ISLAMABAD, Sep 20 (Alliance News): In a significant step toward boosting Pakistan’s textile sector, the Board of Investment (BOI) and Chinese textile company RUYI Shangdong signed a Memorandum of Understanding (MoU) on Friday.
Under this agreement, RUYI will establish international-standard textile parks in Pakistan to enhance the country’s exports to $5 billion and create approximately 0.5 million jobs.
The MoU was signed during a ceremony attended by Prime Minister Shehbaz Sharif, following his recent visit to China. The agreement will see textile parks established in Sindh and Punjab, with around 100 Chinese textile companies invited to invest.
Strengthening Economic Ties
Prime Minister Shehbaz Sharif praised the strong Pakistan-China friendship, highlighting that economic ties between the two nations continue to grow. He welcomed the RUYI group’s investment in Pakistan’s textile industry and recalled its previous involvement in the Sahiwal Coal Power Plant under the China-Pakistan Economic Corridor (CPEC).
Textile Parks to Boost Exports and Job Creation
According to RUYI Chairman QiuYafu, the textile parks will be powered by solar energy and designed as zero-carbon, automated facilities. The first phase of the project aims to boost exports to $2 billion, with a second phase targeting $5 billion. The initiative is expected to create between 300,000 to 500,000 jobs.
Timeline and Future Developments
Construction of the textile parks is set to begin by the end of the year, with a completion timeline of three years. Additionally, the Chinese firm plans to establish wholesale commodity centers in Karachi and Lahore. The meeting also resulted in the formation of working groups in Islamabad and Beijing to pursue the project’s progress.
Prime Minister Shehbaz Sharif formed a special committee led by Deputy Prime Minister and Foreign Minister Ishaq Dar to oversee the project, including federal ministers from key economic and industrial sectors.
RUYI’s Chairman emphasized the company’s commitment to Pakistan, not just as an investor but as a friend, expressing confidence in the swift progress of the textile park projects under Prime Minister Sharif’s leadership.
