Automark Feburary 2012

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Automark Feburary 2012

Transcript of Automark Feburary 2012

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Pakistan’s premier magazine on automotive, engineering & energy sectorAUTOMARKMonthly

Sub EditorDr. Raja Irfan Sabir

Technical EditorMuhammad Shahzad

Advertising ManagerAbdul Khaliq

Circulation ManagerTahir Siddiqui

Computer OperatorSalman Hanif

Web MasterMustafa Hanif

CONTRIBUTING IN

THIS ISSUEMuhammad Shahzad

Yakoob Gaziani

Ali Hassan

Shahzad Tabish

Omer Rashdi

AdvisorsImtiaz RastgarCEO, Rastgar Group &CBI External Expert,Ex-chairman EDBIslamabad

Abdul Majeed SheikhPresident,AOTS-ABK Dosokai,Karachi Regional Center& Director (MME),NED University,Ex-Sr. Manager Pak SuzukiKarachi

M. Yakoob GazianiCEOLORD Institute of Tech.Karachi

Haider NawabAdvisor Planning &DevelopmentToyota Southern MotorsToyota Defence MotorsKarachi

J. PereiraGeneral ManagerProduct Support DivisionAl-Haj FAW Motors (Pvt) Ltd.Karachi

Engr. IHT FarooquiGeneral Manager PlantKarakoram Motors (Pvt) Ltd.,Karachi

The unjust increase in petroleum productprices almost all the stakeholderdemanded of the government to bringdown the rates immediately as the bulkraise is bound to shatter all segmentsof society including industry and trade.While strongly reacting on this anti-industry and anti-masses decision,government did not bother to pass onthe benefit of decrease of oil prices ininternational market and earned billionof rupees, which was a sheer injusticeand now made a huge raise in thepetroleum prices.There is almost no production in industrialestates due to massive loadsheddingwhile increase in petroleum and dieselprices would give a big blow to theindustry. In current situation theindustrialists, traders and common menare already annoyed due to dozens hourloadshedding while increase in petroleumprices would add fuel to the fire.The recent increase in the prices ofpetroleum products would hit both theIndustrial and Agriculture sectors hardbesides jacking up the rate of inflationin the country.Entire industrial sector was already facingmultiple internal and external challengeswhile the recent increase would furtheraggravate the economic situation.business community had for the lastmany months been calling on theconcerned government circles to takemeasures for the promotion of alternatefuels as trade deficit was fast wideningdue to heavy imports under the head ofpetroleum products but government hasnot taken a single step to this regard.Government should cut down its luxurousexpenditures and curtail taxes and dutieson petroleum.Prime Minister Syed Yousuf Raza Gilanishould withdraw recent increase inpetroleum prices immediately and alsoensure representation of businesscommunity in the bodies like OGRA andNEPRA.

EditorM. Hanif Memon

AutoMark REGD: SC-1330Published every month by M. Hanif MemonPostal AddressActive CommunicationsD-68, Block-9, Clifton,KarachiVisit us: www.automark.pkE-mail: [email protected] [email protected] : 021-32218526 Mobile: 0321-2203815

Business forum urgesgovt to resolveenergy crisis

The views expressed by contributingwriters and comments do not

necessarily reflect the views andpolicies of the Monthly AutoMark

magazine's management.

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Monthly Automark Magazine | February-2012 | Page 11

Transportation and CNG Sector

The government is yet to wake up fullyover the frequent loss of human life dueto blast in CNG cylinder in various publictransport and passenger vans mainly,as assumed and reported in the media.C o n su me r s wa n t mo r e q u i c kimplementation of their efforts since thekilling of 44 deaths in just one monthhas sent shiver through their spinesowing to use of substandard and faultyCNG cy linders or gas leakage.As hardly a month goes withoutwatching the burning of a vehicle inelectronic media caused by gas cylinderblast leav ing no chance for thecommuters to make any escape bid.To show that the government is highlyconcerned over recent deaths of somemany lives, a number of meetings wereheld between the stakeholders of CNGindustry and the government regardingvehicle checking campaign and one ofthe main bodies of CNG industryclaimed that it would set up at least 100vehicle checking points countrywide.The meeting held in second week ofJanuary 2012 between the HydrocarbonDevelopment Institute of Pakistan(HDIP), Oil and Gas RegulatoryAuthority (OGRA) and CNG industryfinalized the changes in OGRA rules forCylinder Fitting location and number ofcylinders. It was decided that HDIPwould start training soon for therecommended staff of the checkingcentres. All Pakistan CNG Association,led by Ghiyas Paracha, would set up 25to 100 kits checking centres county-widewhere diploma holder technicians wouldcheck the kits.Later in third week of January adelegation of All Pakistan CNG

Association met Prime Minister SyedYousuf Raza Gillani. The Delegationbriefed the PM about NGV checkingcampaign, a drive-out plan for CNGcrises and recommendat ion forintroduction of Hydrogen CNG (HCNG).Prime Minister Gillani accepted all theAPC NG A rec ommendations andproposals and issued immediate ordersand directives on some matters. PrimeMinister ordered to start workimmediately for the NGV safety checkingcampaign according to APCNGA plan.In the follow up of above meetings,OGRA has issued a pubic notice in printmedia for the CNG vehicle owners thatonly the effective license holder/CNGstations are authorised to fix CNG kitsand cylinders at their facility orworkshop.

OGRA has strictly asked theCNG stations to ensureprecautionary measuresbefore filling gas in the

vehicles and they should fillthe gas to only HDIP

certified CNG fitted cars.

Customers are asked to get their CNGsystem of their vehicles checked(regarding checking of cylinder, piping,CNG kit and other parts etc) at least onetime a year from the trained peopleposted at the CNG stations.Public transport owners are advised toget their vehicles’ kits and cylinders,valves, fitting, piping etc check up fromauthorised CNG tations/workshops.CNG vehicle owners must ensure thatthe pressure of filling gas at the stationsshould not exceed 200 psi besides theyalso ensure that the life of cylinder fittedin the vehicle is under periodic test lifeof five years. Otherwise consumersshould contact HDIP testing labs in fivemain cities of Pakistan (Karachi, Lahore,Islamabad, Peshawar and Quetta) forrandom checking of life of their cylindersor cylinder testing.From the above efforts, it seems thatonly HDIP is the main source ofchecking of vehicles cylinder and its lifespan in just five major cities of thecountry. How the vehicle owners inother cities of the country will get theirvehicles checked it needs to beelaborated.There are over 3.1 million vehicles thathave so far been converted into CNGwhile some 3,600 CNG stations all overthe country. For a big city like Karachithe HDIP centre for vehicle cylinderchecking and fitness will not be enough.There is a need for at least 10-20 centresunder HDIP.Many people who visited the Karachi’sHDIP testing centre at Korangi said thatthe process to check the vehicle is verylengthy as HDIP officials are giving oneweek time for checking after pulling out

HDIP, OGRA face uphillHDIP, OGRA face uphilltask to check faultytask to check faulty

CNG cylinderCNG cylinderMeanwhile, Most of the Pak Suzuki Motor authorized dealeracross the country has started CNG cylinder testing service incollaboration with HDIP, they will uninstall the cylinder fromthe customers vehicles and get it tested from respected HDIPtesting lab in various cities. If the cylinder passes the test, the

dealer will provide safety approved certificate issued by the HDIP.

Cover Story by Mohammad Owais Khan

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Monthly Automark Magazine | February-2012 | Page 12

Transportation and CNG Sector - Exclusive Article

the c ylinder form the vehic le.Sources said in case many stationowners are given authority to checkvehicles they cannot afford the cost ofequipments used in vehicle testing.There is also a possibility that somestation owners may involve in issuingfake vehicle fitness certificate in view oftime consuming exercise which may pickup pace after media campaign and longqueue may be witnessed at the Korangitesting centre of HDIIP.Many people feel that the whole exerciseof the government aimed at enforcingquick implementation of vehicle testingand then getting fitness certificate isfacing inordinate delay as in view offrequent killing of people due to CNGcylinder blast and this kind of effortneed to pick up pace on a fast track.Due to very limited authorised spot ofvehicle testing and getting fitnesscertificate of HDIP it seems that thiseffort will take years to give the greensignal to over 3.1 million vehiclesrunning on the country’s roads.The federal government should also askthe provincial governments to help thefederal government department (HDIP)in meeting the gigantic task.One good news has appeared in thepress recently regarding statement ofSindh Transport Minister AkhtarJadoon who said that the governmentwas in the process of formulating apolicy to establish standardized CNGinstallation centres in every district ofthe province in order to ensure the safetyof the vehicles using CNG as a cheaperfuel option.He said under the new regulatory policy,all the public transport vehicles wouldbe required to obtain fitness certificatesfor their CNG kits on annual basis. Headded that CNG cylinder should not beinstalled beneath the seats of publictransport vehicles.However, chairman CNG StationOwners Association Malik KhudaBux had been claiming for sometimethat recent fatal explosions in publictransport vehicles were not occurreddue to blast of CNG cylinders and saidexplosions were occurred either in LPG,nitrogen or oxygen cylinders.Meanwhile, Most of the Pak SuzukiMotor authorized dealer across thecountry has started CNG cylinder testingservice in collaboration with HDIP, theywill uninstall the cylinder from thecustomers vehicles and get it tested fromrespected city’s HDIP testing lab and if

the cylinder passes the test, the dealerwill provide safety approved certificateissued by the HDIP.

In case the cylinder is foundfaulty then it will be madeunusable. More than oneauthorised dealer of Suzukiare reported to have nowengaged in providing facilityof cylinder testing and they

are charging Rs 1,500-2,000 depending on

location of the showrooms.They are giving four to 10days time for testing the

cylinders in car models upto 2007-2008. On the otherhand, HDIP is providing this

facility at Rs 500 percylinder.

