Chinese firm to establish textile parks in Pakistan
ISLAMBAD:
The Board of Investment and China’s RUYI Shandong signed a Memorandum of Understanding (MoU) on Friday, marking a major step toward enhancing Pakistan’s textile exports and job creation.
Under the agreement, RUYI will establish international-standard textile parks in Sindh and Punjab, aiming to boost exports to $5 billion and create up to 500,000 jobs.
The MoU was signed during a meeting between RUYI Chairman Qiu Yafu and Prime Minister Shehbaz Sharif, following the premier’s recent visit to China.
The project is expected to attract investment from around 100 Chinese textile firms.
PM Shehbaz Sharif praised Pakistan’s enduring friendship with China and expressed appreciation for RUYI’s investment. He highlighted the company’s previous role as the first investor in the Sahiwal Coal Power Plant under the China-Pakistan Economic Corridor (CPEC).
According to RUYI’s chairman, the textile parks will operate as zero-carbon, automated facilities powered by solar energy.
In its first phase, the parks aim to increase textile exports by $2 billion, with a goal of reaching $5 billion in the second phase. The project will create between 300,000 and 500,000 jobs.
Construction of the parks is scheduled to begin by the end of this year and will take three years to complete.
The company also plans to establish wholesale commodity centres in Karachi and Lahore.
To ensure smooth project implementation, working groups will be set up in Islamabad and Beijing.
A special committee, led by Deputy Prime Minister and Foreign Minister Ishaq Dar, will oversee progress on the textile parks.