Pakistan Economy - News & Updates - Archive

[Neo]

225 megawatts power generation: Saif Power and PPIB sign agreement ​

ISLAMABAD (July 14 2007): The implementation agreement for generating 225 MW was signed between Saif Power Ltd and the Private Power and Infrastructure Board (PPIB) on Friday.

Anwar Saifullah, Director of Saif Power signed the agreement on behalf of the company, while on behalf of the government the agreement was signed by Muhammad Yousuf Memon, Managing Director PPIB. Earlier the power purchase agreement and the gas supply agreement had been signed, thereby concluding the package of agreements under the power policy. The power plant will be located at Sahiwal, and capable of operating on dual fuel, will be based on combined cycle technology.

The sponsors of the project are Saif Telecom Ltd, Saif Textile Mills Ltd and Globecomm (Pvt) Ltd, and the power plant will be set up with an estimated cost of 170 million dollars. It is expected that the power complex will start supplying power to the national grid by the year 2010. Saif Power Ltd, is diligently processing its power project and is part of the portfolio of projects being processed by PPIB which are expected to add a total of 6,990 MW into the system by the year 2010.-PR

http://www.brecorder.com/index.php?id=591483&currPageNo=1&query=&search=&term=&supDate=

 

[Neo]

Thar coal mining company set up​

KARACHI, July 14: The federal government has set up a new Thar coal mining company to make use of vast reserves for power generation. The federal government will bear 80 per cent of the cost while the rest will be covered by the Sindh government.

Director-General of Sindh Coal Authority Syed Abbas Ali Shah told Dawn that the company would undertake mining projects for power generation.

The step has been taken in view of lukewarm response of foreign companies in mining.

The first meeting of the autonomous company, which is presently headed by additional secretary petroleum, was due to be held in Islamabad at the weekend to discuss ways and means to launch schemes for exploitation of Thar coal deposits lying dormant since 2002.

It will also discuss the issue of initial seed money and a working model for the new entity.

The federal government has decided to undertake the mining and power generation projects by itself to meet the future energy needs of the country after two foreign companies, a US and a Chinese, withdrew from coal mining in Thar. They withdrew reportedly because of problems related to shortage of surface water in the area and tariff dispute with Wapda.

He said of the 175 billion tons of total coal deposits in Thar, 12 to 14 billion tons are proven reserves. These have been divided into six mining blocks and mining lease for two blocks with a view to set up coal-fired plants has been granted to two local firms, Hassan Associates and Associated Group.

The Sindh Coal Authority has decided to carry out a hydrological study to explore underground or surface water resources required in abundance for coal mining.

The study for estimation of coal deposits found in 1994 was completed in 2002 and since then no significant progress had been made for mining of coal to be used for power generation.

Meanwhile, the Asian Development Bank has agreed to provide financing for the development of Thar coal deposits for producing electricity and has asked the Sindh ministry of minerals to submit schemes eligible for bank’s financing.

The decision was announced at the ADB meeting this week at the Sindh Planning and Development department held to review utilisation of ADB’s funding for implementation of various development schemes in the province.

The bank is already providing financial assistance for various projects in roads, agriculture, health, education and irrigation sectors etc. But it is for the first time that financing has been offered for development of Thar coal deposits.

Tufail Jumani, the secretary of minerals, told Dawn that the ADB had realised the importance of coal mining projects and offered the ministry to prepare coal deposits development schemes with its assistance.

The ministry has reserved the entire coal deposits in Thar for power generation and miners are restricted to sell the commodity in the local market.

The ADB has initially indicated a sum of $5 million for carrying out studies in the Thar coal area. However, the amount will be increased when the ministry submits detailed schemes for the development and mining of coal deposits.

The ministry has, so far, signed eight MoUs with the private sector companies, including a Chinese firm for mining coal for setting up power plants in the province.

Jumani, however, said the success of these projects would depend on the tariff offered by Wapda to these companies for the purchase of power.

He complained that a foreign firm interested to set up a power plant in Thar area packed off as Wapda refused to purchase power on a reasonable rate.

The province has total coal deposits of 184 billion tons, including 175.5 billion tons in Thar, 7.1 billion tons in Thatta and 1.3 billion tons at Lakhra.

http://www.dawn.com/2007/07/15/ebr1.htm

 

[Neo]

Industrial estate to be set up on PS land​

ISLAMABAD, July 14: The establishment of a state-of-the-art industrial estate at Pakistan Steel's downstream industrial area will go a long way in economic development of Pakistan and, especially of Karachi whose residents will be its major beneficiaries.

