profitepaper pakistantoday 16th october, 2012

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Tuesday, 16 October, 2012

AGRICULTURAL REMEDIES

Hafeez calls for prudence Prudent policies help produce surplus agriculture yield: Dr Hafeez Shaikh ISLAMABAD

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EDERAL Minister for Finance Dr. Abdul Hafeez Shaikh said that owing to prudent policies of the government, the performance of the agriculture has enhanced as surplus crop yield has been recorded this year. “This year we have surplus wheat, sugar and cot-

ton crop because of democratic government’s good policies”, the Finance Minister said while meeting with Haruhiko Kuroda, President Asian Development Bank (ADB) in Tokoyo. According to press statement issued by the Finance Ministry here, Shaikh said that despite a series of natural calamities, Pakistan has been able to raise its agriculture produce because of good agricultural policies. This has also contributed in well-being of the people in rural areas, the Finance Minister remarked.

Asian markets slip, China growth data in focus

HONG KONG, AFP

Asian markets fell Monday following a soft lead from Wall Street, while better-than-expected Chinese trade data was unable to lift spirits as dealers await growth figures from Beijing later in the week. With the corporate earnings season under way there is also nervousness in global bourses, with many investors concerned opting to stay away for now. Tokyo was flat by the break, Hong Kong eased 0.14 percent, Shanghai was 0.54 percent lower, Seoul lost 0.34 percent and Sydney was off 0.15 percent. China said on Saturday that exports rose 9.9 percent year on year in September to a record monthly high, a welcome bounce from the recent sharp slowdown in the country’s key economic driver. The national customs bureau also said the trade surplus, a source of friction with China’s trading partners, widened to $27.7 billion for the month, up from $26.7 billion in August. The increase beat predictions of a 5.0 percent rise in exports, but there are still concerns over the future because of weakness in China’s main markets in the United States and Europe. On Monday another batch of figures showed inflation at 1.9 percent last month, slightly softer than 2.0 percent in August but in line with expectations. But the main focus is on Thursday’s release of gross domestic product data for the three months to the end of September, which will provide a better idea of the state of the world’s number two economy and main regional growth driver. “These days there seems to be a lot of attention (paid) to one bad number and not a lot of attention (paid) to one good number,” said Joe

Bracken, head of macro strategies at BT Investment Management in Sydney. But he told Dow Jones Newswires traders “are very reluctant to commit to anything unless they see a series of good numbers”. Wall Street ended last week on a damp note as traders fret about the corporate outlook. The Dow ended flat, the broad-based S&P 500 lost 0.30 percent and the Nasdaq added 0.17 percent. On currency markets the eurozone debt crisis continued to weigh on the single currency. The euro bought $1.2905 and 101.25 yen in early trade, compared with $1.2958 and 101.60 yen in New York late Friday. The dollar was at 78.46 yen against 78.39 yen in US trade. In Hong Kong telecoms equipment maker ZTE Corp. slumped 16.6 percent after warning of a net loss in the third quarter that would wipe out its profit for the first half of the year. The warning also comes after a US congressional probe said the firm and another Chinese firm, Huawei, pose a security threat to the country and should be barred from US contracts and acquisitions. And in Tokyo, mobile carrier Softbank slumped almost six percent on reports it could imminently announce a deal to buy US competitor Sprint Nextel for $20 billion, which would be one of Japan’s biggest ever overseas acquisitions. Softbank had already slumped 17 percent on the initial news of the buyout plan. Oil prices fell, with New York’s main contract, light sweet crude for delivery in November shedding 72 cents to $91.14 a barrel and Brent North Sea crude for November delivery falling 72 cents to $113.90. Gold was at $1,743.60 at 0300 GMT compared with $1,767.80 late on Friday.

Highlighting the economic situation in Pakistan, the minister said that measures are being taken to bring macroeconomic stability in the country. He said that the government tried to remain fiscally austere which can help it bring stability in economy. He said that despite various constraints, the government is trying to mobilize the resources adding in the last two years the government has doubled the tax collection. This year the growth rate is expected to be around 4% and the government has been successful in bringing the inflation to a single digit, the Minister added. On the occasion, the ADB President appreciated the Pakistan government’s efforts for maintaining macroeconomic stability in the country saying “the general economic situation in Pakistan is good. The President of the ADB reassured the construction of Bhasha Dam Project, saying that ADB will take a first step by moving the technical assistance proposal to the International Monetary Fund (IMF) Board. The project will help reduce the energy mix prices of the electricity, he maintained. Dr. Abdul Hafeez Shaikh also held meeting with his Saudi counterpart at the sidelines of 2012 annual meeting of World Bank and IMF at Tokyo. Both the ministers reviewed the bilateral economic relations during which Dr. Shaikh thanked the Saudi government for the grant of US $ 100 mil-

lion. The Saudi Finance Minister assured the finance minister of full support and reiterated the commitment of his government that its financial aid would continue for the ongoing projects in Pakistan.

