status
Punjab and ethnic politics
The construction and consolidation of new ethnic and linguistic 
identities should not be allowed to override centuries of mutual 
coexistence which has been a distinctive feature of this region
By Ali Usman Qasmi  
This article is a journalistic attempt to offer an overview of some of the issues arising from the demands for a division of the province of Punjab. The purpose is to deconstruct the notion of a primordial Punjabi or Seraiki identity and emphasise an instrumentalist approach to the study of their origins. This, I hope, would be taken into consideration by the commission appointed by the National Assembly to submit a report on the division of Punjab into two or three provinces.  

market
Losing textile edge
Power shortages, high inflation and high interest rates have played havoc with the growth of Pakistan’s textile sector
By Alauddin Masood  
While Pakistan was losing to regional competitors, like Bangladesh and India, benefitting from preferential market access to Europe as a least developed country, Bangladesh has emerged as a huge success story whose exports surged to US$24 billion in FY 2012 against US$2 billion in FY 1992. Growing at a heady pace of 13% annually, this is a superb performance by most developing country standards.  

When walls speak
An effective regulatory mechanism is needed to check visual 
pollution caused by wall-chalking and graffiti
|By Dr Noman Ahmed  
The walls of various cities and settlements in the country, particularly Karachi and Lahore along major corridors of movement, are normally used by a wide variety of visible and invisible actors to communicate with the common people on varied frequencies and wavelengths.  

issue
Planet plight 
Urgently needed are informed citizens in all professions everywhere who must act to save the world from adverse climate change
By Dr A. Ercelan and Muhammad Ali Shah  
An immediate global threat of adverse climate change should keep us awake at night. That, sadly, is not happening — dangerous ignorance, denial or pessimistic inaction being not the monopoly of South Asian society and state. Urgently needed are informed citizens in all professions everywhere, who must and can act to change the world.  

The Qazi we knew
Some of the facts about late Qazi Hussain Ahmad that could find no place in many laudatory obituaries
By Shakil Chaudhary  
Qazi Hussain Ahmad’s death on January 6, 2013, produced many laudatory obituaries in Pakistan’s Urdu press. For example, Jang, January 7, described him as a “great mujahid of Islam.” However, the international media did not take much notice of his passing. With the exception of the London-based The Independent newspaper, no international publication printed his obituary. Even The Independent obituary was rather superficial and perfunctory.  

Measles menace
Measles-related deaths in flood affected areas of Sindh call for urgent remedies
By Jan Khaskheli  
It was the last week of November 2012 when reports about the spread of preventable measles in the flood-affected areas of upper Sindh started appearing in the local press. But the authorities concerned did not pay any heed to such reports and take precautionary measures to avoid the deaths of minor children, mostly in the remote villages.  

case
A raw deal
Litigations, law and order and image issues have kept 
foreign direct investment at bay
By Shahzada Irfan Ahmed  
Foreign Direct Investment (FDI) is a major lifeline for countries like Pakistan whose economies are not healthy enough to provide jobs and sustenance to the masses. With law and order and image issues further marring the scenario, attracting FDI becomes next to impossible.  
No doubt the leading business conglomerates of the world are shying from investing here and their representatives are not willing to travel here. In this situation, the local businesses with stakes abroad are thought to be the best bet. Of late, they are being wooed by the government to come to the rescue of the state and help it manage affairs of its assets.  

Missed targets
No tax reform agenda in Pakistan will succeed unless the FBR is made an autonomous body insulated from outside political, financial and administrative pressures
Huzaima Bukhari & Dr. Ikramul Haq  
Like failures on almost all fronts, the present government during the last five years could not collect taxes according to its own estimates. The Federal Board of Revenue (FBR) missed all the assigned targets, failed to reach two trillion’s mark against the actual tax potential of at least Rs8 trillion. The shortfall in the first six months of the current fiscal year is enormous — the FBR collected just Rs840.7 billion, meaning by that for the remaining period, on an average, monthly collection of Rs256.7 billion is required to meet the assigned target of Rs2381 billion, which was reportedly to be revised to Rs2231 billion in the coming days.  

 

 

 

 

 

 

 

status
Punjab and ethnic politics
The construction and consolidation of new ethnic and linguistic 
identities should not be allowed to override centuries of mutual 
coexistence which has been a distinctive feature of this region
By Ali Usman Qasmi

This article is a journalistic attempt to offer an overview of some of the issues arising from the demands for a division of the province of Punjab. The purpose is to deconstruct the notion of a primordial Punjabi or Seraiki identity and emphasise an instrumentalist approach to the study of their origins. This, I hope, would be taken into consideration by the commission appointed by the National Assembly to submit a report on the division of Punjab into two or three provinces.

Etymologically, the word Punjab simply denotes the land of five rivers. Over centuries, Punjab along with the rest of North India was subjected to a series of foreign invasions. The region was not defined along strict ethnic, linguistic or religious lines but on the basis of certain natural features or even more so, on the political control exercised by a particular dynasty at a given time. As historian JS Grewal has shown in his article on the historical boundaries of Punjab, during the reign of Akbar, the term Punjab equated the Suba Lahore which covered parts of the regions of 5 doabs (interfluves). Even during the pinnacle of the so-called sovereign state of Punjab under Ranjit Singh, Punjab did not have any ‘natural boundaries’ with ethnic and linguistic uniformity of its subject population.

It was only during the British period that Punjab emerged as a definite territorial unit — yet ethnically and linguistically diverse — covering a huge area from Himalaya in the North and Northwest, Yumana on East, Arvalli Hills and Thar Desert on South and South West. In 1901, a new province of North West Frontier Province (NWFP) was carved out of Punjab. Some among the British bureaucrats, including officers of the Punjab Commission, sought ‘compensation’ for Punjab’s loss of NWFP by demanding annexation of Sindh as part of the Punjab province.

At the time of partition in 1947, a division along religious lines bifurcated Punjab into West Punjab of Pakistan and East Punjab of India. Since India inherited far larger and unwieldy provincial units than Pakistan, it therefore had to address the concerns of regional nationalists — especially in the South. In the case of East Punjab, the Indian government was confronted not just with an ethnic and linguistic issue but dichotomy around religious lines was also quite pronounced.