Minister for Industries, Production and Special Initiatives Jahangir Khan Tareen stated this while speaking at the signing ceremony of an agreement between Pakistan Steel and NIPs (National Industrial Parks Development and Management Company).

The agreement was signed by Chairman Pakistan Steel Muhammad Javed and chief executive officer of NIPs.

Giving details of the agreement the minister said that NIPs would develop an industrial estate on 930 acres of Pakistan Steel land while it will continue to remain the latter’s property.

Master plan of the industrial estate will be completed within three months and the construction will start by December 2007, he said adding that the ECC (Economic Coordination Committee) has already given approval to this joint venture between NIPs and Pakistan Steel.

Jahangir Tareen said this would be the second industrial estate to be set up in Karachi by NIPs and it would greatly contribute towards development of industrial sector in the country.

http://www.dawn.com/2007/07/15/ebr2.htm

 

[Neo]

Pakistan urged to improve investment climate​

ISLAMABAD, July 14: The World Bank has asked Pakistan to improve the investment climate by removing excessive red-tapism and too much government intervention with the market mechanism.

Informed sources told Dawn on Saturday that World Bank's various surveys on investment climate suggested that Pakistan was behind India, China and even the Philippines in terms of providing an enabling environment to the investors.

The bank said that further progress could be made in Pakistan to attract investment by improving Intellectual Property Rights (IPR), which still remains weak. Similarly, due to poor land record, there was too much government intervention with the market mechanism, especially in the case of some commodities.

The red tape is still in excessive use, particularly at the provincial level and that the labour regulations were hindering the functioning of formal labour markets and employment. Also, corruption remains a problem and the enforcement of contracts, financial obligations, and bankruptcy law as well as the interpretation of tax laws remained difficult.

In addition, educational and more generally human development indicators remain quite weak in Pakistan, resulting in weak labour force often ill-equipped with the skills necessary for higher value-added productions.

Sources said that the bank believed that there was much room for improving the physical infrastructure of the country and the current state, which contributes to the high costs of doing business.

According to the World Bank, there were some impediments to domestic and foreign investment, especially political and security risks which could not be removed or offset without right economic policies and this should be viewed as a challenge.

The bank also argued that with agriculture still representing close to 25 per cent of the GDP, growth in this sector and in related rural activities needed to be picked up for the objective of significantly higher overall GDP growth rates to be sustained in the near term.

The scope for productivity gains appears to be still large, land remains under-utilised and the market infrastructure in the rural areas remains weak. Recent positive developments, if sustained, could boost the prospects for large productivity gains.

They include greater availability of bank financing for agriculture and the decision to increase the Public Sector Development Programme (PSDP) expenditure.

A productivity enhancing land reform, reduction of government interventions in the development and working of competitive markets in agriculture, and strengthening of research and extension services would increase the prospects for accelerated growth in the sector.

The bank also said that the faster growth in export would make total demand less sensitive to rising domestic real interest rates or indebtedness. It will also help secure productivity gains as a result of competition on the international market, and relax the foreign exchange constraints for imports. The re-tooling efforts have apparently taken place in the textile sector.

Pakistan was expected to gain markets as a result of the removal of quotas - that started in the beginning of 2005 - and as a result of this liberalisation. Only limited progress, the bank observed, has been made towards export diversification, which remains a challenge.

The trade policy in recent years has been supportive but more could be done to reduce the implicit export bias.

Given the size of Pakistan's domestic market, it is not surprising that the limited amount of foreign direct investment has taken place so far compared to other countries of the region.

However, the government continues to claim that achieving an all time high $6 billion plus FDI in 2006-07 was a great achievement and that its efforts will bring more investment during the current financial year.

Sources said that the bank was of the view that prospects for FDI could be enhanced by a broad-based improvement in incomes. The direct foreign investment in labour intensive export sectors, particularly agro-based business and information technology should offer great potential for growth and employment.

http://www.dawn.com/2007/07/15/ebr3.htm

 

[Neo]

Pakistan economic outlook: Revision in S&P’s rating from ‘positive’ to ‘stable’ challenged​

ISLAMABAD: The Ministry of Finance on Saturday challenged the Standard and Poor’s (S&P) decision regarding revising the Pakistan’s economic outlook from ‘positive’ to ‘stable’ by arguing that this revision is based on misperception.

