JEDDAH, 14 September 2006 — A memorandum of understanding (MOU) was signed between the Jeddah Chamber of Commerce & Industry (JCCI) and a visiting delegation of Lahore Chamber of Commerce & Industry (LCCI) here yesterday.
Faisal A. Ba Taweel, general manager of JCCI’s international affairs, publication and media, and delegation head and Senior Vice President Abdul Basit for LCCI signed the MOU.
“We’ve special relations with Pakistan and we share our values both at regional and international levels,” Ba Taweel said, adding that the MOU will benefit both countries in exploring and exploiting business, trade and investment opportunities.
“This was the first delegation of its kind from Pakistan and we welcome them here and hope that there will be a further expansion of bilateral trade,” he said and referred to various ongoing and future development projects.
Samia Falimban, JCCI’s head of international relations was among those present.
The 13-member Pakistani group arrived in the Kingdom on Monday and interacted with members of the Riyadh Chamber of Commerce & Industry and traders in the capital on Tuesday. The mission members urged Saudi businessmen to invest in their country. The delegation met with Pakistani Ambassador Shahid Kareemullah and discussed the requirement of Pakistani products across the Kingdom. They also had an audience with the Pakistani investors in Saudi Arabia.
“The main purpose of the visit is to boost bilateral trade and renew contacts,” Basit said. “Trade between Saudi Arabia and Pakistan is limited. The Kingdom is a very big market, and there is much scope to expand business,” he added.
“Almost every thing consumed here is produced in Pakistan, whether textiles, rice or surgical equipment, but due to lack of information we could not go farther,” said Basit.
“We’re here to inform about the business opportunities available in Pakistan. It’s a country of 150 million people. Saudi investors can benefit by investing in Pakistan,” he said.
Referring to the issue of double taxation, Basit said: “During Custodian of the Two Holy Mosques King Abdullah’s visit to Pakistan, the MOU of double taxation was signed and now taxation in Pakistan is at a minimum level. Avoidance of double taxation will have a very long lasting effect.”
Answering a question on labeling Pakistani products with other brands, Basit said, “We’re here to inform local businessmen of what we have and what is being sold here. We’re aware that Pakistani products are being sold here with different name tags.”
Investors coming to Pakistan who install machinery and re-produce raw materials and re-export them will enjoy a tax-free status, said Sohail Lashari, former senior vice president of LCCI.
The government of Pakistan will provide protection to investors, and in this context, Pakistan has relaxed visa restrictions. Any businessman can have a visa stamped on arrival upon the submission of necessary documents from his chamber or letter of invitation, Lashari said.
Saudi businesswoman Baheyah Al Magrabi of Ghandourah Attijariah Est., which deals in electrical materials, expressed her happiness over the meeting. “If we get quality materials from Pakistan then we don’t look for any Western or European sources, as the products there (in Pakistan) are cost-effective and good,” she said.
Amna Ismail, who runs her readymade garments business, especially of wedding garments, said the material she buys from European countries are costly although they are originally sourced from either Pakistan or India.
“It was a very successful meeting,” Hijab Gul, commercial attache, Pakistan Consulate General, told Arab News.
“There has to be a follow-up of the initiative taken by LCCI,” he said.
Al-Hokair Group showed interest in Pakistan’s tourist industry, Gul said, adding that it is a major breakthrough.