What’s the deal with textile? Senate body seeks report on issues of textile industry ISLAMABAD APP

The Sub-committee of Senate Standing Committee on Textile Industry here on Monday directed the Ministry of Textile Industry (MinTex) for submitting a detailed report on the issues and challenges being faced by the local textile industry. The committee met here with Senator Mohsin Khan Leghari in chair also convened the ministry of industries and the provincial departments concerned with textile industry to submit report in this regard in next meeting. Speaking in the meeting Senator Osman Saifullah Khan said “We should be educated on the issues of textile industry, in such way the legislation should be done to resolve the issues of sector. Briefing the meeting, Joint Secretary MinTex said that the textile sector was playing pivotal role in the economic development and absorbing the skilled and un-skilled labour force in the country. He said that the textile export comprising 57 per cent of the total exports from the country where as it was providing employment opportunities for 39 per cent labour force in the country. Out of the total financing made by the local banks for manufacturing sector, the share of the textile sector was 41 per cent, adding that the exports of cotton has witnessed a rise of 37.27 per cent during JulyMay 2011-12 over the same period of the last year. He said that Pakistan was the 15th largest cotton producer in the world while it was contributing only 2 percent in global cotton export which was at the lower level due to inadequate funding for textile sector. A total of Rs.24.75 billion were allocated against the approved financing plan of Rs. 123 billion for 2009-12 which is around 20 per cent only, the committee was told. The committee was told that there was not research and development activities in the textile sector which was a major impediments it the progress of the textile sector. The officials of the MinTex suggested for introducing the crop insurance policy to boost the agri-sector as well as increasing the crop out put in the country. The meeting was attended by Senator Osman Saifullah Khan and Senator Amar Jeet.

Malaysian Chamber sees investment potential in textile sector ISLAMABAD ONLINE

Malay Chamber of Commerce Malaysia (DPMM) has urged Malaysian entrepreneurs and businessmen to explore what it sees as “vast investment opportunities” in the surgical instruments, textile and leather sectors in Pakistan. “The chamber foresees a huge investment potential in Pakistan for Malaysian entrepreneurs to be explored in some sectors such as textiles, surgical instruments and halal leather goods,” said DPMM Deputy President Datuk Mohamad Alayuddin Hasan in an interview with mass-circulated Malaysian newspaper Berita Harian after his return from Karachi where he attended the Expo Pakistan 2012 as part of a 57-member Malaysian delegation of businessmen and entrepreneurs. Datuk Mohamad Alayuddin said Pakistani textile products seemed like a very relevant item to be brought into the Malaysian market as they were of high quality and offered at a much lower price as compared to other textile-producing countries. “It’s not just limited to one type of textile, but it also includes all other products including those for home use, hotel use and can also be bought in bulk,” he said. He suggested that Malaysian entrepreneurs take this opportunity to become agents for the sale of surgical instruments manufactured in Pakistan. “The manufactured equipment are of first-class quality and are comparable to German products,” he said, adding Pakistani companies had also agreed to establish a consortium which would soon appoint representatives in Malaysia to supply surgical instruments manufactured in Pakistan to the rest of Southeast Asia.

Bangladesh vying to fit into the pipeline Bangladesh wants to join TAPI project: Turkmenistan NEW DELHI: Bangladesh is willing to join the proposed Turkmenistan-Afghanistan-PakistanIndia (TAPI) pipeline project. “There was a request from Bangladesh to join the project. We require official note for this which will be considered by all the four governments of TAPI project,” Kakageldy Abdullaev, acting Minister of Oil and Gas, Minerals of Turkmenistan, said at Petrotech 2012, reported The Hindu. Asked about pricing of the gas to be wheeled through TAPI pipeline, he said, “I can only say that the price of gas in the project will be beneficial for everybody.” ONLINE


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SAARC set to bond RAWALPINDI