The Ministry of Finance has also agreed that S&P may reconsider their decision.

Mumtaz Malik, Joint Secretary (External Finance), Ministry of Finance has written a letter to Sani Hamid, S&P, Singapore and has stated that S&P’s analyses as well as conclusions have surprised Pakistan.

The letter reveals, “We feel that S&P’s decision regarding revising the outlook from ‘positive’ to ‘stable’ is based on misperception,” said the official. The reasons narrated by the S&P for revising the outlook are based on ‘violent social unrest’ relating to the removal of Chief Justice (CJ), the incident of Red Mosque in Islamabad and the latest assassination attempt on President Musharraf’s life.

Explaining the actual situation, the letter highlighted that as regarding the violent social unrest, it has not at all affected the economic activity as well as market sentiments in the country. S&P may recall that the incident of CJ started in March 2007 till July 09, 2007, the country’s stock market surged 2,811.3 points or 25.1 percent, the market capitalisation increased $17.7 billion or 35.1 percent, exchange rate remained stable throughout this period and the country’s forex reserves continued to rise from $13.4 billion as on March 01, 2007 to $15.6 billion as of July 09, 2007 – an increase of $2.2 billion.

The letter added that during the said period foreign investors also continued to remain upbeat on Pakistan’s improving credit fundamentals. For example, Tamasek of Singapore acquired PICIC Commercial Bank (a medium sized bank in Pakistan), Singapore Telecom (Singtel) has bought 30 percent shares of Warid Telecom, China Mobile took over Paktel - a local cellular company, SAMBA Financial Group of Saudi Arabia took control of 68 percent shares of Crescent Commercial Bank Ltd, the UBL GDR was oversubscribed by four times and the government raised $650 million through the sale of 25 percent of its shares and most importantly the Sovereign Bond which was floated during the last week of May 2007 was oversubscribed by seven times. All these developments have happened during the so-called ‘violent social unrest’ relating to the removal of the Chief Justice (March 2007 to July 9, 2007).

This clearly suggests that these events have not at all affected the confidence of local as well as global investors in current and future prospects of Pakistan’s economy.

Regarding the siege of Red Mosque in Islamabad, the letter revealed that this has been going on for several months. The government has been trying to address the issue through peaceful means. But now it has used force as a last resort to dislodge and arrest the militants. The operation has achieved all its targets and should be considered a step forward towards improving the overall security environment. This will also have far-reaching impact on the fight against terrorism. You are fully aware that Pakistan is at the forefront of fighting global terrorism and the operation in the Red Mosque clearly demonstrates Pakistan’s firm commitment in fighting terrorism, the letter mentioned. On behalf of the latest assassination attempt on President Musharraf’s life, it appears that S&P’s view is based on press reports. This is factually incorrect and no assassination attempt has been made on the life of the president. Print and electronic media have misreported which have influenced S&P’s thinking as well, it clarified.

http://www.dailytimes.com.pk/default.asp?page=2007\07\15\story_15-7-2007_pg5_4

 

[Neo]

Pakistan falls 3% short of rice export target​

KARACHI: Pakistan fell short to achieve the rice export target for the fiscal year 2006-07 due to the low production and non-availability of surplus quantity for exports.

The export target for 2006-07 was fixed at $1.27 billion but only $1.2 billion was achieved reflecting a loss of $7 million. While the export target for 2005-06 was $1 billion and $1.5 billion was achieved, resulting in an increase of $5 million.

During the fiscal year 2006-07 the export of rice went down by 4,00,000 tonnes in terms of quantity and 3 percent value wise, Chairman of the Rice Exporters Association of Pakistan (REAP) Aziz Maniya said. Mr Maniya said that the next rice export fiscal year target would be easily achieved if the weather and water supply conditions remain feasible.

In the last fiscal year around 2.3 million tonnes of rice was exported. The short crop is the main reason for not achieving the target, although the exporters have still managed to emerge good results, he added. Mr Mania said it is expected that for this year the government will set a target of $1.35 as compared to $1.27 billion target of 2006-2007.

According to Chairman REAP, this year the average price of basmati is $1,100 per tonne, rising from $650 per ton last year from November 2006. Similarly, IRRI-6 is exported at $300 per tonne which was $215 per tonne at the start of the season,” he added.

