US to announce huge package for Pakistan agri sector

Lahore: The United States is soon going to announce a financial package of $100 million for the agriculture sector, while 90 new US projects for the social sector are already in the pipeline and would be finalised with improvement in Pakistan's situation.

The US Ambassador to Pakistan, Anne W Patterson revealed this in her address to the Lahore Chamber of Commerce and Industry (LCCI). 'The US wants long-term and broad-based relations with Pakistan and would continue increasing bilateral trade and investment in Pakistan,' she said.

Despite some economic difficulties, the volume of trade between the two countries has been increasing and the fact remains that the US is the largest single investor and donor of Pakistan, Patterson added.

As soon as the youngsters in troubled areas particularly, in Tribal Areas get jobs there are little chances of improvement in situation there, she added.

The Ambassador further said that the US is committed to long-term relations with Pakistan and is convinced that the present government is extending maximum co-operation in its war against terrorism and is serious to weed out the menace.

While expressing optimism about Pak-US trade relations, she said Pakistan has huge potential in energy and IT sectors. However, on the issue of extending nuclear energy to Pakistan, the Ambassador made it clear that it would not be possible for the US to extend any co-operation in this regard, as the issue involves a lot of legislation.

Moreover, the US does not want to see a destabilised Pakistan, said Patterson.

Speaking on the occasion, the President, LCCI, Mohammad Ali Mian said that Pakistan and the US are not only partners in war against terrorism, but also enjoy remarkable trade relations with each other, which is evident from the fact that more than 80 US companies are working in Pakistan. Out of those, more than 50 are located in Punjab alone providing employment to over 50,000 workers directly and over one million people indirectly.

He further said that being a close ally of US, Pakistan should also be benefited from US experience in the fields of commerce, industry, education, health sciences and diplomacy. 'Pakistan's economic profile has been badly affected for being an ally of the US. It is facing mass unemployment due to cancellation of export orders from buyers and lacking further industrialisation and foreign investment,' the LCCI President said adding that if the present wave of terrorism continues, the sustainability of present industries cannot be ensured.

Furthermore, Pakistan's textile industry is heavily dependent on US market. Almost 60 percent of textile products are exported to US alone. It is providing manufacturing base to large number of US brands, thus badly needs US support in shape of duty free access to its markets to save the people of Pakistan who are fighting war against terrorism as frontline state with America, he maintained.

There is an increasing gap in demand and supply of electricity while the load shedding and fuel shortages have seriously destabilised our economy, causing large-scale unemployment, which is not only leading to law and order problem but also encouraging terrorism. In order to support Pakistan's economy, there is need for direct funding to the industrial set up through institutions like IFCs on low markup rates. It is believed that US companies can provide immediate solution to the tumbling Pakistan economy, he said.

'To jump start our economic activity, we propose that US Embassy may advocate Pakistan's case among the leading businessmen to invest in small and medium projects in Pakistan and facilitate match making of Pakistani entrepreneurs with US counterparts,' Mian said. He maintained that the US government should directly start some projects in Punjab or any other part of Pakistan, as it would give positive signal to investors around the world. 'Another issue, which the LCCI feels should be given top priority, i