These authorized showrooms ownershave also extended this facility to otherc ar s owners. I t i s be yond theunderstanding that these authorisedshowrooms, who already chargeexorbitant service and tuning charges,have found a new avenue of makingmoney from the consumers. Currentlymany customers are not aware aboutthe facility available at authorizedshowrooms but after knowing this andgovernment’s strict action in case of noncompliance the rush of customers willintensify which may result in time ofdelivery of cylinder and possible fee hike.

The government’sconcerned departments

have again started meetingwith the CNG industry like

importers andmanufacturer of kits and

car makers but thestakeholders are tight

lipped over the outcome ofthe meetings which means

that some kind of secretunderstanding has been

reached between thegovernment and CNG

industry. However, on the other hand the effortsof the government to introduce LNG inthe country are picking up pace which

also signals a bad omen for the CNGsector.The government is trying to replace CNGas a vehicle fuel with LPG primarily onthe excuse of natural gas shortage forwhich, the industry people believe, anartificial shortage of gas was created inthe winter by releasing natural gas toindustries on a 12 months basis withwhom SNGPL had a nine month supplyagreement.This negative scenario for CNG is beingcreated to promote the interest of LPGlobby without considering the safety oreconomic aspects of LPG as a vehiclefuel. Consumers are not using CNG forits environmental aspects but its cheaprates and better mileage lure thecustomers. LPG, after touching historicpeak recently, is not feasible for thevehicle owners.The government, while aiming topromote LPG and LNG, is ignoring thelivelihood of thousands of peopleassociated with this industry directlyand indirectly coupled with businessinvestment of over Rs 100 billion, Rstwo billion foreign investment, Rs 120billion public investment (2.7 millionvehicles), Rs 240 billion per annumrevenue contribution and Rs 222 billionper annum saving in petrol.At least nine stakeholders (LandirenzoPakistan and Italy, BRC Pakistan

and Italy, Tesla Pakistan, allapproved CNG importers, carmanufacturers especially Pak

Suzuki and Indus Motors, 3,600CNG stations, authorised

conversion centres and 50 localvendor industries).

A CNG kit importer believes that scoresof deaths had occurred because ofcylinder blast in public transport andpassenger vans mainly due to failure ofthe regulations (OGRA and HDIP) whodid not bother to check non standardconversions by road side workshops. Allvehicles blew up due to some spark orsmoking in confined space where naturalgas was leaking due to non standardconversion. None of the accidents wereoccurred due to failure of CNG cylinders.He said there will be no danger if propercomponents and installation proceduresare used.Stakeholders seek immediate lifting ofban on OEM CNG conversion andOGRA must implement its regulatoryframework to improve CNG conversionsthrough licensed and authorisedconversion centres......

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Two Wheeler Industry - Exclusive Article

Monthly Automark Magazine | February-2012 | Page 13

The government departments, eitherover political affiliation or from otherpressure, give extra incentives to thelocal and foreign investors which usuallyremain a secret move. This kind ofhidden support sometimes gets exposedby the media or becomes visible duringcandid discussion with industry’sstakeholders or somet imes thegovernment department (by mistakenly)reveal the t ruth i n it s wri ttencommunication with the stakeholders.This has happened in the case of Yamaha(a leading Japanese bike maker) whowants to re-enter in Pakistan with opensupport of Board of Investment (BoI)and National Tariff Commission (NTC).Any popular government after assumingpower always tries to bring improvementin the country by luring foreign investorsbesides looking forward to see newinvestment by local businessmen but itall depends on political and economiccondit ions of the c ountry. Butgovernment departments break allbarriers of their official mandate andmake efforts for their own interest tofacilitate the new investors.For the past one year, existing bikemakers mainly Honda and thegovernment departments especially theBoard of Investment (BoI) have beenengaged in war of words since aJapanese bike giant Yamaha has shownits intention for investing $150 millionin a new plant in Karachi for making

two wheelers at par with models runningon the roads of various countriesincluding India.

BOI had recently made apresentation in the CabinetCommittee On Investment

(CCOI) meeting and stated thatBoI strongly feels that newinvestment in motorcycle

industry needs to be encouragedthrough reducing the presentprevailing duty to 15 per cent

on CKD parts to five per cent asan incentive for new investmentin Pakistan for five years from

the start of production.A leading Japanese bike maker (Honda),Pakistan Automotive ManufacturersAssociation (PAMA) and vendors havealready locked horns against the BoI

and NTC’s effort to bring newinvestment in bike segment mainly.PAMA has already informed the BoI thatYamaha is not a new entrant becausethey have closed their operations inPakistan in the year 2008 after spending35 years here.NTC held a public hearing on February1, 2012 with the stakeholders withreference to a study aimed at providingprotection to the local industry,including any incentive to new entrantsand to consider request of Yamaha.However, the NTC hearing turnedhostile when stakeholders blamed theCommission for violating its mandateto justify undue favor to one bikeassembler (Yamaha) over 60 bikeassemblers.They said how NTC could do this whenits role is to facilitate the local industrybut the Commission is forcing theexisting players for a complete audit onthe push of foreign player pressure.Officials of NTC admitted during themeeting that the audit of localmotorcycle industry is being done onthe request of Board of Investment (BoI)to facilitate Yamaha.NTC had also asked the participants toprovide details of cost of productionalong with their audited accounts andtariff related problems.Surprisingly, NTC sounds a note ofcaution to the assemblers that in casethe Commission does not receive the

BoI, Yamaha officials absent from February 1 hearing

APMA favors Yamaha’sre-entry while PAMA, Honda,

vendors accuse NTC forviolating its mandate

The government should consider the request of Yamaha on theassurance that it will not go away from Pakistan as it had done

three years back after remaining in the market for over three decades,”chairman (APMA) Sabir Shaikh says.

by Ali Hassan

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Two Wheeler Industry - Exclusive Article

Monthly Automark Magazine | February-2012 | Page 14

data and required information then itwould proceed on the basis of dataavailable to it which may not be in favouror contrary to assemblers` interest.However, chairman of representativebody of Chinese bike assemblers,Association of Pakistan MotorcycleAssemblers (APMA) Mohammad SabirShaikh, who did not attend the meeting,told Automark Magazine that threekinds of stakeholders in two wheelersegment exist in the country.One is dominated by Atlas Honda, themaker of CD-70 bikes and secondly itshuge vendors while third are the Chinesebike assemblers whose voice is usuallynot heard at the capital or in any policymaking due to pressure of a leadingJapanese bike maker.Amid the tussle between Chinese andJapanese assemblers bike, the maker ofYamaha bike wants to take plunge inPakistani market with a renewed vigor,he added.

Sabir claims that what isharm if Yamaha wants to

reinvest in Pakistan with aclaim that it will produce

most modern bikes asbeing produced in other

parts of the world.He said there is no problem if thegovernment allows Yamaha to bring newinvestment and gives incentive to clearthe 100 per cent CKD kits at the rate offive per cent.

“The government shouldconsider the request of

Yamaha on the assurancethat it will not go away from

Pakistan as it had donethree years back after

remaining in the marketfor over three decades,” he

added.He said actually the maker of Honda isbehind in creating a fuss over theYamaha re-entrance as Honda is a mainplayer in the Pakistani market in 70ccsegment. On the other hand, Yamahaintends to introduce new heavier enginecapacity bikes with the fuel efficiency of

70cc bike in view of new enginestandards prevail ing worldwide.Sabir said that the production of 70 ccbikes have been closed down in most ofthe countries as both 50-70cc bikes areconsidered as ladies bike while inPakistan situation is totally reverse asout of 1.6 million bikes sale per annumthe share of 70cc bike is estimated at1.45 million units a year, while 150,000-2 00,000 ar e 100-15 0cc bi kes.He said 70cc bikes are not suitable forheavy weight persons as it createsproblems of backache but in Pakistanthe 70cc bikes sales are going strong.Women are not allowed to ride the bikeotherwise 70cc can prove a goodtransport option for ladies.However, one should also ignore thesharp increase in petroleum productprices especially in the PPP coalitiongovernment in the last four years

coupled with rising cases of bike jack upand snatching on gun point which manytimes took the lives of persons. Whenpeople are losing their life on resistingany bike snatching move then who canassure the safety for women riding abike in a society where street crimes andlaw and order situation are deteriorating.The heavy bikes sales in Pakistan arelaggard as many people do prefer to havebig engine capacity but could notpurchase them due to high petrol pricewhich is almost Rs 100 a litre.

However it is interesting tonote that both BOI and

Yamaha, the maincharacters behind favoringYamaha, stayed away fromthe February 1 hearing as

the Chairman BOI hadproceeded abroad while

representatives fromYamaha also didn’t turn up.According to a print media report,Director General NTC Suhail Ahmedplainly admitted that a new study oftariff evaluation is being conducted bythe Commission on the request of BoIto entertain and accommodate M/sYamaha as a new entrant in the localbike industry.A local vendor questioned the NTCofficials as to how can the Commissioneven initiate to facilitate M/s Yamahawhich is not even a “new entrant”, hesaid adding the NTC Act clearly statesin section 4 that: The function of theCommission shall be to advise theGovernment on tariff measures or otherform of assistance for, providingprotection to the indigenous industry,improving its competitiveness orpromoting exports from Pakistan.Whereas the current move is to supportM/s Yamaha which will not use the localengineering industry for parts and willassemble the categories which localindustry is already producing andlooking for exports market.Razi ur Rahman, General ManagerCorporate Affairs of Atlas HondaLimited, in the meeting, asked the NTCthat it should instead make efforts to

They said how NTC could

do this when its role is to

facilitate the local industrybut the Commission is

forcing the existing players

for a complete audit on thepush of foreign player

pressure.

Officials of NTC admittedduring the meeting that the

audit of local motorcycle

industry is being done onthe request of Board of

Investment (BoI) to

facilitate Yamaha.

