INDUSTRIAL REVOLUTION IN PAKISTAN
Introduction
Since ''Industrial Revolution' industrialization is regarded essential for
rapid development of the country. The countries that solely relied on
agriculture have remained poor and underdeveloped, whereas the nations which
gave weight to rapid development to industry achieved high rates of
development. Pakistan at the time of partition
in 1947 had negligible industrial base. Since the division of the
Subcontinent, the Government of Pakistan has been utilizing all available
resources domestic as well as external for rapid development of the
manufacturing sector.
Pakistan has now attained a fairly
diversified base in manufactures ranging from essential consumer goods of
chemicals steel, heavy engineering and achene's and tool industries. Domestic
production of items such as refined sugar steel, fertilizer, cement etc has
helped in import substitution and has saved substantial amount of foreign
exchange.
The
Industrial Policy report constitutes a comprehensive analysis of Pakistan’s manufacturing sector aimed at
deriving policy recommendations for Industrial growth and development. The
report is structured to provide a three tiered analysis of Pakistan’s industry.
A Brief History
1947
Embryonic Stage 1950s Textile and Small Scale Manufacturing 1960s Golden Era
1970s Dhaka Falls, Nationalization, Hampered Growth,
Capital Flight 1980s Steady Recovery and Growth 1990s Growth in Primary
Industrial Units, Recovery 2000s Growth in Tertiary Sector/ Service Industries
2010 Fingers Crossed however, the consensuses on the utility of Free-market
policies have been broken. All countries, including China, Germany, France, UK and the United States are now actively pursuing industrial
policies aimed at seizing control of the resource-allocation process from
markets and channeling them into industrial revival. Accordingly, the present
policy follows the tried and tested policy of indigenous, broad-based
industrialization to attain prosperity. It champions national industry and seeks
to build indigenous capabilities, even if it is more costly in the short run.
This, however, does not imply that the policy is inward looking in any way. On
the contrary, it relies on an open-economy model that seeks growth through
exports as well as development of domestic markets.
Basic Industries in Pakistan
Textile
& Leather Sugar Refining Fertilizers Petroleum Products Cement Automotives
and OEMs Steel & Ship Building Food, Beverages & Tobacco Consumer
Electrics Chemicals Rubber & Plastic Paper, Printing & Publishing
Industrial Support Bodies
Engineering
Development Board Pakistan Industrial Development Corporation Small &
Medium Enterprises Development Authority (SMEDA) State Engineering Corporation
National Fertilizer Corporation Utility Stores Corporations Federal Boilers
Board Pakistan Steel Mills Corporation National Industrial Parks
Factors That Inhibit
Industrial Growth
High
Cost of Doing Business (Financial, Managerial, Materials, Labor) Environmental
Challenges Political Instability and Poor Law & Order Technical Problems
Poor Investment Opportunities Poor or Reduced
Approach for Future
Establishment
of Technical Training Centers Skill Development Procurement of Industrial
Inputs Industrial Infrastructure Including industrial parks Tax Holidays and
Export incentives Cheaper Finance
Advantages &
Disadvantages of industrial Revolution
Advantage:-
1. Meet the demand of local Market
2. Source of
Foreign exchange
3. Many people
get employment.
4. Development increases.
5. Exports and Imports increases.
6. Reduce
urban rural migration.
7. Etc.
Disadvantages:-
1. Pollution
of air.land, water increases.
2. Harsh discipline of the workers
3. Wages were set at subsistence level (just enough/minimum wage)
4. Working hours were long and harsh.
5. Fines were given to unacceptable/ offensive behaviors.
6. Child labor was common. For example, children were often forced to
climb into a
broken machine to fix it, because of their
small size. This is extremely
dangerous.
7. People’s life span decreased
8.
Unemployment was common. Many people were replaced by machines
and were cut
from
their jobs, and it was extremely difficult to find a job.
Conclusion
Pakistan has registered a plausible growth in
its short history averaging around 6% year on year basis Industrial Fate of
Pakistan heavily depends on cheap materials, easy tax policy, industrial
infrastructure, political stability and ready and cheap finance Industries have
evolved, industrial revolution of Pakistan is yet to take place.
