This post will help you to find which business is best for your future in Pakistan.
Which Business is Best for Future in Pakistan: Deciding to start your own business can seem like a daunting prospect if you’ve never done it before. Luckily, plenty of other entrepreneurs have done this, and you can benefit from the wisdom they gleaned from their successes and their business mistakes.
Which Business is Best for Future in Pakistan?
This guide on how to start a business, whether it’s your first or your 10th, will help you with everything from finding and validating your money-making idea to figuring out your shipping strategy to finally launching your product or service.
Steel production
Like China, steel production has been booming in Pakistan. A report by Global Trade Atlas shows that Pakistani steel shipments were up 11 percent to 8.1 million metric tons last year, according to the British news site World Steel News. These two countries are expected to be responsible for almost a third of global growth in steel shipments through 2017—about 3 percent annually, according to a Reuters report.
Obviously, there’s some volatility with an emerging market like China, but even if there’s some slowdown in China’s growth it should remain one of the fastest-growing economies worldwide throughout most of its forecasted projection period through 2030 . . . meaning higher demand for raw materials such as iron ore and coal.
Textile manufacturing
In 2015, Pakistani textile exports were valued at about $10 billion and now comprise about 12% of total exports. Much of that value came from cotton-based textiles such as yarn, cloth, and thread. In fact, cotton clothing made up over 70% of all Pakistani textile exports in 2016. Textile manufacturing has historically been one of Pakistan’s strongest industries because it has been able to capitalize on a number of natural resources including low-cost labor and an abundance of cotton.
Over 40% of all raw cotton produced globally originates from India and Pakistan, which gives these two countries a significant advantage when it comes to reaching global consumers looking for affordable goods manufactured using low-cost labor. The industry also benefits from its proximity to major Asian markets like China, Bangladesh, Indonesia, Japan, and South Korea.
The textile industry is expected to continue growing steadily in the coming years due to the rising demand for inexpensive apparel around the world. This growth will be fueled by increasing disposable income levels across Asia Pacific regions and Africa. Furthermore, there are no real barriers or constraints facing Pakistan’s textile industry other than a lack of modern technology and outdated machinery used by most factories today.
Leather tanning
The leather industry has long been a hallmark of Pakistani culture, dating back to when Hindu tanners migrated from India to set up shops in Karachi’s Saddar Bazaar. Traditionally, working tanneries used untreated animal hides and plants native to Pakistan; however, as demand grew exponentially, many of these tanneries moved abroad or began using dangerous chemicals like chromium.
Although these practices are now illegal, many leather products still contain traces of chromium – despite being advertised as vegetable-tanned or eco-friendly. If you want to support local businesses while ensuring a sustainable future for your customers and their families, opting for veggie-tanned leather is an easy choice. It’s also much more durable than its chemical counterparts, making it perfect for bags and accessories that will last a lifetime.
Mineral processing
Mining & mineral processing (Xinhai has considerable experience in) comprises both surface and underground extraction of minerals such as coal, iron ore, copper, tin, tungsten, gold, and diamonds. There are many processes involved in each mine’s lifecycle: these include the construction of access roads; open-pit or strip mining; loading of extracted material onto trucks for transport to a storage area or processing plant.
Crushing of raw ore to reduce its size; separation of various minerals from crushed ore using magnetic separation techniques or froth flotation processes and upgrading through chemical reactions to produce valuable products such as iron and steel. Processing typically includes concentrating ores by removing waste rock; extracting metals.
And other materials with chemicals; dissolving ores with acids to extract metals such as gold, silver, lead, zinc, and copper; electrolysis to recover aluminum from bauxite ore; leaching of sulfide ores with sulfuric acid to dissolve precious metals like gold or silver out of base metal sulfides. All of these steps require large amounts of energy for machinery operation and the refining process itself.
