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Pakistan’s Ideas Arms Fair Suggests Demand Is Booming Amid Insecurity
Arms Manufacturers See Pakistan as a Growth Market
A visitor aims a simulation gun at a target during the International Defence Exhibition and Seminar in Karachi, Pakistan, on Wednesday.REUTERS
By SYED SHOAIB HASAN Dec. 5, 2014 5:12 a.m. ET
KARACHI—Pakistan has faced a year of insecurity, with a major military campaign over summer against militants in tribal areas and terror attacks in cities. For arms manufacturers, there is an upside: Pakistan is seen as a growth market.
The rising demand for weapons and security technology was on display this week in the port city of Karachi at the International Defence Exhibition and Seminar, the country’s largest arms fair, where Pakistani and international weapons manufacturers showcased their wares.
“Pakistan has dealt with the threat for nearly a decade, and what is happening in the country today will define how the world looks at and deals with conflict in the future,” said Gen. Raheel Shareef, Pakistan’s powerful army chief, at a seminar just before the conclusion of the exhibition Thursday.
Pakistan has one of the world’s largest militaries, with 610,000 in uniform. While the military is trained and equipped as a counterweight to Pakistan’s traditional adversary, India, it has also been heavily involved in domestic security. This summer, for instance, the Pakistani military launched an offensive against militant havens in North Waziristan, along the border with Afghanistan.
During the last exhibition in 2012, many of the halls at the Karachi arms fair were quite empty. This year, however, the number of exhibitors and potential clients was up, organizers said, underscoring the growth in demand for defense equipment.
Women take photographs with a mobile phone in front of Pakistani-made armored vehicles at the International Defence Exhibition and Seminar in Karachi, Pakistan, on Thursday.AGENCE FRANCE-PRESSE/GETTY IMAGES
“Ideas 2014 is our biggest exhibition so far,” said Commodore Tahir Javed, a senior official with Pakistan’s Defense Export Promotion Organization, the event’s organizers. “We have received overwhelming response from around the globe.”
He said 333 companies exhibited their wares at this year’s show, compared with 209 in 2012. Chinese and Turkish firms, in particular, had a strong presence, with one hall dedicated for the two countries’ representatives.
The Pakistani military has long had a diverse source of weapons suppliers: Pakistan’s air force, for instance, flies the F-16 fighter made by U.S.-based Lockheed Martin Corp. , but its military also operates Chinese and Russian hardware.
Russia’s military exporters also had a significant presence in this year’s Karachi arms fair, showcasing helicopters and electronic-warfare equipment. Pakistan has been using the Mi-17 transport helicopter as a workhorse of army operations since 1959, and Islamabad recently struck a deal for Russia’s more advanced Mi-35 attack helicopter.
“We have reached a deal for a small number of the Mi-35, which is easily serviceable here,” said Minister for Defense Production Rana Tanveer Hussain. He didn’t elaborate on the deal.
Officials said the Mi-35 would be particularly useful in the country’s counterinsurgency campaign. They also added that one of the most valuable assets in the fight has been the JF-17 fighter jet, a multi-role aircraft jointly developed by China’s Chengdu Aircraft Corp. and the Pakistan Aeronautical Complex. The JF-17, which has day and night attack capabilities, was a centerpiece of the exhibit.
Military officials in Pakistan say the jet represents a step for Pakistan as a producer and potential exporter of bigger and more sophisticated weapons systems. Officials said Egypt and Nigeria were particularly interested in the JF-17.
“We have received orders from four countries in the Middle East and Africa for at least a squadron each of the plane,” said Mr. Hussain.
A JF-17 jet, jointly developed by China and Pakistan, pictured during preparations for the International Defence Exhibition and Seminar in Karachi, Pakistan, on Nov. 29. AGENCE FRANCE-PRESSE/GETTY IMAGES
While the JF-17 fighter was in many respects the star of the show, the exhibition also offered international firms entry into a potentially lucrative domestic security market. Organizers said some of the most dramatic growth has been seen in the armored car market for private firms and individuals, as well as for security agencies.
Increased lawlessness has fueled a boom in demand for armored cars. Company executives and landlords are often targeted by terror groups to finance their activities, particularly in Karachi, Pakistan’s business capital. Dozens have been kidnapped or attacked after being held up at gunpoint.
Dinshaw Anklesaria, the owner of Pakarmor, an armored-car manufacturer based in Karachi, said the market had potential but that government restrictions on imports had stymied some growth. He said his company, as a local manufacturer, was required to obtain a no-objection certificate from the government for every piece imported for armoring a vehicle.
“It’s detrimental for local manufacturers, and helps large multinationals or those exporting from abroad and should be revised,” he said.
More than 300 police officers have been killed in targeted attacks since January 2013 in Karachi alone. Police officials said a majority of these attacks took place either while on patrol or traveling near neighborhoods that are militant or criminal strongholds. Often, the only way to clear and control these areas is with armored trucks.