The ‘Hindu Punjabis’ did not necessarily define their identity along ethnic but religious lines. They preferred Hindi instead of Punjabi as their mother tongue in the census. For the Sikhs, this amounted to diluting the significance of Punjabi, which they held as sacred because their religious texts were articulated through it. Eventually, after a great deal of protest and conundrum, a tripartite division of East Punjab took effect whereby East Punjab was divided into Himachal Pardesh (formerly hill states of Punjab), Haryana (Hindu majority) and the Punjab. Despite certain reservations (such as contested claims over ownership of Chandigarh and distribution of river waters), Sikhs deemed it quite positive because for the first time the boundaries of a region had been so re-worked that it gave them a province (state) with Sikhs constituting majority (56 per cent).

The saga of the West Punjab has had altogether different trajectory. I personally don’t know of any popular demand for a separate geographical unit on the basis of Seraiki identity during the colonial period or even immediately after independence. It was probably because of the fact that the princely state of Bahawalpur — albeit small and restricted to a few districts of present day South Punjab — existed and enjoyed an autonomous status. But as a result of an unequal distribution of development funds and preferential treatment accorded to central districts of the Punjab, a distinct Seraiki ethnic identity began to emerge in the 1960s. This is not to suggest that there existed a well-defined ‘Punjabi identity’ as such from which Seraiki identity branched off. Nor should Seraiki be dismissed as a dialect of Punjabi.

As it is said, a language is basically a dialect backed by force. In the case of ‘Punjabi’, presumably the majha dialect of central Punjab arrogated itself to the standardised version of the language primarily due to its political, economic and strategic predominance. Punjabi — at best (and not without serious reservations) — can only be used as a generic term into which myriad regional dialects are subsumed. It would not be possible to say which particular dialect is the ‘standard’ dialect from which the rest are ‘mere offshoots’.

The same holds true for Seraiki language/dialect as an insignia of a particular nationalism. Unlike Seraiki language, its corresponding nationalism has quite recent origins but attributed a much longer history dating back to antiquity. As Husain Ahmad Khan’s research reveals, the term ‘Seraiki’ was agreed upon by various intellectuals of the region only in the 1960s in a bid to emphasise the distinct character of Southern Punjab in linguistic, ethnic and historical terms. The term ‘Seraiki’ came to substitute other names by which the local dialects were referred to. These included Deray Wali, Multani, Jatki, Jhangochi, Multani, Riyasti and others. Thus by the 1960s, ‘Seraiki’ was in vogue as a generic term for all these dialects.

The standard Seraiki nationalist narrative underscores the distinctness of the Seraiki region as a cultural and political entity for thousands of years. During ancient as well as medieval times, the region was primarily known by its capital city, Multan. The boundaries of the suba of Multan have changed throughout its history. Like suba Lahore, Multan too was not demarcated along strict ethnic or linguistic lines. It included many parts of upper Sindh for some period. For ultra-nationalist Seraikis, upper Sindh still counts as an extension of the Seraiki area as Seraiki is still a major language in these areas.

It is evident from the brief historical overview furnished above that the idea is not to invest historical antiquity to a monolithic Punjabi or Seraiki identity and its geographical, ethnic and linguistic limits. As pointed out, these areas have had a long history of foreign invasions and influences, fuzzy identities and shifting geographical boundaries. Even separation along the lines of Lahore and Multan suba did not imply a complete communication barrier between the two. If latter-day developments have led to the construction and consolidation of new ethnic and linguistic identities, it should not be allowed to override centuries of mutual coexistence which has been a distinctive feature of this region. It would be an insult to the memory and legacy of people like Sultan Bahu and Baba Farid to brand them as poets of Seraiki or Punjabi language alone.

In short, this constructed nature of ethnic identities need to be taken into consideration while settling down the issue of boundaries of proposed new provinces. In case the present rhetoric of Seraiki nationalism, which amounts to virulent anti-Punjabi hate speech continues, it might have serious repercussions in maintaining peaceful coexistence between diverse ethnic groups in the new province.

 

The writer is author of book “Questioning the Authority of the Past: The Ahl al-Quran Movements in the Punjab”.

caption

Ethnic identities need to be taken into consideration.

 

 

 

market
Losing textile edge
Power shortages, high inflation and high interest rates have played havoc with the growth of Pakistan’s textile sector
By Alauddin Masood

While Pakistan was losing to regional competitors, like Bangladesh and India, benefitting from preferential market access to Europe as a least developed country, Bangladesh has emerged as a huge success story whose exports surged to US$24 billion in FY 2012 against US$2 billion in FY 1992. Growing at a heady pace of 13% annually, this is a superb performance by most developing country standards.

In Bangladesh, the export boom was led by one product group — the readymade garments (RMG) sector. The RMG exports have surged from US$1 billion in FY 1992 to a whopping US$19 billion in FY 2012, accounting for 79% of total goods exports and some 49% of total export earnings of Bangladesh. According to market sources and international bodies, the prospects for Bangladesh to gain further market share in the large global RMG market is bright.

On the other hand, Pakistan is rapidly losing its technological edge in textiles to regional competitors, who continue to invest heavily in upgrading their textile technologies, while Pakistan’s investment in textiles has remained elusive since 2008. After pleas from the textile industry, Pakistan government announced in April 2010, vide Ministry of Textile Industry SRO No. 3 (18) TID/10P-I, to support investment for upgrading textile machinery by picking up to 5% of the bank mark-up on textile machinery loans, but the measure remains to be implemented yet.

According to the International Textile Machinery Federation (ITMF), Pakistan imported over one million spindles in 2005, whereas China imported 7.1 million, India 1.4 million and Bangladesh 0.54 million spindles in the same year. In 2006, China added 6.7 million spindles, India 2.8 million, Pakistan 0.67 million and Bangladesh 0.0.43 million spindles. In 2007, Pakistan did not add even a single spindle; while China, India and Bangladesh added 6 million, 3.74 million and 0.6 million spindles, respectively. However, since 2008 Pakistan has stopped appearing on the ITMF map; whereas China, India and Bangladesh continued to invest in the spinning industry while Turkey and Indonesia emerged as new investors in this field. In 2011, China added 54,800 electronic flat knitting machines, Bangladesh 4475, Hong Kong 2930, Turkey 2150 and Italy 1120 whereas Pakistan did not add even a single electronic flat knitting machine last year.

