RAWALPINDI:

The Punjab Industrial Estates Development and Management Company has approved the establishment of an industrial estate instead of an economic zone alongside the Rawalpindi Ring Road project. Following formal approval through legislation by the Punjab Assembly, the land acquisition process for the industrial estate is expected to begin.

The 38.6-kilometre-long Rawalpindi Ring Road, stretching from Banth Interchange on GT Road to Thalian Interchange on the motorway, has entered its final phase of completion under a revised PC-I costing Rs51 billion.

The project is expected to be completed by mid-June.

However, construction of the Thalian Interchange – designated as a broad-based interchange – has been delayed. Authorities plan to inaugurate and open the ring road for traffic without waiting for its completion, while the National Highway Authority (NHA) will later complete the connecting route from Thalian to Sangjani.

The business community has long demanded the establishment of an economic zone along both sides of the ring road. Punjab Minister for Industries Chaudhry Shafay Hussain had earlier announced approval for such a project during a visit to the Rawalpindi Chamber of Commerce and Industry.

However, business leaders were informed that the tax exemptions and incentives required for an economic zone could not be granted due to IMF-related policy constraints.

Officials instead proposed the development of an industrial estate, for which land acquisition could proceed under Section 4 after approval from the Punjab Assembly.

Under the proposed plan, land would be acquired and made available to industrial investors at affordable rates to encourage large-scale industrial development in the region.

RCCI President Usman Shaukat confirmed that an industrial estate, instead of an economic zone, was now a realistic option for the Ring Road area.

He said industrialists would be willing to establish industries there if land was provided at reasonable prices.

Four of the five interchanges on the Ring Road – Banth, Chak Beli Khan, Adiala and Chakri – are nearing completion along with the main route, and the project is likely to open for traffic after an inauguration ceremony in mid-June.