This year a large quantity of Basmati rice was exported in UAE and Iran while IRRI-6 was exported in African countries, as exports this year have increased to Iran, both through formal and informal channels, he added.

This year a six percent shortage has been recorded in rice production globally. Since November 2006, the international prices of Basmati rice have surged by 35 to 40 percent due to crop shortage in leading rice producing countries. As in this season China, Thailand, Vietnam, India and Sri Lanka have reported crop shortage particularly in coarse rice.

Due to the increase in demand the price is rapidly rising in the international market and Pakistani exporters are exporting those stocks as well that should have been sold locally that is why the local prices are rising.

Previously price of Super Basmati was Rs 40 per kg, Irri-9 from Rs 25 to Rs 30 and Irri-6 from Rs 18 to Rs 20. Currently Super Basmati is being sold at Rs 65-75 per kg, Irri-9 from Rs 35 to Rs 42 and Irri-6 for Rs 24-30.

In East European region Indian has a very strong hold and to compete them Rice Exporters Association of Pakistan (REAP) has to work hard as in the international market every year demand of Basmati rice is rapidly increasing. Some rice traders dealing in domestic grain market complained that unchecked exports of rice had created shortage in the domestic market, and this had pushed up prices. Currently, all rice exports are handled by the private sector, which exported more than three million tonnes because of lower production in India, Pakistan’s main competitor.

http://www.dailytimes.com.pk/default.asp?page=2007\07\15\story_15-7-2007_pg5_9

 

[Contrarian]

Pakistan economic outlook: Revision in S&P’s rating from ‘positive’ to ‘stable’ challenged​

I didnt know that they had downgraded Pakistan's position in their rating ! When did this happen Neo?

 

[Bushroda]

Pakistan hikes farm loans
The Edmonton Journal, Canada

KARACHI - Pakistan's central bank forecasts farmers will get 19 per cent more loans this year as the government aims to boost agricultural production to accelerate economic expansion.

Farmers will probably get $3.3 billion US in loans in the year that started July 1, the Karachi-based State Bank of Pakistan said Friday in a statement.

Agriculture accounts for about a quarter of Pakistan's economy and employs 45 per cent of the workforce. The farm sector is estimated by the government to have expanded five per cent in the year ended June 30 because of a record wheat harvest.

Pakistan's farm loans exceeded the target for the year ended June 30 as farmers borrowed 22.4 per cent more than the previous 12 months, the central bank said.

Pakistan's economy, which has expanded at an average annual pace of 7.5 per cent over the past four years, is forecast to grow 7.2 per cent in the year that began July 1.

 

[Neo]

I didnt know that they had downgraded Pakistan's position in their rating ! When did this happen Neo?

I'm looking into it Malay. Will come back when I have some answers.

 

[Neo]

Pakistan gets highest record $5.493 bln remittances ​

KARACHI: July 17, 2007: Pakistan received the highest ever amount of more than $5.493 billion as workers' remittances during the last fiscal year 2006-07.

According to the SBP here on Monday, never before in the history of Pakistan, the country received more than $4.6 billion as workers' remittances.

In the recently concluded fiscal year 2006-07, Pakistan received an amount of $5.494 billion as against over $4.600 billion in the year 2005-06, showing an increase of $893.53 million or 19.42 percent.

The amount of $5,493.65 million includes $2.68 million which received through encashment and profit earned on Foreign Exchange Bearer Certificates (FEBCs) and Foreign Currency Bearer Certificates (FCBCs).

During last month (June 2007), Pakistani workers remitted an amount of $505.55 million, up $41.68 million or 9 percent as compared with an amount of $463.87 million sent home in June 2006.

The inflow of remittances in the July 2006 to June 2007 period from USA, Saudi Arabia, UAE, GCC countries (including Bahrain, Kuwait, Qatar and Oman), UK and EU countries amounted to $1,459.64 million, $1,023.56 million, $866.49 million, $757.33 million, $430.04 million and $149 million, respectively as compared to $1,242.49 million, $750.44 million, $716.30 million, $596.46 million, $438.65 million and $119.62 million, respectively in the July 2005 to June 2006 period.

Remittances received from Norway, Switzerland, Australia, Canada, Japan and other countries during the fiscal year 2006-07 amounted to $804.91 million as against $724.07 million in the fiscal year 2005-06, showing a rise of 11.16 percent or $80.84 million.