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HE Secretary Ministry of Commerce Munir Qureshi has said that trade relations with SAARC countries will be enhanced on priority basis and solid measures will also be taken to endorse the trade relations with neighbouring countries. He said that Ministry appreciates Rawalpindi Chamber of Commerce and Industry (RCCI) for organizing 10 Single Country Exhibitions in a calendar year in SAARC Countries. “Government will facilitate RCCI for promoting local products in the world trade markets and business community will be taken on board in the policy making process in future”, he added. He was exchanging these views with the President of Rawalpindi Chamber of Commerce and Industry (RCCI) Manzar Khurshid Sheikh at his office here on Monday. Senior Vice President Pervaiz Ahmed Warriach, Vice President Ch. Nadeem Rauf, members of executive committee Dr. Shimail Daud and Younas Dar were

also present on the occasion. Munir Qureshi said that government appreciates the role of RCCI in strengthening the national economy and vowed that RCCI will be facilitated for promotion of business activities. He said that Ministry is making all out efforts to enhance trading activities with other countries of the world and private sector will also be cherished in this regard. Speaking on the occasion President RCCI Manzar Khurshid Sheikh said that government must bring consistency in the policies and private sector should be taken on board in the policy making process. He said that RCCI is striving hard to endorse the local products in the international trade markets. “Government must facilitate the Chambers to improve the national economy of the country,” he added. He demanded of the government to facilitate the private sector and play its due role for the promotion of business activities within the country and outside. He said that government must support Chambers to organize Expos across the globe.

Meezan Bank’s profitafter-tax grows by 16% KARACHI STAFF REPORT

Meezan Bank has recorded 16% growth in its profit-after-tax which increased to Rs. 2,663 million for the nine months ended September 30, 2012 as compared to Rs. 2,292 million earned in the corresponding period last year. Earnings per share of the Bank was recorded at Rs. 2.95 (September 2011: Rs. 2.54) on enhanced share capital of Rs. 9 billion. The Board of Directors of Meezan Bank, in its meeting held in Dubai, U.A.E on October 11, 2012 approved the financial statements of the Bank for the nine months ended September 30, 2012. The meeting was presided by H. E. Sheikh Ebrahim Bin Khalifa Al-Khalifa, Chairman of the Board. The Vice Chairman of the Board Mr. Abdullateef A. Al-Asfour also attended the meeting. The Bank achieved growth in all business segments and consolidated its position as the leading Islamic bank of Pakistan. Total assets grew by 19% to reach the level of Rs. 239 billion while Deposits grew by 22% and closed at Rs. 208 billion as at September 30, 2012.

Meezan Bank completed ten years of operations in 2012 and has progressively grown to become the country’s 8th largest in terms of branch network. Driven by its Vision to ‘establish Islamic banking as banking of first choice’, the Bank has established an extensive branch network of 301 branches across 89 cities in Pakistan and has made Islamic banking accessible to all segments of the society. The Bank has been consistently recognized as the best Islamic Bank in Pakistan by various local and international institutions over the past several years - including ‘Best Islamic Financial Institution in Pakistan’ by Global Finance magazine, New York and ‘Best Islamic Bank in Pakistan’ by Islamic Finance News of REDmoney Group, Malaysia. The JCR-VIS Credit Rating Company Limited, an affiliate of Japan Credit Rating Agency, Japan has maintained the Bank’s long-term entity rating at AA- (Double A Minus) and shortterm rating at A1+ (A One Plus) with stable outlook. The short-term rating of A1+ is the highest standard in short-term rating. The ratings indicate sound performance indicators of the Bank.

Business 02 Visa expedition discussed at LCCI LAHORE STAFF REPORT

Confederation of Asia-Pacific Chambers of Commerce and Industry (CACCI) President Ambassador Benedicto Yujuico has said that the Confederation will help expedite visa process for Pakistani businessmen in all the 27-member countries. Ambassador Benedicto Yujuico was speaking at the Lahore Chamber of Commerce and Industry on Thursday. LCCI President Farooq Iftikhar presented Address of Welcome while FPCCI President Haji Fazal Kader Khan Sherani, Vice President CACCI Tariq Sayeed, Vice President SAARC Chamber of Commerce Iftikhar Ali Malik, former LCCI president Mian Muzaffar Ali and Vice President Mian Abuzar Shad and former Vice President Aftab Ahmad Vohra also spoke on the occasion. Ambassador Benedicto Yujuico said that he understands that delayed issuance of visas to genuine businessmen is a hurdle to expand businesses. The president CACCI also invited Pakistani businessmen to participate in the international exhibition being arranged by the Confederation in Cebu, Philippines in March 2013 to have first hand knowledge about available business opportunities. He said that Pakistani businessmen would be allowed to display their products at the said exhibition. He urged the Pakistan business community to become the life member of CACCI for a close coordination with counterparts in the 27 countries that are members of the Confederation.