Furthermore, power shortages, high inflation and high interest rates have played havoc with the growth of Pakistan’s textile sector, impelling all its sub-sectors to operate much below their installed capacity. The APTMA officials lament: “We have orders in hand and the capacity to produce, but energy and power shortages have forced us to operate on the basis of whatever energy and power is made available.” Consequently, Pakistan’s textile exports registered a decline of US$ 1,333 million in the last seven months of FY 2012. If prompt remedial steps are not taken, the decline can increase further.

How ironic, the power crisis is “self-created” because it has largely been caused by corruption, bad governance and meddling into the affairs of power authorities. If we could improve governance, the major problems would be solved automatically, say sources in the Ministry of Water and Power.

Once considered the most vibrant sector of Pakistan, the textile weaving sub-sector is now operating at 60% of its capacity. According to the ITMF, Pakistan had imported shutterless looms from 2005 to 2007 though in much less quantity than China, India or Bangladesh, but import by Pakistan of these looms completely dried-up subsequently. If the machinery import data of ITMF is any indicator, some non-cotton producing countries, like Bangladesh, Indonesia and Turkey, are catching-up fast with Pakistan in the weaving capacity. What to speak of adding new machines, with 40% of the circular and flat knitting machines idle, Pakistani entrepreneurs maintain that they are now fighting for the survival of the textile industry.

Though labour-intensive apparel sub-sector consumed much less power than spinning and weaving, it bore the same brunt of loadshedding as was faced by the large-scale textile industry. Perhaps, the country’s planners, in particular the minions of the Ministry of Textiles, did not realise that the labour-intensive apparel sector is the largest provider of industrial employment in the country. Large-scale unemployment has added to the woes of the people and the country’s poverty profile on the one hand and on the other it has become instrumental in creating law and order situation quite often.

Considered worldwide an important cash crop, cotton has played a significant role in the industrial growth of many countries. According to Australian economist J.A. Schumpeter, England owes its ascendance to a single industry — the textiles. The same can be said of China and the rest of East Asia.

Japan used cheap labour to surpass England to become the leading exporter of cotton garments by 1930. When Washington forced Tokyo to accept ‘voluntary’ quota in 1955, Japanese investors’ instinct to stay in business impelled them to fund garment companies in Hong Kong, Taiwan and South Korea. Japanese intervention in East Asia led to the up-gradation and modernisation of garment industry in the region. In due course, labour-intensive garment factories laid the seeds for broad-based industrialization in East Asia, working spectacularly in China after its opening up in 1980s.

Traditionally, some 60 countries had been exporting garments to the West. After expiry of the quota regime on January 1, 2005, exports of several dozen of them had been witnessing a decline as trade and manufacturing consolidated in nations that excelled in skills, machinery, marketing techniques and the ability to cater to the rapidly changing global market trends and fashions.

Initially, China came on the top in efforts for control over $360 billion textile industry due to high quality of its garments, good managerial skills, state-of-the-art factories and rapid strides in communication. China’s garment industry, which stood at US$ 50 billion in December 2005, annually produced over 40 billion finished garments, roughly four pieces of clothing for every person on the Earth. However, of late, China’s garment industry has been losing orders due to high prices and worldwide demand for cheap clothing. Meanwhile, Bangladesh and India have been striving hard to boost their textile exports.

For Bangladesh, the recent global economic turmoil has proved a boon for its garment industry, which grew rapidly despite recession in some other countries. Following massive diversion of orders from China., Bangladesh’s garment sector has been more than compensated for the initial setback, which had impelled its over 5,000 apparel makers to seek government help when US and European buyers postponed and cut orders in the wake of global financial crisis. But, a massive diversion of orders from China — the world’s largest producer of apparel — has more than compensated Bangladesh for the earlier losses. Now, Bangladesh has become the top choice for producing low-priced basic items like T-shirts, denim pants, sweaters and shirts.

Accounting for 80% of exports and employing 40% of industrial workforce, Bangladesh’s garment sector specialises in low-end clothing and is the impoverished nation’s main industry. Bangladesh has already emerged as the world’s second largest producer of apparel, according to IMF, and it might continue to dominate in the basic apparel sector if it scales up investment in new factories. To reap the bonanza, even some of Pakistan’s textile tycoons have re-located their units to Bangladesh.

Alauddin Masood is a freelance columnist based at Islamabad.

E-mail: alauddinmasood@gmail.com

 

 

 

 

 

When walls speak
An effective regulatory mechanism is needed to check visual 
pollution caused by wall-chalking and graffiti
|By Dr Noman Ahmed

The walls of various cities and settlements in the country, particularly Karachi and Lahore along major corridors of movement, are normally used by a wide variety of visible and invisible actors to communicate with the common people on varied frequencies and wavelengths.

For many decades, the walls depicted the political messages and slogans from stretched spectra of stakeholders. When the press was chained, electronic media coerced to toe the official line, rallies and corner meetings termed next to threatening the “national interest”, and the walls in cities provided the much needed ground for communication. Various parties were able to train sizable number of zealots to brave various kinds of risks to write on the walls. The regime that were in power referred to this act as anti-social or any thing short of sedition!

Apart from the political slogans, the wall surfaces are used for outdoor advertising by unbranded product manufacturers, informal traders and dubious service providers. A cursory look at the walls would reveal the dictum that a sizable population in the city (and else where) is either physically or sexually impotent or needs advice to the same effect. Different types of traditional healers, herbal medicine experts and homeopaths put up serial messages on the walls, balustrades and other visible external surfaces. Keeping abreast with the modern day developments, they now offer packaged advices and products with some unqualified guarantees.