The monthly average remittances for the period July 2006 - June 2007 comes out to $457.80 million as compared to $383.34 million during the same corresponding period of the last fiscal year, registering an increase of 19.42 percent.

The inflow of remittances into Pakistan from most of the countries of the world increased last month as compared to June, 2006. According to the break up, remittances from USA, Saudi Arabia, UAE, GCC countries (including Bahrain, Kuwait, Qatar and Oman), UK and EU countries amounted to $140.17 million, $96.47 million, $95.39 million, $68.16 million, $37.45 million and $12.47 million, respectively as compared to the corresponding receipts from the respective countries during June 2006, i.e. $123.15 million, $79.51 million, $80.76 million, $59.07 million, $38.65 million and $9.70 million.

Remittances received from Norway, Switzerland, Australia, Canada, Japan and other countries during June, 2007 amounted to $55.33 million as compared to $72.04 million during June, 2006.

Brecorder

 

[Neo]

Link for the article above: http://www.brecorder.com/index.php?id=592810&currPageNo=1&query=&search=&term=&supDate=

 

[Neo]

Any new IPP unlikely due gas unavailability ​

ISLAMABAD (July 17 2007): Pakistan is unlikely to have any new independent power producer (IPP) as the Petroleum Ministry has denied gas availability for gas-fired or dual fuel-based thermal projects in future, sources told Business Recorder here on Monday.

"Petroleum Ministry has reviewed gas availability position in the country and, based on overall projections, it is not possible to provide gas for power projects, in addition to the allocation already made for the current projects," said Director General, Gas, Saeed Ullah Shah, in a letter to the Managing Director of Private Power Infrastructure Board (PPIB).

Sources said that PPIB wanted allocation of gas for power projects of Tecna, an IPP, which intends to set up thermal power plants. Keeping in view the commercial operation date (COD) of planned IPPs, block gas allocation at the PPIB's disposal would be 300 mmcfd in 2007-08, followed by 240 mmcfd in 2008-09, and 180 mmcfd in 2009-10 (whereas gas already allocated to IPPs is estimated at 151 mmcfd in 2007-08), 227 mmcfd in 2008-09 and 152 mmcfd in 2009-10.

The remaining balance would be 179 mmcfd in 2007-08, followed by 13 mmcfd in 2008-09 and 28 mmcfd in 2009-10. The Petroleum Ministry, citing the facts, has conveyed to the PPIB that gas availability is limited for the thermal power projects.

According to information provided by PPIB, it has been noted that up to 51 mmcfd gas in 2008-09 could be provided till October, 2008, which could be further extended if any of the placed IPP did not become operational as per expected COD, sources said.

The Petroleum Ministry further said that 40 mmcfd gas from the block allocation already placed at the disposal of PPIB may be considered for allocation to Tecna by PPIB on nine months basis period up to 2009-10 on the understanding that for the period up to October 2008 or till commissioning of planned IPPs, whichever is later, gas allocation would be only to the extent that remained uncommitted from the block gas allocation placed at the disposal of PPIB, sources added.

They said that the Petroleum Ministry has also set conditions for providing gas to Tecna, according to which the project should be implemented on fast track basis and completed within eight months of signing of the Power Purchase Agreement (PPA), as was decided in the case of Savari. The milestones as laid down for Savari power project would also be prescribed for Tecna, the Petroleum Ministry added.

Gas availability, as indicated for Savari previously could not be reconfirmed as other projects, including Wapda's rental power plants, have already got allocation against the said availability, sources quoted DG, Gas as saying.

"Gas availability to Savari was subject to milestones, to which it had committed and was within a time window. Since it did not meet the milestones, gas is no longer available either for it or any other party including associated technologies proposing to step in their shoes," sources said.

They said that PPIB had asked the Petroleum Ministry to ensure uninterrupted gas supply to independent power producers (IPPs) for 25 years, which is life of a power project, as per power policy 2002. "Petroleum Ministry has been asked not to issue comfort letter to the sponsors until gas is arranged for the complete term of IPPs which is possible after 2010-11," sources said.

PPIB worked out allocation of gas availability on 9-month basis from SNGPL system as 94 mmcfd each for 200 mw dual fuel power project at Balloki, Muridkey, Faisalabad, 450 mw project at Faisalabad and 350-400 mw project at Chichoki Malian.

