Engineering Post Report
Pakistan’s industrial sector is the second largest sector after Services which contributed around 20 per cent of share to Gross Domestic Product (GDP) during 2018-19 prior to pandemic of Corona Virus attacked the country like other countries around the world in March 2020.
However, it is good to note that following number of initiatives and incentives taken by the incumbent federal government according to the available resources and in view of the importance of the sector, the industrial sector has started gradually picking up the pace despite ongoing severe second wave of COVID-19,
According to the official sources, the industrial sector is further segregated into four sub-sectors i.e. Mining and Quarrying, Manufacturing, Electricity Generation, Distribution and Gas Distribution and Construction.
Manufacturing sector of Pakistan, they maintained, serves as a backbone of the national economy and mainly consists of Large Scale Manufacturing (LSM), Small and Medium Scale Manufacturing (SME).
The share of the country’s manufacturing sector has been somewhat stagnant around 13 per cent of the GDP for the past decade due to various problems and issues such as structural bottlenecks, high cost of doing business, energy supplies constraints, , adverse law and order situation, limited access to credit especially to SMEs, lack of sophisticated technology and unskilled workers workforce. Furthermore, the absence of a dynamic industrial vision and policy for the last three decades in further exacerbating the already ailing conditions of the manufacturing sector.
All these problems and issues are being gradually addressed by the present government and the incentives and initiative taken certainly surely reflect its vision of a dynamic industrial vision and policy.