In case the government provides any incentive to Yamaha under newentrant policy than the existing Chinese bike makers will close down

their units and re-enter Pakistan with a new name toget the tariff protection.

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Page 7: Automark Feburary 2012

implement the agreed five-year tariffplan under Auto Industry DevelopmentProgram (AIDP) that was submitted tothe Government by the PakistanAutomotive Manufacturers Association(PAMA) and Pakistan Auto Parts andAccessories Manufacturers AssociationPAPAAM before last budget.He added it was an agreed plan betweenthe associ ati ons of local automanufacturers and their vendors whichcovered stakes of almost all the playersincluding keeping consumers’ interestsupreme, but this five year tariff planhas not been implemented yet and theCommission has started another tariffstudy on pressure that is sad indeed.Convenor two-wheeler committee andmanaging committee member PAAPAM

Arshad Ameen Awan said the maker ofYamaha bike in its application to thegovernment had claimed to provide150cc bike at Rs 77,000 or Rs 20,000less than the same models beingproduced by two Japanese bike makersat Rs 9 3,500 and Rs 115,000.He said Yamaha is deceiving theGovernment by claiming itself ‘NewEntrant” status besides seeking cut inimport duty on completely knockeddown (CKD) kits to five from 15 per cent.However, the maker of Yamaha afterremaining in Pakistan market for overthree decades had packed up itsoperation but Dawood Yamaha Limited(DYL) is still producing Yamaha bikesof different categories.By seeking cut in CKD kits, the company

also claims to bear Rs 8,000 loss perbike for at least eight years which issurprising, he added.“In case the government provides anyincentive to Yamaha under new entrantpolicy than the existing Chinese bikemakers will close down their units andre-enter Pakistan with a new name toget the tariff protection,” he feared.He urged the government to avoidcreating a technical f law whoserepercussions would be devastative forthe huge investment of local industryand their vendors. He added that thereis no need to facilitate a re-entrant ratherthan a new entrant as localization ofparts in existing bike has crossed over90 per cent....

Two Wheeler Industry - Exclusive Article

Monthly Automark Magazine | February-2012 | Page 15

A total of 97 auto parts importers havebeen found involved in illegal removalof goods from M/s.Pakistan Shaheen, off Dock ContainerTerminal Karachi by the Model CustomsCollectorate (MCC) of (Appraisement),Customs House, Karachi.The "unscrupulous importers" have beenidentified following scrutiny of relevantdata by the MCC.Omar Shafique, Deputy Collector, MCCof Appraisement in a letter sent to theAdditional Collector - IV, MCC ofAppraisement on December 17, 2011,has requested that all the respectiveexamination and assessment sectionsbe directed to properly scrutinise therelevant import documents and theconsignments imported by any of theseimporters.Further, amendments/cancellations ofthe Goods Declaration and the manifestpertaining to these importers may alsobe intimated to him.A list of the importers has also beenattached.Influential among these importers whoare facing proceedings for their blacklisting are reportedly pressurising thecustoms officers to withdraw the letteragainst them.Sources in Pakistan Customs, however,confirmed that despite pressure the listof 97 suspended importers has beencirculated by higher customs authorities

to in all the relevant sections anddepartments of Pakistan Customs withthe directives for strict compliance.A customs official, on condition ofanonymity said though "Pakistancustoms officials are facing a lot ofpressure from the suspended importersto withdraw the letter against them, afirm stand has been taken by the officialsto curb the illegal activities of mis-declaration and under-invoicing ofimported auto parts." Stakeholders haveappreciated the efforts of PakistanCustoms in not giving up investigations.The official further pointed out that MCCfound major illegal movement of goodsf rom doc ks wi thout any le galdocumentation and procedure such asmis-declaration of weight during theimport of goods from different countries.Stakeholders explained that stealingweight of auto parts cause major dutyreduction by not following SRO 329 andclear goods at their true weight.These consignments are cleared in unitseither or shown less weight of each partat customs to save duty and taxes atactual."Declaring goods specification in wrongway also fall goods in different PTCwhich saves additional duty/anti-dumping duty." This has hit localindustries of auto parts manufacturersbadly as well as caused major revenueloss to national exchequer, they said.

Representatives of Pakistan Associationof Automotive Parts AccessoriesManufacturers (PAAPAM) and PakistanAutomotive Manufacturers Association(P AMA) have already informedconcerned authorities about these illegalactivities of mis-declaration and under-invoicing.These illegal activities were a threat forlocal industry and cause of huge loss ofrevenue to national exchequer.They commended Pakistan Customs''action against a lobby that according tothem is into spoiling local industries andscaring foreign investors.They demanded to penalise all theseimporters involved in illegal activitiesand ban them by their NTN numbersinstead of importer''s name."A strict action is needed against allthese traders involved in illegal activitiesso that they should not be able to registera new company which may cause majordamages to the society and revenue,"they said.They were confident that PakistanCustoms would ensure strict vigilanceto curb these illegal activities onpermanent basis.They also suggested taking on board theassociation of part makers and carp roduc ers who could help thegovernment in scrutinising these culpritsand recover actual duties and taxes fromthem.....

Illegal removal of goods97 auto parts

importers identified by MCC

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Page 8: Automark Feburary 2012

Automotive Sector - Update

Monthly Automark Magazine | February-2012 | Page 16

The production of motorcycles increasedby 10.65 percent during the first fivemonths of the current fiscal year asagainst the same period of last year. Asmany as 692,368 motorcycles wereproduced during July-November (2011-12) as against the production of 625,742units during July-November (2010-11),according to Pakistan Bureau ofStatistics (PBS) figures.The motorcycle production witnessedincrease of 0.77 percent during themonth of November 2011 as comparedto the production of the same month oflast year. Motorcycle production duringNovember 2011 was recorded at 135,302units against the production of 134,266uni ts du ri ng Nove mb er 2 011 .On the other hand the production ofjeeps and cars increased by 8.70 percentduring July-November (2011-12) ascompared to the same period of lastyear. Production of jeeps and cars stoodat 59,588 units during the first fivemonths of the current year as againstthe production of 54,820 units duringthe corresponding period of last year,the data revealed.

The production of jeeps and cars,however, decreased from 10,559 unitsin November 2010 to 10030 units inNovember 2011, showing decline of 5.01percent. The production of lightcommercial vehicles (LCVs) increasedfrom 7,362 units in 2010-11 to 7630units during 2011-12, showing increaseof 3.64 percent.However, during November 2011, theLCVs production decreased by 26.33percent as compared to the same monthof last year. The LCVs production duringNovember 2011 stood at 1,259 unitsagainst the production of 1,709 unitsduring November 2010. On the otherhand, the production of tractors, trucksand buses decreased by 52.90 percent,29.31 percent and 10.68 percent duringJuly-November (2011-12) as against thecorresponding period of last year.During the month of November 2011,the production of tractors, trucks andbusses decreased by 9.40 percent, 6.29percent and 2.04 percent respectivelywhen compared to the production ofNovember 2010, the data revealed....

Motorcycle, car productionincreases

The unabated surge in input costs ofdifferent commodities is mountingpressure on manufacturing sector topush up the prices of their products,auto manufacturers stated.The automobile makers are going toincrease the rates of cars and lightcommercial vehicles due to rising pricesof locally manufactured spare parts,inflated petroleum prices, hike inelectricity tariff and soaring expense onimported CKD kits.As per the figures provided by themanufacturers, a steep hike witnessedin vendors’ cost on producing spareparts by 4.7 percent and more hikes isexpected in the cost after fresh increasein petroleum products prices by Rs5-6per liter on diesel and petrol.The auto manufacturing sector is worsthit by the inflation as it is under pressurefrom foreign currency appreciation,utility prices as well as from the vendors’side who are feeling similar heat.Experts said that the local automobilemakers are likely to pass on the impactof rising cost of production to customerswith surge in the prices of cars and lightcommercial vehicles.aThe petrol and diesel prices wererecently increased by 15.8 percent and8.9 percent per liter in the period Jul-Dec 2011.Similarly, the prices saw increase onvarious raw materials including plastic,paints and light engineering products.The imported CKD parts are up by 3percent in past three month on thedisparity of rupee against US Dollar by2.5 percent and 5 percent on JapaneseYen.Moreover, industry is forced to useexpensive diesel for power generationin the absence of KESC & gas loadshedding. Government has alreadyannounced a 3 percent increase inelectricity tariff in the past couple ofmonths which is adding up to the woesof industry.Automobile makers claimed that theyhave already absorbed the increase inaggregated production cost, thanks tolocalization of automobile sector;otherwise, the cost would have increasedmore on different brands of cars.

Car rates likely togo up as input cost

surges by 4.7pc

The Lahore Chamber of Commerce andIndustry (LCCI) has asked the FederalBoard of Revenue (FBR) to reduce therate of turnover tax on motorcycledealers from one per cent to 0.2 percent.LCCI President Irfan Qaiser Sheikhmade the demand after holding ameeting with a five-member delegationof the Motorcycle Dealers Association.Sheikh said the demand of motorcycledealers was justified as their profit

margin in the context of turnover rangedfrom 0.50% to 1% and normal tax onprofit would in any case be lower than1% of the turnover. But, he added, thedealers were legally bound to pay 1%turnover tax, which was neither prudentnor sustainable.“How can motorcycle dealers survivewhen they give their little profit to theFBR in the shape of turnover tax,” heasked...