Electronics assembly
Pakistani electronics assembly companies may not always be household names, but you’ve probably used their products before. The country has a strong history of producing electronics goods and services and offers everything from product development to manufacturing capabilities. It’s a large industry that employs hundreds of thousands of workers across hundreds of small- and medium-sized enterprises (SMEs). There are opportunities to work on everything from mobile phones to auto parts and energy-related equipment.
It all depends on your skills, experience, and goals. If you have an entrepreneurial spirit, don’t mind working with your hands, and know how to manage people or lead teams effectively—or would like to learn—electronics assembly may be for you. In fact, if you want to start your own business someday, having prior electronics assembly experience can give you a leg up on other entrepreneurs who haven’t worked in such a specialized field.
You might even consider partnering with someone else who already has a background in electronics assembly. This will help you avoid reinventing the wheel when it comes to building your team and creating a solid foundation for your company.
Logistics industry
Logistics are a critical part of any business, whether it’s retail or manufacturing. Making sure your product reaches your customers on time and in perfect condition is essential. Companies that specialize in logistics make sure orders are packed correctly, shipped efficiently, and arrive at their destinations when they should—even if it means getting there before you know about it.
If you’re already importing and exporting goods, logistic services can help you avoid theft and delays. And if you’re selling products online, logistic services are invaluable to ensure that merchandise arrives at your doorstep quickly and safely. There isn’t just one right answer here—the way to success will depend on what kind of business you want to start up.
Information technology services industry
The IT services industry has had a decent year, although it’s been more of a story of acquisitions than growth. A lot of companies are starting to realize that they need to partner with smaller startups that can help them innovate and become more agile to stay competitive.
The government of Pakistan will also be creating hundreds of thousands of jobs in tech over the next few years through its national digital ID program and related initiatives. It’s going to be very interesting times ahead. I think information technology services are going to have a bright future in Pakistan.
Auto parts industry
According to plans announced by Prime Minister Nawaz Sharif, automobile assembly plants are to be set up at four industrial parks in Faisalabad, Sahiwal, Vehari, and Kamalia. Suzuki Motor Corporation has already begun manufacturing cars from a $200 million plant at a special economic zone outside of Lahore. The Suzuki Motor Corporation project will be expanded soon with a capacity to produce 50,000 vehicles annually after which additional projects are expected.
This investment will provide employment opportunities for 3,000 people directly and another 10,000 indirectly. It is estimated that once all these projects come on stream, exports would go up to $1 billion per year. The auto parts industry offers great potential for foreign investors as well as domestic investors. A huge demand exists in Pakistan for auto parts especially engine parts and transmission parts due to the increasing number of vehicles in circulation.
It also offers good scope for local entrepreneurs who can export auto spare parts or components to neighboring countries such as Afghanistan, Iran, China, etc. Foreign companies can also establish joint ventures with local partners or invest through equity participation schemes offered by the government of Punjab under its Investment-Friendly Policy. These schemes offer very attractive incentives including tax holidays, income tax rebates, etc.
Automobile assembly
The automobile sector is Pakistan’s third-largest industry, accounting for more than a tenth of GDP. With a strong domestic market, local automobile assembly has a bright future. Hyundai Motors assembles vehicles at its plant near Karachi, as does Toyota at a facility located on an industrial estate in Karachi; both plants assemble four-wheel-drive trucks and vans. Other foreign brands also import vehicles to be assembled or localized at local facilities.
Such as Peugeot, Nissan, and Renault—with plans to produce cars locally beginning as early as 2015. With limited international market competition due to high tariffs and tough regulatory requirements, domestic sales are forecasted to rise significantly through 2017.
Also Read: Which is the Best Business in Pakistan?
Conclusion
A lot of people are interested in making money off of starting a business. Of course, there’s nothing wrong with that – it can be one of the best ways to support yourself and your family. However, all businesses are not created equal.
Some businesses grow steadily and slowly; others burn bright and fast, attracting lots of investment capital but struggling to remain profitable long-term. Which type of business will you choose?
The answer may have as much to do with your personality as anything else – but be sure to look at your business realistically before diving in headfirst!
