Pakistan-RI holding firm

Pakistan-RI holding firm

KARACHI, Pakistan (Reuter): The state-run Trading Corporation of Pakistan (TCP) said yesterday it was planning to launch a holding company jointly with the Indonesian Chamber of Commerce and Industry to promote trade and investment.

"Today we are going to sign a memorandum of understanding with Indonesia for launching the holding company," TCP chairman Nooruddin Ahmed told reporters.

He said most details were yet to be worked out but the company's base capital would not be less than US$100 million and it would have offices in Jakarta, and the Pakistani cities of Karachi and Lahore.

Ahmed said some of the initial projects the company was likely to take up would include one worth $50 million for a palm oil refinery in Karachi and palm tree plantation in Indonesia.

The plan is to invest $31 million in palm plantation in Indonesia while the refinery in Karachi, with an annual capacity to refine 300,000 tonnes of crude palm oil into refined products, is estimated to cost $19 million, he said.

He said the idea was to grow palm and extract crude palm oil in Indonesia and refine it in Karachi.

Ahmed said other projects proposed included an airline, a shipping company and trade centers in Karachi and Lahore to promote trade between the two countries.