Major Gainers COMPANY OPEN 9536.67 UniLever Pak Nestle Pakistan Ltd. 5274.29 Bata (Pak) Limited 1100.00 Shezan Inter. 409.50 National FoodsXD 272.20

HIGH 9949.99 5500.00 1155.00 429.97 285.81

LOW 9536.67 5500.00 1140.00 409.00 270.00

CLOSE CHANGE 9941.66 404.99 5500.00 225.71 1155.00 55.00 429.97 20.47 285.30 13.10

TURNOVER 440 100 900 5,200 7,200

740.00 439.99 1400.00 145.11 96.90

725.51 426.55 1400.00 145.11 91.18

725.51 426.58 1400.00 145.11 91.41

-30.49 -22.41 -22.22 -4.89 -4.56

300 2,800 50 500 62,000

9.50 51.50 6.52 19.98 25.52

8.70 50.50 6.30 19.62 24.95

9.32 50.98 6.32 19.75 25.11

0.63 0.59 0.00 -0.02 0.80

10,318,000 7,710,500 6,141,500 3,420,500 2,951,000

Major Losers Siemens Pakistan Indus Dyeing Colgate Palmolive Linde Pakistan Attock CementXDXB

756.00 448.99 1422.22 150.00 95.97

Volume Leaders Maple Leaf Cement D.G.K.CementSPOT Fauji Cement P.T.C.L.A Sui North Gas

8.69 50.39 6.32 19.77 24.31

Interbank Rates US Dollar UK Pound Japanese Yen Euro

95.4043 153.2384 1.2113 123.6630

Dollar East US Dollar Euro Great Britain Pound Japanese Yen Canadian Dollar Hong Kong Dollar UAE Dirham Saudi Riyal Australian Dollar

BUY

SELL

95.30 122.62 152.27 1.2057 96.40 12.11 25.85 25.30 96.49

95.70 123.72 153.60 1.2161 97.75 12.28 26.05 25.50 98.79

Oil down in Asia on softer global demand forecast SINGAPORE: Oil prices fell in Asia on Monday after the International Energy Agency (IEA) cut its global demand growth forecast for this year and next, while data also showed rising US stockpiles, analysts said. New York’s main contract, light sweet crude for delivery in November shed 79 cents to $91.07 a barrel and Brent North Sea crude for November delivery fell 76 cents to $113.86 in afternoon trade. The IEA on Friday said it expected global demand for oil through 2016 to grow by half a million barrels a day less than previously estimated. It said in its medium-term report that the oil market was now at a “crossroads” and its outlook was “against the backdrop of sluggish economic growth and increasing energy efficiency”, particularly in advanced economies. Crude prices were hit by the “IEA reducing its forecast for global demand in 2012 and 2013”, IG Markets said in a report. “Data released last week also showed that crude supplies rose in the US and this seems to be a trend that may continue... while the slow growth will mean muted demand for the black gold continues.” Official US data last week showed stockpiles in the world’s largest oil consumer rising by 1.7 million barrels in the week ending October 5, far more than analyst projections of an 800,000 barrel increase. AFP

CORPORATE CORNER NHA reviews projects

ISLAMABAD: Chairman National Highway Authority Muhammad Javaid Iqbal Awan presided over a high level meeting in which national highway projects being undertaken with the cooperation of the Asian Development Bank (ADB) were reviewed. ADB Mission was led by transport specialist Dong Soo Pyo. Detailed discussions were made on technical issues of ADB Aided Projects. The meeting also discussed ways and means to solve such issues for earlier completion of the schemes. On this occasion, Muhammad Javaid Iqbal Awan commended the services of the ADB, for providing financial assistance in national highway schemes. He desired to overcome the issues through mutual consultation so that projects could be realized as per schedule.