The wall-ads have now become a fairly effective means of advertising. In some cases, explicit references to countless alternative sources of medicine are rendered across the surfaces that do not escape the attention of passers by and motorists. Laboratories, health centres, Acupuncture experts and hakims are the fore runners in this health service drive. By attracting a sizable clientele through such messages and campaigning, few of these unscrupulous entrepreneurs have become millionaires. Not all of their products are fake. Some ‘intelligent’ businessmen import the normal health supplements in the capsule forms from abroad. They remove the labels from the packets and paste their own on the bottles. These products are sold at very high selling prices to those possessing similar degree of ailments. When the luck clicks, the success stories travel far and wide, thus multiplying the clientele to several folds.

A drive along any main thoroughfare in Pakistani cities will inform the incumbent about the countless faith healers, spiritual experts and the like in this category. By posting very attractive messages on the wall with unabated repetition, they gain the attention of innocent pedestrians and passengers. Stressed, dejected, frustrated, depressed and deprived common folks are forced to take notice of luring invitations by this tribe. Those who take these ads more seriously and end up visiting them mostly land in disasters.

The faith healer (amil) is usually surrounded by a large group of accomplices disguised as his avid disciples. These followers help develop an awe which creates an overpowering psychological impact on the new comer. Somehow, he gets so much impressed that he fills the coffers of the gang leader without questioning. Semi-literate women are their best clients. By reading these messages or getting reference from an acquaintance, they do not hesitate to handover their last of assets such as dowry jewellery or retirement benefits of the husband!

Wall chalking is largely an unregulated enterprise. Municipal action is only initiated if any high pitched sectarian or political slogan is written on the walls. The concerned departments only white-wash the walls to efface the message – thus creating room for the others to use it again! According to municipal sources, the private property owners possess greater legal advantage. They can file damage claims/suits in respective courts of law under various statutory provisions of trespassing, damage to the property and similar causes. But knowing too well the manner in which the legal system functions, no one seems to resort to that option.

Focused analysis of the graffiti/wall chalking reveals many aspects. It is done only to flash the inscribed message to the onlookers. Use of black colour is most common which imparts a pathological texture. The urban environment is completely marred by this activity as the aesthetics in our graffiti is non-existing. Due to an overwhelming fear of religious fanatics, the inscriptions are devoid of any figurative art. The tendency to write on every inch of the surface results in a degraded appearance of surfaces. In other words, the wall chalking in Karachi and elsewhere in the country is a cause of increasing visual pollution.

Past trends and current situation reveal many aspects which must be taken into account for developing an effective strategy. One, the legal and statutory structure must be revamped through a consultative process. This may include the political parties at the starting stage and gradually expanding to other stakeholders. A consensus code of conduct must be developed by all the political parties to limit this activity through municipal permission. A political party which does not exercise self-discipline and restraint has no right to encroach upon the properties and domains of law-abiding citizens. Two, a comprehensive survey must be carried out to identify the congregation locations where graffiti may be allowed to take place. An effective regulatory mechanism is needed at the town and union council level. Commercial messages may be charged according to a schedule of rates to make the property benefit from its wall usage pattern. The informal street artists, who develop their skills on a self-taught manner, may be trained to undertake their work efficiently.

And three, strict control must be exercised to curb the graffiti that is ill purposed. No ad of a dubious faith healer or quack must be allowed to appear on the city walls. If the walls of the cities are properly kept, the scale of urban aesthetics can rise exponentially with very little input. The need is that the concerned quarters feel the significance of the issue and act accordingly!

 

 

 

 

issue
Planet plight 
Urgently needed are informed citizens in all professions everywhere who must act to save the world from adverse climate change
By Dr A. Ercelan and Muhammad Ali Shah

An immediate global threat of adverse climate change should keep us awake at night. That, sadly, is not happening — dangerous ignorance, denial or pessimistic inaction being not the monopoly of South Asian society and state. Urgently needed are informed citizens in all professions everywhere, who must and can act to change the world.

A recent monograph (via Routledge by Niko Roorda), Fundamentals of Sustainable Development strives to enable a global perspective for urgent discussions beyond academia. Its particular strength lies in bringing together issues of equity (among people) arising from insufficient recognition of ecology (around the planet) in the economy of growth (as irresponsible profits).

We strongly recommend careful reading — not just by federal and provincial bureaucrats and legislatures but also by organisations of employers and labour. Social activists will find much support for their advocacy agendas for local and provincial public action. Disagreements among the ‘haves and have-nots’ will arise, but it is the book’s strength to provoke informed contestation among those committed to a decent world for our children and their children. If the future does not matter, then human existence is indefensibly parasitical. The book provides a lot of material for even schools with good teachers.

Organised into eight chapters on not just what is but also what should and can be, the book presents numerous case studies across both the ‘developed and developing’ world. Those well-versed or just impatient can jump to the second part where solutions are discussed.

The book arrives at an opportune time for preventing, rather than subsequent mitigation of the inevitable human disasters when nature revolts in response to ecologically predatory behaviour of humans. An obvious example is the downstream Indus delta where upland irrigation from dams, barrages and canals deny fresh water and silt. Drainage from the entire Indus basin into the sea magnifies negative impacts (as witnessed in the LBOD project). One result is decreasing mangrove forests which imperil fisherfolks’ livelihoods and lead to severe destruction by cyclones. Pollution by Karachi’s commerce and industry adds to the degradation of mangroves and declining quality and quantity of marine fish harvests. And, sadly, Islamabad pushes for larger volumes of fish exports.

Both NDMA and PDMA would want to make the book compulsory reading for staff, starting with their leadership (in and out of uniform). Optimistically, the result will be less forced adaption by the poor to the inequity maintained by wealth.

The entire book is useful reading, even in disagreement upon private and public action for promoting equitable responses in ecological responsibility. Deserving special recommendation are entire chapters 1 (Introduction), 6 (Now and Later), and 8 (Sustainable Business, optimistically) along with the following sections from remaining chapters. Section 2.6 summarises consequences for nature of the present world of production and consumption; section 3.5 is a concise bringing together of people, planet and profits; Section 4.8 argues for essential cooperation across society; section 5.5 extends to cooperation in international action for shared responsibility; Section 7.5 deals with political and economic instruments to reverse environmental degradation, though less critically than one would want. Several tables and figures stand out, including Table 3.6 and Figure 3.24 for considering both people and nature as parts of the same ecosystem. Table 6.1 is an overview of ecosystem services; Figures 7.5-6 illustrates feedbacks for climate change; Table 8.4 on required professional competency applies to both bureaucracy and business.

