EDB upgraded to become EDAP

Government has decided to upgrade Engineering Develop-ment Board into Engineering Development Authority of Pakistan (EDAP). Details of the new arrangement are yet to be worked out but a Federal Cabinet Committee in its meeting (November 23) made the decision in view of the new opportunities for engineering sector.

The move will help engineering sector develop on modern lines by expanding its vision and make focused efforts towards earning for Pakistan its rightful place in world market.

According to the briefing given to the Cabinet Committee, Pakistan has much potential for developing its engineering sector to achieve the objective of joining 'the leaders club' in respect of, at least, some engineering goods.

Officials described EDAP as 'a legal institution' with more autonomy than EDB, which had limited focus and little legal authority.

The meeting was chaired by Prime Minister Shaukat Aziz. It also reviewed EDB's to date performance, said an official hand out.

The meeting was informed that Pakistan has a competitive advantage due to availability of skilled labor charging low wages which is one of the factors contributing to low end costs. The immediate target can be inducing world renowned names to outsource part of their production to Pak engineering companies.

Engineering Development Board was founded in mid 1980s. It was the brain child of Engr. Akram Shaikh, current Vice Chairman Planning Commission, then Secretary Ministry of Production. Its objectives then too were to facilitate growth of machinery making in the country.

Though it did some useful things, its pace was rather slow for nearly two decades. It focussed on achieving a high level of 'Pakistanisation' (they call it deletion of imported components/ parts) in the automobile sector. And all credit goes to them for the fact that cars and other vehicles assembled in Pakistan now have nearly 77 % of locally made parts. In tractors this level is past the 90% mark.

However, EDB could have done better. It has not yet included the parts with 'more engineering' (engine blocks, gear boxes and their components) on its menu.

EDB had been looking after other sectors too. But there is little to write home about them.

Its biggest 'failure' pertains to textile mills' machinery. Though textile is the country's biggest industrial sector, use of Pak made machinery is almost non-existent. So much so that it was not even included in the 'Engineering Vision - 2020'. This had surprised Engineer-ing Review.

So we asked, EDB's then chief executive officer 'why not textile machinery?' His response as he touched his ears as a sign of request for being left alone, was something like this 'APTMA giants just wouldn't have tolerated this and would have devoured us alive'.

Then came a big change in mid 2004.

Head of a successful private sector engineering company - Imtiaz Rastgar of Rastgar Industries, Islamabad - was made EDB's captain. His vision and exposure to the world beyond Arabian Sea proved to be a big help not just for EDB but nearly the whole of engineering sector.

Although a non-engineer, Imtiaz Rastgar has been able to give engineering sector a much bolder and bigger vision than ever in the past. This year more Pakistani engineering companies participated in foreign trade fairs than is usual and also won more orders and were exposed to more opportunities (of outsourcing).

Even under Rastgar, there is as yet no news of EDB beginning to explore Pak engineering industry's prospects in textile sector. But one might keep one's fingers crossed in the matter. After all he has just joined as captain.

Rastgar Industries, Islama-bad has been a Mercedes Benz vendor for many years. They are also known for making high quality steel balls used by cement industry.

It was not immediately known as to who will be EDAP's first chief. But it would not be unsafe to bet on Rastgar.