Thai Prime Minister Yingluck Shinawatra to grace the 11th AFCSR BANGKOK: After ten successful runs in six of Southeast Asia’s major cities —- Manila, Kuala Lumpur, Jakarta, Ho Chi Minh, Bangkok and Singapore —- the Asian Forum on Corporate Social Responsibility (AFCSR) once again returns to Thailand to hold the 11th AFCSR at the Shangri-La

Hotel in Bangkok. On October 25 and 26, more than 50 CSR experts from various industries will converge at the conference, which will be concluded by the Asian CSR Awards gala dinner and awarding ceremonies. Her Excellency Yingluck Shinawatra, Prime Minister of the Kingdom of Thailand will be the guest of honor and will be presenting the awards to organizations on the evening of October 26, 2012.

Etihad Airways Q3 revenues up 19% KARACHI: Etihad Airways, the national airline of the UAE, today reported third quarter revenues of US$ 1.3 billion, up 19 per cent on 2011 (US$ 1.1 billion). The record revenues reflected passenger numbers up 23 per cent, with 2.79 million travellers in the quarter (2.27 million). Seat factors of 81.2 per cent mark the best ever quarterly performance by the airline, with passenger numbers on track to pass the 10 million milestone in 2012. The rise in revenues continues to outperform the airline’s growth in capacity and Etihad Airways remains confident of achieving full year profitability for the second year running. Passenger revenues were boosted by codeshare and partner revenues, which jumped 51 per cent to US$ 182 million (US$ 121 million). The airline’s 38 partners helped to create a total network of 315 destinations, more than any other Middle Eastern carrier. James Hogan, Etihad Airways’ President and Chief Executive Officer, said: “Our third quarter saw continued progress across the business, with all key indicators showing strong performance and we remain confident of delivering full year profitability based on current market conditions. We are particularly pleased with the contribution from our codeshare and equity partners. This component of our strategy is delivering a strong and growing revenue stream, complementing our own doubledigit organic growth.”

Mobilink, UNICEF celebrate ‘Global Handwashing Day 2012’ LAHORE: Mobilink and UNICEF have joined hands to launch Global Handwashing Day across Pakistan. The initiative was launched at a local school, with participation by representatives of the Federal Ministry for Climate Change, UNICEF and Mobilink Torchbearers. Global Handwashing Day is a broad-based initiative to spreadhand wash hygiene-awareness, educate children on the proper technique of handwashing as well as reaffirm a commitment to proper hygiene.UNICEF is celebrating Global Handwashing Day 2012 across Pakistan by providing 250,000 children with handwashing soap as well as lessons to nearly half a million children on the benefits of handwashing. Mobilink will be sending out informational messages to its subscriber base to raise awareness.

Samsung employees enjoy ‘great working place experience’ LAHORE: October 15, 2012 – Samsung Electronics is a global leader and award-winning innovator in Telecommunications and Digital Technologies. Recently, Samsung Pakistan arranged an exciting and fun-filled outdoor recreational activity celebration, in which all Samsung employees were invited to participate and have delightful experiences. This celebration is named “Great Working Place” (GWP) activity and is held on a quarterly basis to promote TeamBuilding opportunities among the Samsung staff. It helps the hard-working, passionate and innovative employees to relax and cheer with numerous outdoor fun activities for participants of varying ages. An interactive meeting for operational deliberations was also held on that fun-filled day to enhance the teambuilding skills of the employees. Samsung Pakistan’s Managing Director – Mr. John Park said; “It is de-

LAHORE: Shell Pakistan Ltd Chairman and MD Omar Yaqoob Sheikh hosts an exclusive dinner for B2B customers at PC Hotel Lahore. lightful to see Samsung employees from the various operational departments, strive to maintain friendly and cordial relations among themselves, by coming together as one big Samsung family, and participating in numerous recreational and sporting activities with a team-building spirit, to make the “Great Working Place” activity a resounding success”.

Regional Food Festival 2012 inaugurated at PC RAWALPINDI: General Manager Pearl Continental Hotel Rawalpindi Sheharyar Mirza, along with High Commissioner of Malaysia to Pakistan HE Dr. Hasrul Sani Bin Mujtabar, and Ambassador of Nepal to Pakistan H.E Bharat Raj Paudyal and Ambassador of the United Arab Emirates to Pakistan H.E Matar Ali Al Mansoori inaugurated the Regional Food Festival 2012 at the Pearl Continental Hotel Rawalpindi on Friday night. The Festival will continue for three days till October 14, 2012 A large number of businessmen, government functionaries, diplomats and socialites attended the Inauguration Ceremony.

Tuesday, 16 October, 2012


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