Innovatively promised is a companion website offering additional material and a workbook, at www.routledge.com/cw/roorda. We have no doubt that it will not disappoint.

The author gives less space than deserved for eliminating extreme inequality in use of natural resources. Oddly, we found no substantive discussion of specific social-environmental interactions for women. Consider e.g. the damage to female reproductive systems on picking pesticide-laden cotton, and of those wading into polluted water around Baba and Bhit islands for obtaining mangrove branches as fuel. It is our belief that existing inequity is a major impediment to attaining ecological sustainability.

There is much talk of the disparity between nations but less attention is evident for disparity within countries: among regions and among people. An example is the dumping of waste from KP and Punjab into the Indus river: much of Sindh is adversely affected, especially the uncompensated poor in Badin. With a very unequal distribution of upstream land ownership, it is obvious that it’s the rich who benefit most from such pollution, specially by high subsidy in irrigation and a trivial income tax levy. The nasty LBOD project is an inter-provincial problem, but the recent RBOD project seems to be a devastation entirely created within Sindh. Fisherfolk in Karachi are forced to eat chicken rather than fish because the cost of chicken is kept ‘low’ by using ‘trash’ fish as meal for chicken; and the price of premium fish remains high by subsidising exports. Both encourage depletion of fish stocks.

All readers would gain from a subsequent look at other case materials — especially those from the IUCN and WWF, and also from the more progressive organizations like Sungi (established by the late Omar Asghar Khan) and SDPI (set up by Tariq Banuri). The Pakistan National Conservation Strategy and its subsequent review are also useful reading. Thoughtful readers would benefit much from Rohan D’Souza, specially his recent edited volume of essays from the EPW as Environment, Technology and Development. We also wish to draw attention to unpublished work such as by Mushtaq Gaadi on Chashma and Taunsa irrigation systems, of Mustafa Talpur on the LBOD, and of our revered friend, the late Professor Muhammad Nauman on Chotiari reservoir in addition to the ILO publications on debt bondage in agriculture and industry.

The book provides an opportunity to goad us into getting out of escapism and towards action for ‘our’ problems rather than await solutions by ‘them’. There is real danger of remaining irresponsible in blaming all ills on colonialism. Yes, we inherited the Sukkur Barrage but ‘independent’ Sindh constructed the Kotri barrage?

Careful reflection will yield many questions but without pre-packaged answers. Such as what to do about expanding exports of cotton and textiles, whose production has terrible human (pesticide poisoning of women as pickers, unhealthy work conditions in power looms) and ecological consequences (chemical pollution of soil and water). All of us have the responsibility to strengthen compliance with already strong legislation in the Environmental Protection Act but largely ignored by and repeatedly violated by both federal and provincial governments. In the current era of judicial activism, we should consider serious effort at educating the judiciary as part of the ADB-funded ‘access to justice’.

 

 

 

 

The Qazi we knew
Some of the facts about late Qazi Hussain Ahmad that could find no place in many laudatory obituaries
By Shakil Chaudhary

Qazi Hussain Ahmad’s death on January 6, 2013, produced many laudatory obituaries in Pakistan’s Urdu press. For example, Jang, January 7, described him as a “great mujahid of Islam.” However, the international media did not take much notice of his passing. With the exception of the London-based The Independent newspaper, no international publication printed his obituary. Even The Independent obituary was rather superficial and perfunctory.

It is interesting to note that hardly anybody knew Eqbal Ahmad in Pakistan, but his obituaries were published by The Economist and The Guardian. The Guardian obituary was written by Prof Edward Said (1935-2003). Eqbal died on May 11, 1999, in Islamabad. Urdu newspapers largely ignored his death.

The obituaries did not mention some important facts. These are some of the omitted facts.

Qazi Sahib was named Husain Ahmad after the then president of the Jamiat-i-Ulema-i-Hind (JUH), Maulana Hussain Ahmad Madani, by his father Maulana Qazi Abdur Rabb, who was the JUH’s provincial president. It is a well-known fact that the JUH was opposed to the partition.

Between 1973 and 1977, he toured Afghanistan five times through different channels and it was due to these contacts that Burhanuddin Rabbani, Gulbuddin Hekmatyar, Maulvi Younas Khalis and their associates moved to Pakistan to wage jihad.

Asif Luqman Qazi, Qazi Sahib’s elder son, did his MBA at Boston University. Qazi Sahib did everything possible to facilitate his son’s studies in the United States. He reportedly wrote a letter to the US ambassador in this regard.

Qazi Sahib visited the United States in July 2001. Speaking at the Brookings Institution, he praised the US for being a pluralist society, where he could go to a mosque and freely proselytize. He pointed proudly to his shalwar-kameez, declaring he could dress as he pleased. He remarked that those of his family members who had migrated to the US felt quite at home. It may be added here that his daughter, Khaula Qazi, lives in the United States. Nawa-i-Waqt editorially criticised him for visiting the United States.

In the wake of 9/11 attacks, he wrote a pretty detailed article critical of the Taliban’s governance. It appeared in Nawa-i-Waqt. He attended a reception at the US Embassy and told Ambassador Wendy Chamberlin: “We are not anti-American people.”

He blamed the 9/11 attacks on the Jews. In fact, he was in denial about the existence of al Qaeda. Jasarat (June 15, 2002) quoted him as saying, “al Qaeda does not exist anywhere in the world. It is an American fabrication.” However, he opposed any operation against Bin Laden, saying that 95% of Pakistan people are with him (Jasarat, February 28, 2004). Interestingly, Nawa-i-Waqt (October 13, 2002) quoted Syed Munawar Hasan as saying that the “al Qaeda leaders are our brethren”.

Qazi Sahib was sorely disappointed with the MMA government in the NWFP. Within 18 months of the formation of the MMA government, he told a group of sympathetic journalists in Lahore: “The MMA government had become a huge millstone around our neck. The sooner it is dismissed the better.”