RequestRequestMotorcycle dealers demandMotorcycle dealers demand

cut in turnover taxcut in turnover tax

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Page 9: Automark Feburary 2012

Gardner Denver ToExpand CompAir

in Pakistan

Automark Magazine | February-2012 | Page 17

Rastgar & Co. Press Release

Gardner Denver , the giant multinational leader of thecompressor and pump field is committed to continue tosupport sales and service of its CompAir Brand AirCompressors in Pakistan, stated Colin Fountain, ManagingDirector, Gardner Denver FZE, while visiting Karachi today.CompAir continues to be a market leader in the aircompressor market of Pakistan, through its excellent service,spare and support through out Pakistan with thousand ofsatisfied customers across the country and Gardner Denveris set to expand the range of services provided in Pakistan.Gardner Denver, founded in 1859, is a global manufacturerof industrial compressors, blowers, pumps, loading armsand fuel systems. The Company has 40 manufacturingfacilities located in the Americas, EMEA and Asia Pacificwith offices in 36 different countries. 2010 Revenues were$1.9 billion dollars with approximately 66% of that revenuecoming from outside of the United States. The Companybelieves its major products are leaders within the industriesit serves.CompAir is the latest addition to the Gardner Denverportfolio and its highly successful Brand and Product lineis being independently promoted by Gardner Denver withthe association of it local Distributor, Rastgar & Co whohave excelled in customer service and helped their industrialcustomers with reliable compressed air supply at mosteconomical costs.CompAir is a leading global supplier, providing highperformance and low operating cost compressors andancil lar ies for a broad range of app lications.With an extensive network of dedicated sales companiesand distributors across all continents, CompAir offers globalexpertise with a truly local service capability, ensuring ouradvanced technology is backed up with full support.CompAir’s break-through technologies, such as Quantimaand Q-life, are also helping customers achieve sustainabilitytargets, with energy efficient and oil free compressorsoffering lower environmental impact.For a complete range of world class rotary screw, piston,centrifugal and vane compressors, including high-pressure,oil-free and portable models, CompAir has the innovativeanswer to your compressed air and gas needs, today....

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Page 10: Automark Feburary 2012

Two Wheeler Sector - Exclusive Article

Monthly Automark Magazine | February-2012 | Page 18

Like past years ’ practice, somegovernment departments create hurdlesfew months ahead of new budgetannouncement for some industries bysending audit notices for sales tax andincome tax purpose.This kind of exercise undertaken by thegovernment departments are basicallyaimed at putting up extra pressure onthe small industries and trade relatedpeople to grab money otherwise noncooperation with the governmentdepartments may result in harshmeasures like rejecting the businessmenpre-budget proposals and suggestionsand taking measures in the budget thatcould create problems for the wholeyear.On many occasions old cases are openedfor the most vocal chairman andpresident of any association which thegovernment feels that the person hasonly been targeting the government’spolicies in every forum. Sometimes, apowerful lobby or a rival group,influences the government in creatinghurdles for the rival manufacturers ofsame make.Chairman Association of PakistanMotorcycle Assemblers (APMA)Mohammad Sabir Shaikh says thatthe RTO of Federal Board of Revenue(FBR), either on the dictation of aleading bike maker or some other

reasons, has made him the victim byissuing audit notices with reference toincome tax and sales tax.But he claims that some other Chinesebike dealers have also received sales taxaudit notices ahead of new budget.Commissioner Inland Revenue Zone IVRTO Karachi on January 31, 2012 hasissued a notice informing the owner ofSitara Auto Impex (Mohammad SabirShaikh) of selection for audit UnderSection 177 on the Income TaxOrdinance 2001 – Read with Section214C of the Ordinance – Tax Year 2010.Deputy Commissioner Inland RevenueAudit Unit-06 M. Aslam Jamro has beenassigned to conduct the audit and theowner of Sitara Auto Impex has beenasked to co-operate with the concernedofficer for fulfilling the process as earlyas possible.APMA chairman has also received

another notice from the samedepartment for audit Under

Section 25 of the Sales Tax Act1990 and Section 46 of the Federal

Exercise Act 2005 read withSection 72B of the Acts for the

period July 2009 to June 2010.Sabir Shaikh challenges the issuance ofaudit notice for income tax, sales taxand excise by saying that Section 214Cof the Ordinance says that “Selection foraudit by the Board. –(I) The Board mayselect persons or classes of persons foraudit of Income Tax affairs throughcomputer ballot which may be random

or parametric as theBoard may deem fit.”He said the RTO hasnot provided thecopies of computerb a l l ot i n g w h i c hshows the intentionof the RTO f oru n n e c e s s a r yc r o p p i n g u pproblems for bike industries.In another development the Office ofthe Deputy Commissioner InlandRevenue Audit Unit -06 Zone IV RTOhas informed Sabir Shaikh on February6, 2012 that with reference to theselection for the audit of income taxaffairs he was requested to furnish thefollowing details and documents byFebruary 14, 2012.Details of party wise and item wisesale of motor vehicle as per followingformat of different categories motorvehicles besides furnish sales register ofeach category of product sold. Theinformation required are name of buyer,CNIC/NTN and address of buyer, itemsold, price listed, commission amount,mode of payment and date of booking.In another requirement, the departmentseeks details of party wise item and itemwise sale – spare parts of motor vehicleas per format like name of buyer,CNIC/NTN of buyer, item sold, price,commission amount, mode of paymentand date of booking.The third detail pertains to nameof the insurance company andtotal payments received as part ofservices rendered for maintenance ofmotor vehicles for the tax year 2010.The RTO seeks details of party wisepurchase item (item wise) like name ofsupplier, item purchased, quantum ofp ur c hase s, outs tandi ng as o n30.06.2010, payments made, tax

FBR issues IT, ST auditnotices to SME bike

makers, dealersSabir said that not only FBR and RTO, every government departments

like Excise and Taxation, Engineering Development Board (EDB),Pakistan Standard and Quality Control Authority (PSQCA),Trade Marks etc have been on the tail of small bike makers.

M. Sabir ShaikhChairman, APMA

by Ali Hassan

PRE BUDGET PROBLEMS

continued on next page

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Page 11: Automark Feburary 2012

Two Wheeler Sector - Exclusive Article

Monthly Automark Magazine | February-2012 | Page 19

deducted/deposited and outstanding ason 30.06.2010.RTO has asked for de tai ls o fi n v e n t o r y / s t o c k a l o n g w i t hinventory/stock register (motor vehiclesin show room and spare parts item wise).Details are also sought regardingmanufacturing/trading expensesincluding all other operating expensesalong with evidences. Under the seventhrequirement, the manufacturer/dealerwas asked to furnish party wisedetails/evidences of receivables on theformat like (name, NTN and address ofparty, opening balance, debit, credit andclosing balance).The RTO also seeks copy of statementsU/S 149 of the Income Tax Ordinance2001, copy of the audited accounts, Prorata detail of PTR Income and NormalIncome, Details/evidences of additionto fixed assets if any, copies of sales taxreturns for the tax year 2010, copies ofutility bills, copies of bank statements(along with reconciliations and sum ofdebit and credit entries) of all theaccounts maintained, evidences/copiesof c hallan s re gar di ng the taxpaid/deducted and complete books ofaccounts i.e. cash book, bank book,ledger, journal etc.The letter issued by Mohammad AslamJamro warned that “in case of no replyfrom Mr Sabir Shaikh within due datethen appropriate action as per law willbe taken accordingly.”On the above detailed audit notice, SabirShaikh that there are some technicalitieswhich the RTO has ignored beforeissuing such notices. Under Income TaxOrdinance 2001, the Commissionermay, after recording reasons in writingcall for record or documents includingbooks of accounts of the tax payer and,the reason shall be communicated tothe tax payer while calling record ordocuments including books of accountsof the tax payer.Meanwhile the Lahore Chamber ofCommerce and Industry (LCCI) hasasked the Federal Board of Revenue(FBR) to reduce the rate of turnover taxon motorcycle dealers from one per centto 0.2 per cent.LCCI President Irfan Qaiser Sheikh

made the demand after holding ameeting with a five-member delegationof the Motorcycle Dealers Association.Sheikh said the demand of motorcycledealers was justified as their profitmargin in the context of turnover rangedfrom 0.50 to one per cent and normaltax on profit would in any case be lowerthan one per cent of the turnover. But,he added, the dealers were legally boundto pay one per cent turnover tax, whichwas neither prudent nor sustainable.“How can motorcycle dealers survivewhen they give their little profit to theFBR in the shape of turnover tax,” heasked.

Mohammad Sabir Shaikhsaid the government iscreating bottlenecks for

around 40 small andmedium sized units whoseannual production of bikes

is 1,000-1,200 units ascompared to 1,600 bikes

per day production of AtlasHonda. It means that theone day turnover of Hondais equal to annual turnoverof one SME bike maker.

He again blamed a leading bikeas se mb l er for p r e ssu ri n g thegovernment departments to continuecreating problems for the small bikeassemblers at a t ime when thegovernment and stakeholders areworking on new auto policy followingexpiry of Tariff Based System (TBS).When the small bike assemblers becomeengage over lengthy documentation andaudit procedure then they would nothave any extra time to take part in pre-budget deliberations on the auto sector.As a result, the government will make apolicy that will suit the leading and bigassemblers only.Sabir said that not only FBR and RTO,every government departments likeExcise and Taxation, EngineeringDevelopment Board (EDB), Pakistan

Standard and Quality Control Authority(PSQCA), Trade Marks etc have beenon the tail of small bike makers.He said the government is giving a stepmotherly treatment to many assemblerswho have invested in new trade when aleading Japanese bike maker hadalready established as a market leader.He said he had worked as authorizedagents for all major locally producedbrands over the years but later realizedthat rising motorcycle prices weredriving the potential buyers away fromthe market. This in turn was translatinginto decreasing sales and at times thethings were so bad that it was hard evento meet the running expenses — not tomention profitability because dealersusually work strictly on commission onlywhen they sell.This situation made me realize that theprices of locally assembled motorcyclesamidst the protection accorded to it fromimports vide prohibitive duties is theprimarily reason for the downturn. Ia lso reali ze d that under suc hcircumstances the prices would keep onincreasing to have an adverse effect onthe business due to shrinking purchasingpower.He said at that time my aim along withother assemblers was to create a nichefor low cost bikes besides developmentof vending industry and thanks to AlMighty Allah our efforts bore fruits andnow Chinese bikes are running side byside with Japanese brands.He claimed that the fact was we werenot comp et ing with the majormanufacturers who already enjoy a bigchunk of the new motorcycle market.We are rather competing in the usedmotorcycle segment of the market.

