By Muhammad Asad Tahir Bhawana

ISLAMABAD, July 19: To boost the chemical industry of Pakistan, a two-day (19 & 20 July 2022) mega forum and expo, the PCE (Pakistan Chemical Expo) 2022, is organized in Expo Center Lahore which aims to provide a platform for networking with global players, learning and sharing the best innovative practices, and participating in corporate culture to achieve a win-win situation.

The Pakistani chemical industry is well positioned to contribute to the global chemical business and take its proper share of the value chain, given its proximity to regional out-performing players. As local companies invest more in their production capacities, Pakistan's reliance on imported chemicals decreases.

With more than 200 stalls at the expo and expert speakers providing knowledge on the Forum, PCE 2022 will achieve the desired result. Around 70 national and 10 international exhibitors are participating in this expo organized by the Pakistan Chemical Manufacturing Association (PCMA) to highlight the country's strength in this industry.

Senior Vice Chairman PCMA Haroon Ali Khan, in a press conference, said, "Renowned national and international industries are participating in this two-day expo while well-known chemical scientists from all over the world will also share their experiences and new research."

The chemical industry in Pakistan has a market value of $20 billion and provides employment to approximately 600,000 people while contributing approximately Rs.200 billion to the national exchequer. “It has not yet been fully exploited due to lack of awareness about its potential and absence of comprehensive and integrated chemical policy at the government level,” he added.

However, according to the Pakistan Bureau of Statistics report, the chemical sector contributed around 4.6 percent to the country's exports. It is considered the backbone of the forward-linked sectors such as textile, leather, footwear, furniture, and automobile. Pakistan has enormous potential for growth in the chemical sector since it is an integral component of our daily lives and industrial progress. Nevertheless, only a few groups are focusing on the growth of this sector, so the country still has considerable room for improvement.

In recent years, the local market has produced basic inorganic chemicals such as polyvinyl chloride, caustic soda, soda ash, and hydrogen peroxide. Moreover, this is a valuable import replacement and improves the availability of basic chemicals for local industries, thus facilitating the development of local industries. Nevertheless, the share of imports for this industry is still around 11.2 percent as per the report of PBS, which needs to decrease to maintain the country's current account deficit.

To promote and secure long-term investments in this industry, Haroon stated that government support is essential, including a comprehensive chemical policy developed jointly with the PCMA and other stakeholders. The chemical industry requires uninterrupted access to electricity and gas, according to PCMA senior member Zafar Mehmood. As Thailand and Singapore have established naphtha cracking plants, we need a separate business park on 3,000 acres for all chemical-related industries," Zafar stated.

Credits: INP-WealthPk