Addressing a rally in Rawalpindi on January 25, 2004, he said that was all right if Dr Qadeer Khan had billions of dollars in his bank accounts. Nawa-i-Wqat published an editorial to offer a ringing endorsement of this statement.

He was a big supporter of the Kargil operation. Nawa-i-Waqt (July 23, 2004) quoted him as saying Kargil operation was undertaken with good intentions. Pakistan should plan another Kargil. There is no need to form a commission to look into this operation.

Despite these omissions, some of the obituaries did contain useful insights. Irfan Siddiqi (Jang, January 8) suggested that after quitting as the Jamaat chief, Qazi Sahib felt hamstrung lest his activities should annoy his successor, Syed Munawar Hasan. (There are reports that once his successor had conveyed a message to him that his continued activism, particularly on the Jamaat platform, would not let him consolidate his position.)

In his column of January 9, Tanveer Qaiser Shahid, resident editor, Express, Islamabad, wrote that Jan Goodwin’s Price of Honor (1994) is a magnificent book. After doing extensive research and spending several months in Pakistan, she had written the feudal lords in Sindh and South Punjab married off their daughters and sisters to the Quran. When I raised this issue with Qazi Sahib, he dismissed this book, saying, “You young journalists quickly believe in the rubbish that anti-Islamic Jewish authors write. What is the compulsion to read such books?”

Hamid Mir (Jang, January 7, 2013) writes that Qazi Sahib and he were in Tehran in April 2001. Gulbuddin Hekmatyar invited them to lunch. Qazi Sahib harshly criticised some of Hekmatyar’s decision. “If Hizb-i-Islami and Jamiat-i-Islami had desisted from fighting each other, the Taliban would not have come into existence,” he said. During the meeting, Qazi Sahib insisted on the talks between the Taliban and the Northern Alliance.

Asadullah Ghalib (Express, January 7) quoted Qazi Sahib as saying that he had tried to convince the Taliban that their opposition to girls’ education and some other unpopular measures had nothing to do with the Sharia. It all stemmed from tribal values.

The writer is author of bilingual book “Handbook of Functional English”. shakil.chaudhary@gmail.com

 

 

 

 

 

 

 

Measles menace
Measles-related deaths in flood affected areas of Sindh call for urgent remedies
By Jan Khaskheli

It was the last week of November 2012 when reports about the spread of preventable measles in the flood-affected areas of upper Sindh started appearing in the local press. But the authorities concerned did not pay any heed to such reports and take precautionary measures to avoid the deaths of minor children, mostly in the remote villages.

A journalists’ team visiting the flood affected areas found that deaths of dozens of children were reported every week from the villages and many more were suffering from the diseases — post-measles complications. Doctors in Shikarpur district, dealing with the patients, said there were 3 to 4 deaths daily. This was enough for the provincial government’s health department to intervene and save the lives of children, who were living in vulnerable situation without proper nutrition and shelter.

According to the Sindh People’s Commission on Disaster Prevention and Management (SPCDPM) the effects of measles in the remote villages of upper Sindh are multiplied because of poor nourishment of children. Sindh Relief Minister Haleem Adil Shaikh has called the measles outbreak a fresh disaster in the flood-affected areas of Sindh as more deaths have been reported now than it was when the flood came in 2012.

“After northern districts like Kashmore, Shikarpur, Jacobabad and Qambar-Shahdadkot, now the people in the worst affected Dadu district are crying for help. After 45 days, the number is said to have doubled — 400 children. The number is soaring,” informed the minister.

Information gathered from the flood-hit areas reveal that the government’s Irrigation Department has failed to drain out the floodwater and standing water is considered the main cause of such diseases among children.

Sharing experiences after visiting the affected areas, Haleem Adil Shaikh pointed out that the number of causalities being pronounced by the government officials is not correct, as the death toll could be more than that. Several villages are still inundated and people do not have access to their villages. Some villagers wade through the 3-4 feet water to reach their homes. They are yet to resume their normal activities.

“I have personally visited the areas in the flood affected districts of Sukkur, Ghotki, Khairpur, Shikarpur, Jacobabad, Kashmor, Kambar and Dadu, where a large number of children are suffering from this epidemic. It is a new disaster, which needs proper and effective action,” he said.

“Irony is that neither the government functionaries are active nor are humanitarian organisations in the field to rescue the children,” he said, adding that this can be gauged from the fact that “one child died in my hands because she reached Basic Health Unit (BHU) at the last moment and could not receive proper treatment”.

There is acute shortage of measles’ vaccines. Certain health officials are administering expired vaccines and nobody is there to take action against them. Doctors running private clinics do not bother to advise the parents to take their children to government hospitals. That is why there is no exact data. Children dying are not registered in any government or private clinics.

There is no awareness among the parents, hence they lose precious time. They cannot take decisions what to do because many villages in different districts are still inundated.

An official of World Health Organisation (WHO), who was reluctant to be quoted, said “In fact, now it has become epidemic and needs time to be controlled. Almost all the children have been vaccinated and those suffering from the problem are being taken care of properly through different teams.”

He said measles vaccines usually are administered to children under nine-month age. The children afflicted with the disease do not need this vaccine rather they should be properly treated to save their lives. The official confirmed the shortage of vaccines, saying vaccines have been brought from other countries to control the disease.

 

 

 

 

case
A raw deal
Litigations, law and order and image issues have kept 
foreign direct investment at bay
By Shahzada Irfan Ahmed

Foreign Direct Investment (FDI) is a major lifeline for countries like Pakistan whose economies are not healthy enough to provide jobs and sustenance to the masses. With law and order and image issues further marring the scenario, attracting FDI becomes next to impossible.

No doubt the leading business conglomerates of the world are shying from investing here and their representatives are not willing to travel here. In this situation, the local businesses with stakes abroad are thought to be the best bet. Of late, they are being wooed by the government to come to the rescue of the state and help it manage affairs of its assets.