He said that on many occasionsthe Karachi and Hyderabad basedassemblers faced much problems

with concerned provincialdepartment but in sharp contrastthe assemblers in Punjab did not

face any big issues with theprovincial departments which we

were unable to understand thedifferent approach of the two

provincial departments.....

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Automotive Sector - Update

Monthly Automark Magazine | February-2012 | Page 20

The efforts of All Pakistan Motor Dealers

Association (APMDA) to push itsproposal for the trade policy 2011-2012asking that up-to 10 years old usedvehicles be allowed for commercial

import, has caused a scare among thelocal domestic auto industry here.Pakistan Automotive Manu-facturersAssociation (PAMA) and PakistanAssociation of Automotive Parts and

Accessories Association (PAPAAM), whostrongly oppose further liberalisation ofthe import of used automobiles fear thatin case government allowed the

proposal, "it could be highly detrimentalfor the local domestic auto industry."According to information available herethe proposal is based on the premisethat locally assembled cars are priced

very high.APMDA's view is that in addition toexisting schemes for the import of usedvehicles like transfer off residence

scheme, gift scheme and baggagescheme, the step of importing 10-yearold cars would be in l ine withgovernment's policy of enhancingdocumentation of the economy.

They are also of the view that the importof used cars would be a ready answer toproviding affordable cars to localconsumers.

They think that this would not onlyprovide an environment of healthycompetition but would also ensure asteady supply of quality and reasonablypriced cars.

PAMA officials had reportedly said thatvested interest groups are behind thedemand for commercial import of usedvehicles and a decision to allow

commercial import of used vehicleswould be fatal for local manufacturers.

PAMA believes that imported used carswould be in such a run down state that

they would soon find their way tojunkyards at the cost of country's secondhighest revenue paying industry, whichis providing direct and indirect jobs to

millions of people.Furthermore, the national exchequerwould also suffer if further age relaxationfor commercial import of used vehiclesis allowed.

As it is, the import of five-year-old carsis already causing embarrassment to thegovernment, which had given this facilityin order to make cheaper-priced cars

available to consumers.Ironically, most of these used cars arepriced at the rates of the brand new carsmanufactured locally.Ground reality is that imported used

cars currently flooding the local markethave extremely high prices compared totheir age.An imported five-year-old Suzuki Alto,

for example, with an engine of 660cc,depending on its condition, is being soldin the local market at Rs 700,000 to Rs750,000, whereas one could buy brandnew locally produced 1000cc Alto at the

same price.The cost of an used Daihatsu Mira 660ccis Rs 700,000, while a brand new SuzukiMehran 800cc is available at Rs

550,000.Similarly, used models of Toyota Vitzand Passo 1000cc, the most importedbrands, cost a little over Rs 1.1 million,while their locally manufactured

corresponding vehicle, Suzuki Cultus1000cc is being sold for Rs 950,000.The same is the case with the imported1300cc Toyota Corolla/Fielder/Probox

and 1800cc Premio that are available inthe market for Rs 1,500,000 and Rs2,500,000, respectively.Vehicles in the same category of 1300ccand 1800cc, produc ed by local

manufacturers like Honda Civic andToyota Corolla/Altis fall in the pricerange of Rs 1,450,000 to Rs 2,100,000.Local auto manufacturers estimate that

import of used cars would causeimmense damage to the local auto

industry and would also result indepletion of valuable foreign exchange

through dumping of junk cars in thecountry.They emphasise that such cars are eitheralmost at the end of their productive life

or are not compatible with Pakistanconditions.Often the odometer of such used cars isreversed, using unscrupulous techniquesto give false impression that the vehicle

has done low mileage.There is also no after sales service andparts support for such vehicles with theresult that the customer suffers.

Local auto industry is agitating against,what it describes "absurd" new demandof the lobby that is pushing for importof 10-year old vehicles as it does notcontribute to jobs or technology transfer

and also evades taxes." This l ob by is misleadin g thegovernment towards falsely believingthat the prices of locally produced cars

are extremely high.The local cars manufacturers havealready provided the government withauthentic data to prove that the pricesof cars produced in Pakistan are in fact

lower than many other countries,including India and Thailand" autoindustry sources said.If the government continues with further

relaxation and allows commercialimport of cars that are up to 10 yearsold, it may lead to closure of local automanufacturing units and loss of jobs formore than two million people in the auto

and allied engineering industries.It would also greatly harm consumersin the long run, as they would end upbuying high priced junk cars with no

spare parts and after sale service supportand hence low life, they said.....

Import of older used cars toImport of older used cars toimperil domestic auto industryimperil domestic auto industry

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Page 14: Automark Feburary 2012

Pak Suzuki Co. Ltd.,Authorized delear list for

Lahore/Islamabad/Rawalpindi

Automotive Dealers - Address

Monthly Automark Magazine | February-2012 | Page 22

M/s. Adil Zaffar Motors10 Km, Main Multan Road,Hanjarawal Opp.Canal View Housing Society,LahoreTel: (042) 35421544, 35430336

M/s. Ali Jan Motors21, Shahrah-e-Fatima Jinnah,LahoreTel: (042) 36304273, 36312832

M/s. Ali Motors26/1, Jail Road,LahoreTel: (042) 37581502, 37530241-3

M/s. Khalid Motors65, Link Ferozepur Road,LahoreTel: (042) 37591572-3

M/s. Mini Motors54, Industrial Area,Gulberg-III,LahoreTel: (042) 35873384, 35873197

M/s. Madni Motors16-B, Jail Road,LahoreTel: (042) 37581300, 37579900

M/s. Madni Motors43-D, Block-N,Industrial Estate,Gulberg-II,LahoreTel: (042) 35757422, 35752008

M/s. Master MotorsStreet No. 12, Iqbal Park,Near Main Gate Defence Society,Lahore Cantt.Tel: (042) 36304293, 36603481-83

M/s. Olympia Motors37-A, Jail Road,LahoreTel: (042) 35875050, 35873030

M/s. Olympia Motors31-D, Gulberg-II,LahoreTel: (042) 37580010, 37570010

M/s. Sethi MotorsShahrah-e-Fatima Jinnah,LahoreTel:(042) 36371564-65, 36303850

M/s. Sethi Motors60/L, Gulberg-III,LahoreTel: (042) 111-161-618

M/s. Suzuki Motor House57, The Mall,LahoreTel: (042) 111-200-900, 37357646

M/s. Suzuki Ravi Motors182 Bund Road,Near (Batti Wala Chowk),LahoreTel: (042) 37708808-9, 37705446

M/s. Suzuki TownshipMain PECO Road,Township,LahoreTel: (042) 35843995–7

M/s. Suzuki Lahore Motors15 Km, Multan Road,LahoreTel: (042) 111-333-789

M/s. Suzuki RaiwindMotors16 Km, Main Raiwind Road,LahoreTel: (042) 35324195-96

M/s. Suzuki Cantt MotorsBedian Road,LahoreTel: (042) 35749815-7

M/s. Azim Motors94-B, Street No. 7,I-10/3,IslamabadTel: 051-4432259,4440303

M/s. Federal MotorsPlot No.8-Khayaban-e-Suharwardhy,Sector G-6-1/1,IslamabadTel: 051-2876306-7, 2874092

M/s. Suzuki IslamabadMotorsPlot No.376,I-9 Industrial Area,IslamabadTel: 051-4434538,4434013

M/s. Central Motors57-A, Bank Road,RawalpindiTel: 051-5519933,5564078

M/s. Chaudhry MotorsH-24, Opp. St. Patrick’s School,Muree Road,Near Liaquat Bagh,RawalpindiTel: 051-4421431,4845853

M/s. Kazmi Corporation147/1, Murree Road,RawalpindiTel: 051-5120609,5568591

M/s. Jan Motors64/13, Bank Road,RawalpindiTel: 051-5567861,5564761

M/s. Suzuki RawalpindiMotorsD-Block, 6th Road,RawalpindiTel: 051-111-222-700

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Automotive Sector - Update

Monthly Automark Magazine | February-2012 | Page 27

HOSPITALS

COMPLAINT

RAILWAYS

BLOOD BANK

COLLEGES / UNIVERSITIES

AIRPORT

Karachi CityEMERGINCY HELP

Bomb Disposal 15- 99212667Fire Brigade 16- 99215007-8Edhi 115_32310066-77Khidmat-e-KhalqFoundation 36333811Red Crescent 35833973Governor’s House 136Chief Minister’s House 99202051Motorway Police 130

Abbasi Shaheed 9260400-09Civil 99215749-99215960Jinnah 99201300-39Nicvd 99201271-6Aga Khan 34930051Tabba 36811841-50

Hussani 32238405-8Fatimid 32225284-32258656Pwa 99215740-32735214

Kesc 118Ptcl 1218Kw&Sb 1339Cdgk 134Sui Gas 1199-99231603

Inquiry 117-99213565-6City Station 99213538Cantt Station 99201118

Flight Inquiry 114PIA Reservation 111786786

Karachi University 9921300-06NED University 99261261-8Fuuast 992157501-3Fast-Nu 111128128-34100541-7Szabist 111922478Iobm 35090961-7Iba 111422422Ivs 35861039-40

Pakistan seems to have embarked on aroad for better environmental standardsas thousands of people and hundreds ofschools were lured to Indus MotorCompany (IMC) and WWF-PakistanNature Carnival 2012 on last week ofJan at P AF Museum, Karac hi.Students from more than 150 schools,colleges and universities participated inthe TSEP-2012 to showcase their greenideas for environmental conservation.The objective of this programme was tofoster a sense of individual responsibilityand accountabil ity in the futuregenerations of Pakistan towards natureconservation.