“We already have a plant operating in Pakistan which services private customers, but now we are looking to sell our vehicles to the security agencies,” said Junaid Farid, regional head for the Middle East for Streit Group of Ontario, Canada. “It’s a lucrative market here.”
http://online.wsj.com/articles/paki...1179732792715064836904580318421296694054.html
Arms Manufacturers See Pakistan as a Growth Market
A visitor aims a simulation gun at a target during the International Defence Exhibition and Seminar in Karachi, Pakistan, on Wednesday.REUTERS
By SYED SHOAIB HASAN Dec. 5, 2014 5:12 a.m. ET
KARACHI—Pakistan has faced a year of insecurity, with a major military campaign over summer against militants in tribal areas and terror attacks in cities. For arms manufacturers, there is an upside: Pakistan is seen as a growth market.
The rising demand for weapons and security technology was on display this week in the port city of Karachi at the International Defence Exhibition and Seminar, the country’s largest arms fair, where Pakistani and international weapons manufacturers showcased their wares.
“Pakistan has dealt with the threat for nearly a decade, and what is happening in the country today will define how the world looks at and deals with conflict in the future,” said Gen. Raheel Shareef, Pakistan’s powerful army chief, at a seminar just before the conclusion of the exhibition Thursday.
Pakistan has one of the world’s largest militaries, with 610,000 in uniform. While the military is trained and equipped as a counterweight to Pakistan’s traditional adversary, India, it has also been heavily involved in domestic security. This summer, for instance, the Pakistani military launched an offensive against militant havens in North Waziristan, along the border with Afghanistan.
During the last exhibition in 2012, many of the halls at the Karachi arms fair were quite empty. This year, however, the number of exhibitors and potential clients was up, organizers said, underscoring the growth in demand for defense equipment.
Women take photographs with a mobile phone in front of Pakistani-made armored vehicles at the International Defence Exhibition and Seminar in Karachi, Pakistan, on Thursday.AGENCE FRANCE-PRESSE/GETTY IMAGES
“Ideas 2014 is our biggest exhibition so far,” said Commodore Tahir Javed, a senior official with Pakistan’s Defense Export Promotion Organization, the event’s organizers. “We have received overwhelming response from around the globe.”
He said 333 companies exhibited their wares at this year’s show, compared with 209 in 2012. Chinese and Turkish firms, in particular, had a strong presence, with one hall dedicated for the two countries’ representatives.
The Pakistani military has long had a diverse source of weapons suppliers: Pakistan’s air force, for instance, flies the F-16 fighter made by U.S.-based Lockheed Martin Corp. , but its military also operates Chinese and Russian hardware.
Russia’s military exporters also had a significant presence in this year’s Karachi arms fair, showcasing helicopters and electronic-warfare equipment. Pakistan has been using the Mi-17 transport helicopter as a workhorse of army operations since 1959, and Islamabad recently struck a deal for Russia’s more advanced Mi-35 attack helicopter.
“We have reached a deal for a small number of the Mi-35, which is easily serviceable here,” said Minister for Defense Production Rana Tanveer Hussain. He didn’t elaborate on the deal.
Officials said the Mi-35 would be particularly useful in the country’s counterinsurgency campaign. They also added that one of the most valuable assets in the fight has been the JF-17 fighter jet, a multi-role aircraft jointly developed by China’s Chengdu Aircraft Corp. and the Pakistan Aeronautical Complex. The JF-17, which has day and night attack capabilities, was a centerpiece of the exhibit.
Military officials in Pakistan say the jet represents a step for Pakistan as a producer and potential exporter of bigger and more sophisticated weapons systems. Officials said Egypt and Nigeria were particularly interested in the JF-17.
“We have received orders from four countries in the Middle East and Africa for at least a squadron each of the plane,” said Mr. Hussain.
A JF-17 jet, jointly developed by China and Pakistan, pictured during preparations for the International Defence Exhibition and Seminar in Karachi, Pakistan, on Nov. 29. AGENCE FRANCE-PRESSE/GETTY IMAGES
While the JF-17 fighter was in many respects the star of the show, the exhibition also offered international firms entry into a potentially lucrative domestic security market. Organizers said some of the most dramatic growth has been seen in the armored car market for private firms and individuals, as well as for security agencies.
Increased lawlessness has fueled a boom in demand for armored cars. Company executives and landlords are often targeted by terror groups to finance their activities, particularly in Karachi, Pakistan’s business capital. Dozens have been kidnapped or attacked after being held up at gunpoint.
Dinshaw Anklesaria, the owner of Pakarmor, an armored-car manufacturer based in Karachi, said the market had potential but that government restrictions on imports had stymied some growth. He said his company, as a local manufacturer, was required to obtain a no-objection certificate from the government for every piece imported for armoring a vehicle.
“It’s detrimental for local manufacturers, and helps large multinationals or those exporting from abroad and should be revised,” he said.
More than 300 police officers have been killed in targeted attacks since January 2013 in Karachi alone. Police officials said a majority of these attacks took place either while on patrol or traveling near neighborhoods that are militant or criminal strongholds. Often, the only way to clear and control these areas is with armored trucks.
“We already have a plant operating in Pakistan which services private customers, but now we are looking to sell our vehicles to the security agencies,” said Junaid Farid, regional head for the Middle East for Streit Group of Ontario, Canada. “It’s a lucrative market here.”
http://online.wsj.com/articles/paki...1179732792715064836904580318421296694054.html