Financially not strong enough to fully buy out state enterprises in privatisation deals, these businesses can become partners in projects run on Private Public Partnerships (PPP). A historical analysis of the privatisation process reveals that since 2006, the programme has maintained an extremely slow pace — only a handful of small deals could be carried out with the last one finalised in 2008. The deal was regarding the privatisation of Hazara Phosphate Fertilizers Limited which fetched the government an amount of Rs1.34 billion. The hearing of Pakistan Steel Mills case by the Supreme Court of Pakistan and identification of irregularities in the deal have made the entire privatisation process suspicious.

As a consequence, it seems, the Privatisation of Commission of Pakistan (PCP) has distanced itself even from the term privatisation and is talking about entering into PPPs with interested parties. The organisations up for deals under PPP are The SME Bank Limited, National Power Construction Company (NPCC), Faisalabad Electric Supply Company (FESCO), Peshawar Electric Supply Company (PESCO), Quetta Electric Supply Company (QESCO), Hyderabad  Electric Supply Company (HESCO), Jamshoro Power Company Limited (JPCL), Heavy Electrical Complex (HEC), Pakistan Machine Tool Factory, Pakistan Mineral Development Corporation (PMDC), Morafco Industries (Machinery as is where is basis), Pakistan Railways, PTDC Motels and Restaurants, Utility Store Corporation and Stores, Pakistan Post, Kot Addu Power Company (KAPCO), National Insurance Company (Ex-National Insurance Corporation), Pakistan Reinsurance Company (Ex-Pakistan Insurance Corporation), State Life Insurance Corporation, Printing Corporation of Pakistan Limited, Services International Hotel, Sindh Engineering Limited and Republic Motors Limited.

Ideally, under the proposed deals, the assets remain in the possession of the state-owned entities and the private partners get an opportunity to make profits after investing money and putting the otherwise loss-making assets into productive use. Despite the existing potential in such deals, the developments in this direction are also not satisfactory and there are reasons to it. A few projects finalised in the past have become targets of criticism form different quarters including the employees facing lay-off and resultantly coming under judicial scrutiny as well.

There are other reasons as well that are defined in a paper on “Privatization in Emerging Markets: Pakistan’s Perspective” by Mubbsher Munawar Khan, Assistant Professor, Hailey College of Commerce, University of the Punjab. He writes the highly recommended entities for privatisation are eight public sector entities (PSEs) that are making an annual loss of around Rs200 billion. “Though the present government wants privatisation of these loss-making units on urgent basis, it has not succeeded in convincing all the stake holders like judiciary, cabinet, employees and trade unions of the concerned corporations. Resistance by employees of these corporations is the major hindrance in the process of privatisation.”

The support for involvement of private sector in the affairs of state-owned entities comes from various quarters. For example, the Security and Exchange Commission of Pakistan (SECP) Chairman Muhammad Ali has repeatedly expressed that public sector enterprises should be privatised in order to reduce corruption in the country.

Besides, there have been suggestions about induction of private sector representatives in boards of directors of the administrative and policy-making bodies of these organisations. The reason cited for this suggestion is that it is mainly corruption which has turned several state owned entities like Pakistan International Airlines, WAPDA, Railways and Pakistan Steel Mills into huge loss-making organisations.

Anyhow, stakeholders involved in such deals have termed the doctrine of welfare populism a major factor in the whole process. Their point is that the governments have stayed away from laying off surplus staff from public sector organisations such as PIA just to ward off negative sentiments against their governments. Instead, they regularly give more jobs to their political supporters to inflate their existing vote banks.

Over the years, superior courts have also taken populist measures such as fixing prices of commodities, opposing lay offs, putting deals under scrutiny on complaints of misappropriations etc.

The intentions are right but sometimes the whole process takes so much time that the very purpose of benefiting from the deal is compromised, says a stakeholder in Royal Palm Golf and Country Club (RPGCC) case. As a case in point, this deal can be discussed here. Though the decisions have come in the favour of the parties running its affairs, the time the case has consumed and the hassle they have gone through may turn other away from entering into similar deals, he adds.

Though Pakistan Railways owns prime commercial and agricultural lands worth billions of rupees, it is unable to pay salaries and pensions or run its operations. Besides, it is under a debt well above Rs44 billion and looking towards the government for a financial package to bail it out.

As per details, the RPGCC was completed at a cost of Rs1.5 billion and the consortium consisting of Malaysian & Pakistan companies Maxcorp Husnain Pakistan Limited (MHPL) was required to redesign, develop, finance, operate and manage the Railways’ Golf Club on 140 acres during its 49 years lease term and, thereafter, transfer it back to Pakistan Railways as per the agreement.

In April 2008, the National Assembly constituted a Special Committee to probe the allegations that Pakistan Railways Golf Course was awarded to the bidder at a throw-away price, but the findings were never made public. On the other hand, the Standing Committee of Pakistan Senate also examined the project and declared the project most viable for Pakistan Railways stating:

a. Railways should discontinue the sale of land and should either (a) give the land on rental basis or (b) start joint ventures under public-private partnerships for improvement in the financial and operational condition of Railways.

b. Royal Palm should act in accordance with the terms and conditions of the valid agreement, including the initiation of the construction of the five-star hotel and the payment of outstanding amount to Railways, which is already in financial distress. Railways was instructed to inform the Standing Committee about the progress made in this regard.

In January 2011, Ishaq Khakwani, ex-minister Pakistan Railways, filed a petition in the Supreme Court against the Pakistan Railways Board and others inviting attention about commercialisation of Railways Golf Course as a matter of public interest. The SC has heard the case and reserved the decision and, in a separate suo motu notice, asked the National Accountability Bureau (NAB) to probe this project. Earlier, a case filed by the petitioner was heard by Justice Khalil-ur-Rehman Ramday of the Lahore High Court and the decision came in favour of RPGCC.

An inquiry/investigation was conducted by the NAB from November 2011 to September 2012 and a report was filed with the Supreme Court of Pakistan in which the NAB has not found any irregularity or misappropriation on the part of the developer/private sector and has recommended to continue the project with revised and improved commercial/financial terms between the developers and Pakistan Railways.

caption

Needs money to stay on track.

