family and members enjoyed a lot by seeing their old photographs.

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