KARACHI - Automobile industry has made remarkable progress during the last few years. Despite low indigenous base, it has attracted almost Rs 100 billion investment. Rs 52 billion has come in direct manufacturing and Rs 35 billon in ancillary industry. If we add all the money put forth by the dealers throughout the country, the figure reaches benchmark and we can say that automobile is a billion rupee industry.
This is the only sector, which has received maximum foreign investment. Japan, Korea, U.K. China and the few other countries at a minor level have come to Pakistan and have invested in a big way in auto cars and other heavy vehicles. The foreign equity is about 50 per cent if seen on average context. Some people have said that the car glut is going on in the city.
A senior engineer of Pak Suzuki Motor Company said that Pakistanis are best human resource expert in technical and they are most economical when compared with labour of other countries.
With bonanza in car financing business, the sale has multiplied. Every month 3,000 cars are added into main stream only in Karachi. Equal number is also sold in other parts of the country.
The market strategy has been that all type of makes and models are offered for each class of people. Ranging from 800cc Suzuki small car to 2700cc to 2400cc car of other makes. Mercedez and
BMW have also got their own cliental.
Big show rooms around Shara-i- Faisal, Korangi Road, Rashid Minhas Road are filled with most modern model of the cars. When you pass these areas and have a look it seems that Pakistan is not a poor country but that it is a country of the rich, though few in numbers.
Every month at least according to the reports, 25,000 motor cycles are sold in the market throughout country. Chinese motor cycles are eyeing the market in a big way.
Karachi and Lahore have developed as hub for the manufacturing and assembling. Pakistan started as assembler in early 70’s. It was Mr Bhutto who encouraged the local production. After nationalization this was the first significant step. First came Bedford Motors with National Motors which became famous for transportation of goods. Later Suzuki Motor Company took over Awami Motors and started assembling small cars of 800 cc. A time came when every one was driving Suzuki cars.
People did not call half ton pick up, they called it a Suzuki. Till date the Suzuki Motor Company is at its zenith. Every year more than 60,000 cars are marketed. From next year the figure could exceed 100,000 per annum.
In show rooms most stylish and sturdy vehicles are displayed, At Park Tower Clifton we come across sports cars up to Rs 1000,000. A visitor said that in Karachi billion of rupee cars lie on road side. Seeing the car population one cannot say that it is a city of poor where 30 per cent live below poverty line.
Such as KIA motor’s 4WD Turbo, these days is on display with colours such as cosmos black and aspen silver making people relish the need for a cool jeep. Hyundai’s Sherzore is a big four wheeler more of a pickup, with seat belts and seat frames as a standard feature. But, the all time favorite of the people was none other than the Santro of Hyundai which is the trademark of Dewan Farooque Motors Limited. It has by now highly acclaimed better market place; with many people willing to afford the car. If you move around you see the Defenders, which is a Land Rover introduced by the Sigma Motors. This product was exclusively launched for the army personnel since 1994, but this year in August it was floated out for the general public. This vehicle has been assembled in Pakistan but brand is from the UK. It has two models namely 90SW and 110SW. According to Mr. Asim Qureshi, Assistant Manager Sigma Motors “ the prices cannot be curtailed because the vehicle has the latest dependable technology, which of coarse was not available in the specific models a few years back.”
Suzuki Motor Company is busy manufacturing brand new product Liana and to be marketed soon. This would be another success success story like the Suzuki Baleno which is still in the limelight on the streets of Karachi, said a dealer in DHA talking to the Nation. .
Chinese are also eyeing the market in a big way. The Karakoram Motors has projected their Chinese assembled product, at a low price. The cars were even named after the scenic places of Pakistan, such as Gilgit 800cc, Kalam 800cc and Kalash 800cc. The vehicles are fitted with cabin ventilation. The product is cheap and has been exclusively made for Pakistan.
Indus Motors has introduced Toyota’s Camry. Mr. Anwarullah Siddiqui, Assistant Manager, Indus Motor Company said that Toyota is a family car in Pakistan.