CEO, IMC Parvez Ghias said that IMCand WWF-Pakistan are committed tocreate awareness about environmentalconservation among youth to safeguardthe rapidly-polluting environment ofthe c ountry so that up cominggenerations could breathe in fresh air."It is heartening and encouraging to seehow these young students and teachersare engaged in environmental educationto promote learning about criticalenvironmental challenges of Pakistan,"said Ghias while delivering his addressas chief guest at the award distributionceremony of the competition....

Environmental conservation'IMC, WWF-Pak committed to

creating awareness'

Indus Motor Company (IMC) onMonday raised prices of Toyota Corollaand Daihatsu cars by Rs. 20,000-Rs.50,000Official spokesperson of IMC, Ali AsgharJamali linked the price hike todevaluation of the rupee against foreigncurrencies mainly the Japanese yenmaking import of kits costlier, besideshaving adverse impact on the cost ofproduction.The prices of Toyota Corolla XLI andGLi models had been raised by Rs.20,000 and that of Toyota Altis andDaihatsu Cuore by Rs. 50,000 and Rs.20,000, respectively.Ali said that the demand of Toyota carsremained brisk as buyers shiftedtowards Corolla owing to closure ofHonda car plant from December 2011till end of February 2012.He said the local car industry was nowhighly worried over the frequentincrease in arrival of used cars and othervehicles. As many as 22,000-23,000used cars and vehicles had landed inJuly-December 2011 as compared to just6,000 overall units in the entire 2010.IMC had raised the prices on December9, 2011 by 1.5 per cent. Pak Suzuki hadlast raised the prices on January 1, 2012by 15,000-25,000 followed by HondaAtlas Cars by Rs20,000-30,000 ondifferent models from January 6, 2012.

It is interesting to note that sales oflocally assembled cars have beenshowing positive trend in the last sixmonths despite sharp increase fuelprices and rising import of used cars.Rising home remittances during theperiod proved as an oxygen for boostingdemand of locally-produced cars.The showrooms are now flooded withused cars and even the prospectivebuyers have developed interest in bigcars like station wagons ranging betweenRs750,000 to over Rs1 million mainlyof Nissan and Toyota.Chief Executive TopLine SecuritiesMohammad Sohail said the sales oflocally-produced cars may register agrowth of at least five to 10 per cent thisyear on the possibility of strong ruralbuying as the government has increasedthe wheat support price to Rs. 1,050from Rs. 950 per 40 kg. Cotton prices,which remained high in the last twoyeas, were now witnessing a downwardtrend.He said there may be stability in overalleconomy as the State Bank hadpredicted GDP growth rate at four percent for the current fiscal year ascompared to 2.5 per cent last year.However, imported cars were likely toarrive in larger numbers this year, headded....

Indus Motors raisesprices by Rs. 50,000

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Page 16: Automark Feburary 2012

Automotive Sector - Update

Monthly Automark Magazine | February-2012 | Page 28

Auto Industry of the country hasdemanded from the government thatsimilar to Auto Industry DevelopmentProgramme (AIDP), which is to expirein June 2012, a new long term consistentpolicy is critical for the industry’s growthto restore investors’ confidence and savethe foreign exchange and earnsubstantial revenues.In a presentation, the auto industry hasstated that the industry is generatingsubstantial government revenuescontributing s ignificantly to thecountry’s gross domestic product (GDP)and saving a huge foreign exchange byimport substitution through localisationof the parts through transfer oftechnology to vendors. A consistent longterm policy for the auto industry willcreate more investment and jobopportunities in the industry whichalready has an investment of over Rs 92billion and giving employment to 0.4million people directly.More importantly, a better policy ismeant for addressing the issues likemost liberalised used cars imports policyin the region, proposal on tariffrationalisation, under invoicing, mis-declaration in auto parts imports andlimited consultation with OriginalEquipment Manufacturers (OEMs) onfree trade agreements, etc, which arebadly hurting the industry.Localisation is the key factor meant forprogress and growth of the nationaleconomy, however, tariff reduction andused car imports are two major issuesof the local manufacturers that must beconsidered prior to formulation of anypolicy.Any reduction in duty structure willma ke l o c a l n a sc e n t i n du st r yuncompetitive, which will lead tocomplete collapse of the industry,therefore, causing more unemployment.

Similarly, the government shouldmonitor the misuse of used car policy.Some changes in the policy is requiredlike registration should remain inimporters’ name for at least 2 years,while the policy should be reverted backto 3 years and 1 percent depreciationwith maximum depreciation cap of 36percent to discourage abuse of the policy.According to some facts in this regard,the used cars importer enjoy 60 percentdepreciation allowance while in Indiathe basic duty on used cars is 100percent with some additional duties andtaxes of 32 percent.“Although there is a very short termbenefit in the imports of used cars inthe country but on the long term basisthis policy is against the national interestand we should understand what nationalinterest in the import of used cars is,”said Munir K Bana, Vice ChairmanPakistan Association of AutomotiveParts and Accessories Manufacturers(PAAPAM).It is pertinent to mention that the usedcars imports are expected to exceed40,000 in 2011-12 that is 25 percent ofthe total industry volume for 2010-11.“The policy of used cars offers very littleemployment opportunities and there isno possibility of technology transfer. Onthe other hand, the local auto industryhad employed over 400,000 and

technology transfer to OEMs, vendorsand dealers,” said a vendor, MuhammadAshraf Shaikh, adding that flight ofcapital from the country is a seriousissue in the import of used cars policymainly at the time when the localcurrency is already under pressure andgovernment earns very little revenue.Shaikh M Aslam, Secretary PAAPAM,while pointing out one very importantfactor said that frequent shift in policieson the part of the government alongwith security risks and high input costshave been conducive for incessantdecline in the Foreign Direct Investment(FDI) in the country.“There is only a short term benefit incar imports and trading with very littleemployment generation, in fact thegovernment will lose millions of rupeesof its revenue and foreign exchange inthe long term in spare parts also as thereare no arrangements for technologytransfer to the local industry,” he added.“This shift in policies related to autosector is evident from the decisions ofECC that has allowed the import of five-year old used cars, allowed depreciationallowance raise from 50 to 60 percent,and considers allowing new entrants onmuch relaxed policy,” said Shaikh.This was also admitted by the Board ofInvestment (BoI), while giving a briefingto the Ec onomic Co-ordinationCommittee (ECC) of the cabinet recentlythat frequent changes in policy arescaring the investors away fromPakistan....

Auto Industry Development Programme

Auto industry seeksAuto industry seeksgovernment assurance ongovernment assurance on

consistent policiesconsistent policiesAIDP to expire in June 2012 industry

believes a new policy is critical for its growth

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Monthly Automark | January-2011 | Page 33

Engineering Industry - New in Brief

The Board of Privatisation Commissionmet under the chairmanship of theFederal Minister for Privatisation Mr.Ghous Bux Khan Mahar discussed thet ime table for C ap ita l MarketTransaction, the Secondary PublicOffering (SPO) of Pakistan PetroleumLimited (PPL) and decided to acceleratethe process. The PC Board was updatedregarding the transaction.A six member Transaction Committee,which is in the process of finalizing theSecondary Public Offering (SPO) ofPakistan Petroleum Limited (PPL) isheaded by a senior PC board memberMr. Iftikhar ul Haq with Mr. MahmoodNawaz Shah, Mr. Farid Malik PC Boardmembers, the FederalSecretariesPetroleum & Natural Resources,Privatisation, Finance, Chairman SECPand MD PPL as its members.The meeting a lso reviewed there commendat ions for the pr e-qualification of the prospective biddersof the Transaction Committee of

National Power Construction Company(NPCC) and pre-qualified five potentialparties for participation in the duediligence/bidding process. A number oftencompanies submitted Expression ofInterest for the transaction at the initialstage.The pre-qualified parties include threeSaudi, one Korean and one Pakistanicompany i.e. Saudi Cable Company,KSA, Mansour Al Mosaid Co, KSA,Durat Al Masana Est. for Trade, KSA,GS Engineering & Construction Corp,Korea and Consortium of FatimaTrading Company (Pvt) Ltd, FatimaSugar & Pakarab Fertilizer, Pakistan.While addressing the meeting Mr.Ghous Bux Khan Mahar FederalMinister for Privatisation directed thePC to exercise utmost transparency atevery phase of the privatisation processof Public Sector Entities for their valueaddition and to associate all stakeholdersfor their complete satisfaction in an openand fair manner....

Saleem H. Mandviwalla, Minister ofState, Chairman, Board of investment,Islamabad proceeded to Japan andwould visit South Korea to step-upefforts to attract foreign investment andto highlight investment opportunitiesavailable in Pakistan.During Saleem H. Mandviwalla’s visit,he has to participate in the meetingsbeen arranged with Japanese companies/ organizations i.e. M/s. Yamaha, Tokyo,M/s. Mtg Marubeni Corporation, Tokyo,M/s. Toyota Motors, Tokyo and Sasaki,Vice president, JICA and will remainwith BOI Trainees officers in JICA,Japan for checking their performanceand presentations at JICA, Office.Moreover, during stay at South Korea,Seoul the MOS / Chairman, BOI willvisit to M/s CRX Solar, M/s POSCOSteel & POSCO (Engineering &Construction company).He also likely to visit M/s K-WaterResources Corporation and M/s LotteeGroup Seoul, Korea to discuss theinvestment opportunities available inPakistan & induced them to make moreand more investment in Pakistan in therelevant sectors...