Sources said that due to restricted gas supply either on 9-month basis (in SNGPL) or 11-month (in SSGC), PPIB was constrained to process dual-fired projects. Gas placed at disposal of PPIB is not only for less than a year basis and for shorter than the proposed terms of projects but also too meagre to squeeze anything for the following projects which are either issued LoI or at advanced stage of issuance of LoI, sources added.

They said that due to non-availability of 200 mmcfd gas, PPIB had to shelve 900 MW (600 MW Hawkes Bay and 300 MW (Gadani) projects in KESC area, where power shortages have reached alarming level.

http://www.brecorder.com/index.php?id=592796&currPageNo=1&query=&search=&term=&supDate=

 

[Neo]

Pakistan, Iran and India agree on gas price formula ​

NEW DELHI (July 17 2007): Iran, Pakistan and India have agreed on a gas 'price formula' on the basis of which Iran will supply gas to Pakistan and India through Iran-Pakistan-India (IPI) gas pipeline project.

The Indian daily, The Asian Age, quoting special representative of the Iranian Minister of Petroleum on IPI and Director of International Affairs in the Petroleum Ministry, Hojatollah Ghanimifard, said that the agreement, on inclusion of a price line in the contract, had been a major achievement in the last round of trilateral negotiations in New Delhi.

The three countries have reached understanding on most of the initially-identified 16 points of difference and only "five to six controversial paragraphs remain to be discussed," the daily quoting the Iranian representative said.

Indian Petroleum Minister Murli Deora is expected to visit Pakistan this month to sort out issues of gas duties between Pakistan and India for finalising the contract, the paper said. The Iranian Representative further said that the agreement on delivery point and the companies who will sign the contract has also been reached.

http://www.brecorder.com/index.php?id=592815&currPageNo=1&query=&search=&term=&supDate=

 

[Neo]

KPT to spend $345 million on deepwater container port project ​

KARACHI (July 17 2007): Karachi Port Trust (KPT) will spend $345 million on its Deep Water Container Port (PDWCP) project at Keamari Groyne, and its construction work would be started in September 2007. Sources in KPT told Business Recorder on Monday that $345 million is the share of KPT in the project which would cost a total of $1087 million.

They said that the remaining amount of $742 million would be invested by other stakeholders from private sector, as the project is based on public-private partnership. KPT, eyeing June 2010 as deadline for completion of the project, would kick start the construction work in September this year, sources said.

"God willing, the construction work would be launched in September this year," KPT sources said. Under PDWCP, KPT would develop ten Deep Draught Berths at Keamari Groyne on long-term basis.

Sources said that the KPT would establish 10 berths with 18 metres depth and 3.75 km of quay wall to handle and cater for the fifth and sixth generations ships. KPT, sources said, had carried out feasibility of the project, which would be completed in different phases.

They said that in the first phase the Trust would build a container terminal, which would have four berths and 1.5 km quay wall. The terminal would be built at a cost of $535 million. The recently acquired state-of-the-art dredger would be used for making new 18 metres deep channel at the new deepwater container port.

http://www.brecorder.com/index.php?id=592843&currPageNo=2&query=&search=&term=&supDate=

 

[Neo]

Commerce may take over Marble City project ​

KARACHI (July 17 2007): Federal Commerce Ministry may take over control of 'Marble City' project in Sindh following concerns of marble exporters over slow pace of development work on the project by Pakistan Stone Development Company (PASDEC), Business Recorder has learnt.

The concern of exporters had emerged as a marble city at Risalpur in NWFP and another at Gadani in Balochistan were already functioning while the work on the marble city project in Sindh was going on, sources said. About two years back, the PASDEC had chalked out a strategy to develop marble and granite industry in the country.

The strategy envisaged enhancing exports of marble products from 35 million dollars to 2.44 billion dollars by 2016. According to that strategy, five marbles cities were to be set up--two in NWFP, two in Sindh and one in Balochistan.

The marble city in Sindh, stretched over 300 acres, would house all kinds of facilities for processing of marble, with state-of-the-art machinery to cut and decrate marble. The marble city would also accommodate marble and granite exporters to promote exports by providing modern technology. However, sources said that the marble city here should be set up at a minimum 1,000 acres land to meet the requirement of marble and granite industry.

http://www.brecorder.com/index.php?id=592858&currPageNo=2&query=&search=&term=&supDate=