 

 

 

 

Missed targets
No tax reform agenda in Pakistan will succeed unless the FBR is made an autonomous body insulated from outside political, financial and administrative pressures
Huzaima Bukhari & Dr. Ikramul Haq

Like failures on almost all fronts, the present government during the last five years could not collect taxes according to its own estimates. The Federal Board of Revenue (FBR) missed all the assigned targets, failed to reach two trillion’s mark against the actual tax potential of at least Rs8 trillion. The shortfall in the first six months of the current fiscal year is enormous — the FBR collected just Rs840.7 billion, meaning by that for the remaining period, on an average, monthly collection of Rs256.7 billion is required to meet the assigned target of Rs2381 billion, which was reportedly to be revised to Rs2231 billion in the coming days.

Every December, thousands of companies file returns and pay huge amounts (not by any effort of the FBR field formations) — the collection for December 2012, provisionally declared at Rs210.7 billion, fell short of target. It poses a challenge to the FBR — if during the next six months, no significant demand is created or amnesty scheme is not approved, revenue shortfall will further increase.

According to latest estimates of the International Monetary Fund (IMF), Pakistan is unlikely to achieve budgetary targets of revenue collection and gross domestic product (GDP) growth for the current fiscal year. The IMF says revenue will be short by Rs150 billion and consequently budget deficit target of 4.7 per cent could not be achieved. The IMF has conveyed to the FBR that it may not achieve even the downward revised revenue collection target of Rs2231 billion during 2012-13.

The tax authorities have recently briefed the IMF mission about the revenue collection position up to July-January 2012-13 and measures to achieve target including Investment Tax Scheme (ITS) and Tax Registration Enforcement Initiative (TREI). The FBR officials informed the IMF that the tax machinery had collected around Rs915 billion till January 9, 2013 and expressed optimism that they would achieve Rs2231 billion revised revenue collection target for current fiscal year. They also briefed the team about the tax amnesty scheme which they said “is expected to be approved by the Parliament in the upcoming session and likely to mobilise additional revenue of Rs115-150 billion”.

The FBR is trying its best to achieve collection target fixed at the time of budget 2012-13 and its main hope hinges on enforcement of tax registration and investment schemes. The passage of these schemes by the National Assembly is being resisted by the opposition and even by the coalition partners. According to reports, the FBR has planned an alternate strategy to meet the targets in case approval is delayed or declined by the legislators. This strategy includes issuance of notices to those wealthy who never bothered to file tax returns or even obtain National Tax Numbers (NTNs). Let us hope that the Assembly disapproves the amnesty schemes — though it is highly improbable — and the FBR for the first time in history does for what it is paid for by the honest taxpayers.

In November 2012, the FBR finalised a 3-Year Tax Strategic Plan containing lucrative incentives like slashing sales tax rate from 16 to 10 per cent, corporate income tax from 35% to 30% and substantial reduction in tax rates for individuals “provided the tax-base expands to at least 4 million people through proposed amnesty schemes”. This plan was discussed with the IMF mission, which reportedly found it impractical, overambitious and based on mere assumptions.

The FBR is, however, confident that under the 3-Year Strategic Plan, it will electronically document personal expenditures of the affluent individuals ensuring proper assessment of income tax. This task was part and parcel of World Bank funded Tax Administration Reforms Programme (TARP), a five-year long US$110 million project, which was extended for another year on the request of the FBR. In 2013, the FBR is again asking for three years to complete this task! It is imperative to ask the FBR that after wasting huge funds and six years; is it justified to still express inability to issue electronic notices to tax delinquents.

The 3-Year Strategic Plan talks about: (a) major steps in countering bogus sales tax refunds and input tax adjustments with the help of risk-based system, (b) controlling inadmissible input tax adjustments through effective checking of sales tax invoices and purchases made within the supply chain of Value Added Tax (VAT), (c) enforcing monthly filing of sales tax and federal excise returns by improving the existing system, (d) checking of fake and flying invoices with the help of electronic verification system to plug in the loopholes within the VAT regime, (e) improving customs controls by posting new force of efficient staff at borders, pickets and check points and (g) increasing tax-to-GDP ratio substantially.

There is a consensus that in order to overcome its fiscal and economic woes, Pakistan needs to strive hard to achieve a reasonable tax-to-GDP ratio between 15 to 20 per cent — it is presently only 9.1 per cent, which is one of the lowest in the world. The FBR has failed to improve tax-to-GDP ratio despite getting huge funds and best local and international consultancy under TARP and now wants to waste more money under 3-Year Strategic Plan. Even for promoting the proposed amnesty schemes, at the time of seeking approval from the Cabinet, it conveyed that 5% of the tax revenue would be expended on publicity and advertisements and 1.5% of the revenue receipts would be the share of National Database Registration Authority (NADRA). This is the mindset of apex revenue authority that is required under the law to enforce tax obligations. Behind the present pathetic situation on taxation front the main culprit is FBR — an organisation suffering from in-fighting, inefficiency, incompetence and corruption.

No tax reform agenda in Pakistan will succeed unless the FBR is made an autonomous body insulated from outside political, financial and administrative pressures. Parliament should devise, through a democratic process, a rational and consensual tax policy after taking input from all the stakeholders and experts in the field. This alone can help in broadening the tax base and improving tax-to-GDP ratio in the country to a respectable level — India and Iran have achieved the level of 17% and 16% respectively by adopting the same measures in recent times. Simultaneously, law should be passed requiring the FBR to publish directory of taxpayers every year so it can be seen how much tax is paid by high-ranking civil-military officials, judges, politicians, public office holders, rich professionals and businessmen and how much wealth is owned by them.

The existing taxes — sales tax at exorbitant rate of 16% to 19.5% with lots of exemptions, excessive withholding taxes, presumptive and minimum taxes and non-collection of agricultural income tax — are unjust, discriminatory and favour the rich. There exists massive evasion of taxes, courtesy unholy alliance between the tax collectors and tax evaders. Existing tax system has failed to create equity and social justice, besides not generating the desired tax-to-GDP ratio. To improve tax-to-GDP ratio, tax gap will have to be bridged — withdrawal of all kinds of exemptions and concessions is a prerequisite to plug revenue leakages and ensure effective enforcement of tax obligations across the board.

The writers, lawyers and authors of many books, are at Adjunct Faculty members at Lahore University of Management Sciences (LUMS).

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