Mandviwalla visits Japanto attract foreign

investments

PC decides to acceleratePPL SPO process

The Siemens (Pakistan) EngineeringCompany Limited has posted a profit-after-tax of Rs38.45 million for thequarter ended on December 31, 2011,which is 158 percent lower thanRs206.30 earned in the same quarterlast year.This translated into an earning per shareof Rs4.66 against Rs25.02 in 2010,according to the company’s profit andloss accounts available with the KarachiStock Exchange on Tuesday. One of thereasons for drastic decline in the profit-after-tax is 21 percent fall in thecompany’s net sales to Rs3.46 billionfrom Rs4.38 billion in 2010.On the contrary, the cost of sales andservice consumed 89 percent, or Rs3.09billion, of the total sale receipts against83 percent, or Rs3.64 billion, of the totalsales in 2010, according to thecompany’s accounts....

Siemens postsprofit of

Rs38.45 million

Tuwairqi Steel Mills Limited (TSML)and POSCO Engineering inked aMemorandum of Understanding (MoU)to promote local engineering servicesand infrastructure development inPakistan.POSCO Engineering Vice-President LeeGeun Ha and Director Projects TSMLZaigham Adil Rizvi s igned theagreement, which will see the twocompanies work in collaboration on anumber of large-scale engineeringprojects.Geun Ha said, “By signing thisagreement, we are optimistically lookingforward to a collaboration that bearsgreat results. We recognize the potentialof growth in Pakistan and through ourmutual efforts, we will undertakeinfrastructure projects where POSCOwill offer complete technical supervisionand commissioning support.” The MoUsets up an alliance between POSCOEngineering and TSML-Engineering tomeet the requirements of the relevantup coming p rojects in Pakistan.POSCO Engineering will provide thenecessary technical supervision andcommissioning support to TSML.

TSML signs MoUwith POSCO

A seminar organised by the Embassy ofPakistan in Thailand in collaborationwith Board of Investment (BOI),I s l am ab ad t i t l e d " In ve s tme n tOpportunities in Pakistan" and 'BOI Fair2012' held from January 5-20, 2012 atBangkok,Pakistan Ambassador Sohail Mahmoodinformed that infrastructure projects inPakistan worth $4 billion (Bt126.6billion), as well as sectors such as powerplants , food and jewellery, wereattractive for Thai investors, who coulduse the country as a corridor to penetrateSouth Asia and the Middle East.Mahmood said he would like Thaiinvestors to recognise Pakistan as apotential location for expanding theirmarkets.He described Pakistan as the gatewayto the Middle East and South Asiancountries, adding that there are anumber of Thai investors alreadyreaping huge dividends in Pakistan.According to Pakistan's InfrastructureProject Development Facility (IPDF) thecountry invests about $37 billion perannum in new infrastructure.-PR

Seminar on'Investment Opportunities

in Pakistan' heldin Thailand

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Piston Ring! It’s very small part of theengine that fits into the grooves of thepiston in an internal combustion engineor steam engine. It seems a very smallthing but we can not ignore itsimportance in the engine. It has somegreat jobs to do which helps engine toincrease its performance, efficiency anddurability. The principal function of thepiston rings is to form a seal betweenthe combustion chamber and thecrankcase of the engine. The goal is toprevent combustion gases from passinginto the crankcase and oil from passingi nto the c omb ust ion c hamb er.There are various types of ring jointsused in automobile engines. Also it ismade with different materials like castiron, high strength iron, high grade greyiron castings and different coatings. Ituses the latest materials and coatingsavailable to keep pace with the growingtrends in engine technology. It is forresistance to wear and scuffing, andfaster seating. Materials are used forhigh strength and excellent fatigueresistance which allows uniform unitwall pressure and efficient oil andcompression control for longer life.The Piston ring is a split ring that wasinvented by John Ramsbottom whoreported the benefits to the Institutionof Mechanical Engineers in 1854. The

use of piston rings at once significantlyreduced the frictional resistance, theleakage of steam, and the mass of thepiston, leading to significant increasesin power and efficiency and longermaintenance intervals.In the most Automotive engines, pistonhas three rings; the two top rings controlcompression called compression rings.During the compression and powerstrokes, the compression ring seals thecombustion gases and prevents blow-by. The lower ring controls the supplyof oil to the liner which lubricates thepiston skirt and the compression ringscalled oil control rings. The secondcompression ring is also called scraperring because it scraps the oil in the blockcylinder which is supplied by oil ring.In some diesel engines which have agreat deal of high compression, use threecompression rings which can hold thehigh pressure of air during compressingand high combustion at the time ofcombustion.

Function of Piston RingTop Compression Ring

The top compression ring is sited in thefirst ring groove and it has the major

purpose of sealing the combustion gases.It is also the means by which heat is

transferred from the piston to the pistonwalls.

Second Ring The ring provides a dual purpose. Thesecond compression ring assists the topcompression ring in sealing and heattransfer. It is also used in oil control byshearing the layer of oil left by the oilring so the top compression ring hasenough lubrication.

Oil Control RingThe oil control ring controls the oil thatis splashed onto the cylinder walls from

the connecting rodbearing throw-off.The rings scrape thec y l i n d e r w a l l sreturning the scrapedo il ba c k to thecrankcase. Oil controlrings cannot let oilpass between the faceof the ring and the cylinder through thering gap or pass behind the ring.Rings are not a very expensive part, butfitting new ones is usually very costly.This is because to fit them, the mechanicmust essentially take the whole engineapart. Therefore the labor costs are themajor factor. Once going that far, onemight as well correct many otherproblems found inside - so fitting newrings is usually done as part of an entireengine overhauling. During engineassembly, a piston-ring compressor isused to evenly squeeze the rings longenough to slide the piston into thecylinder.Quotation: - Albert EinsteinNot everything that can be counted counts,and not everything that counts can be

counted.

Monthly Automark Magazine | February-2012 | Page 34

Technology - Exclusive ArticleBy Omar Rashdi-Associate EngineerPakistan Motors - Karachi

Piston RingsThere are various types of ring joints used in automobileengines. Also it is made with different materials like cast

iron, high strength iron, high grade grey iron castingsand different coatings. It uses the latest materials and

coatings available to keep pace with the growingtrends in engine technology

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Wind Electricity BasicsSmall wind-electric systems can provideelectricity on remote, off-grid sites, orright in town connected to the utilitygrid (Transmission / Distribution lines).Although wind systems require moremaintenance and need more attentionthan solar-electric or micro-hydro-electric systems, if you invest up frontin good equipment, design, andinstallation, wind-electric systems canmake economic and environmentalsense. They also bring a great deal ofsatisfaction—there’s nothing quite likewatching your wind generator converta summer breeze or a winter storm intoelectrical energy.

How It WorksA wind generator’s rotating bladesconvert the wind’s kinetic energy intorotational momentum in a shaft. Therotating shaft turns an alternator(Electricity generator), which makeselectricity. This electricity istransmitted through wiring down thetower to its end use.The blades use engineered airfoils,matched to the alternator, thatcapture the wind’s energy. Mostmodern wind generators use threeblades, the best compromise betweenthe highest efficiency possible (oneblade) and the balance that comeswith multiple blades. Together, the

blades and the hub they are attached toare termed the rotor, which is thecollector of the system, interceptingwinds that pass by.In most small-scale designs, the rotoris connected directly to the shaft of apermanent magnet alternator, whichcreates voltage with variations, three-phase AC., the varying three-phaseelectricity means that the voltage andfrequency vary continuously with thewind speed. They are not fixed like the50 Hz, 220V AC electricity coming outof common household outlets. Thevarying output is rectified to DC to eithercharge batteries or feed a grid-synchronous inverter. In most designs(up to 15 KW in peak capacity), the rotoris usually connected directly to thealternator, which el iminates theadditional maintenance of gears. Insystems 20 KW and larger, as well assome smaller wind systems, a gearboxis used to increase alternator speed froma slower turning rotor.The blades must turn to face the wind,so a yaw bearing is needed, allowing thewind turbine to track the winds as theyshift direction. The tail directs the rotorinto the wind. Some sort of governingsystem limits the rotor rpm as well asgenerator output to protect the turbinefrom high winds. A shutdownmechanism is also useful to stop themachine when necessary, such as duringan extreme storm, when you do not needthe energy, or when you want to servicethe system.

How Wind Turbines areRated

Wind turbine ratingis a tricky affair.While solar-electricmodule or micro-h y d r o - e l e c t r i cturbine productioncan be predictedfairly realisticallyb as e d o n r at e doutput, this number is very misleadingwith wind turbines. Why? Because ratedoutput is hook to a particular windspeed, and different manufacturers usedifferent wind speeds to determine ratedoutput. Also, the power available in thewind varies with the cube of its speed,so small increases in wind speed resultin large increases in power available tothe rotor. A 10 percent increase in windspeed yields a 33 percent increase inpower available in the wind. Conversely,this means that a turbine rated at 1,000watts at 28 mph might produce only 125watts or less at half that wind speed, 14mph.So what’s a wind turbine buyer to do?Ignore the peak output and the powercurve. Look for the monthly or annualenergy numbers for the turbine,estimated for the average wind speedyou expect or measure at your site. Thesewill be given in KWH per month (ory e ar ) i n t h e m a n uf a c tu r e r ’ sspecifications for each turbine. Energyis what you are after, not peak power!If, for example, you are looking for aturbine that can produce 300 KWH permonth, and you know that you have a10 mph average wind speed at theproposed turbine height, you can shopfor a turbine that is predicted to generate

that much energy in that averagewind speed.If you can not get energy productionestimates from the manufacturer ora turbine owner, look for a differentmanufacture r. Thi s i s b asi cinformation that any manufacturershould supply.A turbine’s revolutions per minute(rpm) at its rated wind speed can giveyou some idea of the relativeaerodynamic sound of the machine.Slower-turning wind turbines tend

Monthly Automark Magazine | February-2012 | Page 36

Alternative Energy - Exclusive Article

Alternate Energy Solution(Wind Turbines Part I)

by Muhammad Yakoob Gaziani

MuhammadYakoob Gaziani

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Page 21: Automark Feburary 2012

to be quieter and last longer. High rpmmachines wear out components, suchas bearings, much faster. In addition,the faster blades move through the air,the greater the possibility that they willwaste some of that energy as sound fromthe blades.

How to Choose a WindTurbine

It ’s a tough job to design andmanufacture a long-lasting, small-scalewind generator. The bottom line: Buy aturbine that has a very good track recordand a good warranty—five years ispreferable, but not always available inthe small wind industry. A warranty isone indication of the manufacturer’sconfidence in their product, and theirintention to stand behind it.Real-world reports from users carry evenmore weight than a warranty, so searchfor people who own the model of turbineyou are considering buying, and get thestraight scoop from them aboutperformance, durability, reliability, andmaintenance issues.Note that a number of the wind turbineslisted here are re lati vely newintroductions with not very muchcustomer run-time in India, Pakistanand Sri Lanka. We recommend that youcontact either your local wind turbineinstaller, or the manufacturers orimporters and find out how many ofthese machines are actually operatingin Pakistan. Then contact the owners,and inquire about their experience andsatisfaction with both the machine andthe manufacturer or i mp or te r.Some manufacturers make only battery-charging machines, and may offer avariety of turbine voltages. Othersproduce machines intended to connectto grid-synchronous inverters withoutbatteries. One machine even includesan inverter integrated with the turbineitself. Make sure you are buying amachine that is appropriate for yourintended use.When you look at prices, keep in mindthat just buying a wind turbine will notget you any wind-generated electricity.You will also need most or all of theassociated components. Also budget forequipment rental, like a backhoe andcrane, conc rete and electricalcomponents, shipping, and sales tax.Unless you do all of the work yourself,also factor in installation labor expenses.These costs can add up significantly, somake sure that you research and

understand al l of the associatedexpenses before committing to apurchase. Many people are quitesurprised to learn that the wind turbinecost can range from only 10 percent toas much as 40 percent of the entire windsystem’s expenses.Small-scale wind energy is not for theh a l f - h e ar te d , u n i n v o l v e d , o runcommitted, and probably not for folkswho never change the oil in theirvehicles. The Pakistan landscape islittered with failed installations: Designsnot fully thought-out or tested, machinesbought because they were cheap, andinstallations that required more timeand money for repairs than they everyielded in electricity generated. Manyof the failures were the result of wishfulthinking and too little research. Thatsaid, there are tens of thousands ofhappy wind-electric system owners.These owners did their homework—purchasing, designing, and installingrugged and well-thought-out systemson adequately sized towers. In addition,they ar e ei ther c ommitte d tomaintaining the systems, or to hiringsomeone to do this regular work.While many first-time wind turbinebuyers may be looking for a bargain,second-time wind turbine buyers areseeking the most rugged machine theycan afford. You can avoid a painful"learning experience? by focusing ondurability, production, warranty, andtrack record, and not on price alone, oron peak output. You do not want todepend on the low bidder for somethingas important to you as your long-termenergy investment.

Wind-Electric SystemTypes

Off-Grid Wind-Electric SystemsOff-grid wind-electric systems arebattery based. People generally choosethese systems because their home orother energy use is not connected to theutility grid, and connection would bee xp en s iv e . O the r s p r e f er t heindependence of off-grid systems, or livewhere utilities and governments makeit difficult to tie a renewable energysystem to the grid. Off-grid systems arelimited in capacity by the size of thegenerating sources (wind turbine, solar-electric array, fuel-fired generator, etc.),the resources available, and the batterybank size. Off-grid homeowners have tolearn to live within the limitations oftheir system capacity.

The following illustration includes theprimary components of any off-gridwind-electric system with batterybackup.

Grid-Tied Wind-Electric Systemwith Battery BackupConnecting a wind-electric system tothe utility grid with battery backup givesyou the best of both worlds. You havethe unlimited capacity of the grid at yourdisposal, and you can send your surpluswind energy to the grid. When the gridis down, you can still use your system,within the limitations of the battery bankand turbine. Wind-electric systems canbe a much better match for utilitybackup than solar-electric systems, sincemany grid outages are caused by highwinds. The drawback is that this is themost expensive type of wind-electricsystem you can install.The following illustration includes theprimary components of any grid-tiedwind-electric system with batterybackup.Battery-less Grid-Tied Wind-Electric SystemConnecting to the grid without batteriesis the most c ost -e ffect ive andenvironmentally friendly way to go. Youeliminate batteries, which are costly,require maintenance, and carry asignificant efficiency penalty. The onlydrawback of battery-less systems is thatwhen the grid is down, your systemshuts down. But in most grid-servicedareas, utility outages are only a few hoursa year—a small inconvenience to endurefor the efficiency, environmentalfriendliness, and thriftiness of thesesystems.Battery-less grid-tie systems may seeincreased performance (sometimesdramatically) from the wind turbinecompared to battery-based systems. Thisis because the inverter’s electronics canmatch the wind’s load more exactly,running the turbine at optimum speed,and extracting the maximum energy.The following illustration includes theprimary components of any battery-lessgrid-t ie d wind-e lectri c system.

Continue in Alternate EnergySolution, Wind Turbines Part II,March 2012 issue….

Monthly Automark Magazine | February-2012 | Page 37

Alternative Energy - Exclusive Article

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Page 22: Automark Feburary 2012

Energy Sector - Exclusive Article

Monthly Automark Magazine | February-2012 | Page 38

A concrete step - Solving Pakistan’sEnergy Crisis with Industries,

Academia Relations

by Asif Masood

The Government of Pakistan hasresolved to invigorate national actiontowards achieving greater energyefficiency in the country to help meetthe challenges of rapid demand growth,improving economic competitivenessand ensuring equitable and affordableenergy access across all consumercategories. Barrier Removal to the Cost-E f f e c t i v e D e v e l o p m e n t a n dImplementation of Energy EfficiencyStandards and Labeling Project (BRESL)is aimed at rapidly accelerating theadoption and implementation of energystandards and labels (ES&L) in Pakistan,and in so doing bring about energysavings of 4800 MW from the use ofenergy efficient appliances/equipment.International experience has shown thata framework for mandatory MinimumEnergy Performance Standards (MEPS)is the key underlying sustained productefficiency improvements over time.In order to overcome this barrier,Institute of Space Technology (IST) tookan initiative to constitute a high forumof Industries & Academia to develop,sy ste mat ic f ramew ork with toimplement mandatory ES&L programsto ensure coherent, coordination andtimely implementation of BRESL projectactivities with appropriate practicalmechanism with monitoring andevaluation procedures, in consonancewith Higher Education Commission

Agenda envisaging rationalizing andintegration of industrial–academialinkage to streaming/integrating energyc o n s e r v a t i o n a n d e f f i c i e n c yenhancement, as the key element fordevelopment of energy sources. For thispurpose a special meeting was arrangedby Institute of Space Technology (IST)with their strategic partners ENERCONand University of Gujrat (UOG).A major activities of BRESL werehighlighted, the project is sponsored byGEF/UNDP with total cost of US$0.65million, target appliances are Fans,Motors, CFLs, Ballasts, Air Conditioners& Refrigerators and the participatingcountri es are P akistan, China,Bangladesh, Indonesia, Thailand &Vietnam. The project objectives are aimto save about 10 % of energy beingpresently consumed by home appliances& to reduce annual growth rate ofgreenhouse gas emissions from thermalpower generation.ENERCON, Ministry of Water & Power,is focused on developing and promotingan energy conservation culture inPakistan in order to provide solution tothe existing energy crisis in the countrybeing the least cost option. Our effortwhile focusing on development andimplementation of energy efficiencystandards and labels aims to strengthenthe existing testing facilities in privatesector for evaluation of energy

performance of homeappliances.It was decisive toplan road map andaction plan for theharmonization andmutual recognitionfor eac h BR ES Lproducts. Special emphasis was givento make strategies to promote ES&Lprogramme, particular attention wassuggested to consider mechanisms thatwill address gaps in the industry andmarket to control on the manufactureand usage of inefficient products. It wasalso determined that Academia alongwith other institutions will establishtesting laboratories to support the ES&LProgramme. Director Institute of SpaceTechnology (IST) announced, that wewould work together to introduce ES&Lregime in Pakistan market and said that“Together with ENERCON & UNDP, wear e making excellent p rogress,identifying opportunities to utilize thestrength of academia-industry linkagefor the promotion of manufacture andtesting facilities of energy efficientappliances and equipment. We arefortunate to have excellent joint venturepartners to build a strong working teamof engineers, researchers, entrepreneursand other executives from academia andindustry. ..

Asif Masood

Representative of Chongqing Keima Electromechanical Co., Ltd., Manufacturer of KEIMAbrand Carburetor in China. Mr. HaoMing Tang, Marketing Department andMr. Justin Ren, Sales Manager visit Pakistan. During their visit they also

meet Monthly AutoMark magazine’s editor in Karachi.

Together with ENERCON & UNDP, we are making excellent progress, identifying opportunitiesto utilize the strength of academia-industry linkage

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Monthly Automark Magazine | February-2012 | Page 39

Without the invention of the wheel youwouldn’t have the transportation foryour life.Wheels and tires to a car are just likeyour feet and shoes.Regardless of what type of car you driveyour tires are the only contact betweenyour car and the road. They serve as acushion between the road and thewheels for a comfortable ride and alsoprovide traction and solid friction/gripwith the road for effective braking andsafe driving.Just imagine, your car is hurtling downthe highway at 100km/h is only kissinga patch of pavement about a size of ahuman footprint or a postcard size. Ifthe grip of that tiny patch is reduced,you could face any mishap on the road.For the safety of you and yourpassengers take care for your tires andbrakes as these are your prime lifesavers.

Fast facts-Importance of propertire pressureRemember that a poorly inflated tireincreases “rolling resistance,” fuelconsumption and the risk of a blowntire and it reduces the tire’s lifespan. It’snot the tires that support the weight ofyour vehicle, but rather the pressure ofthe air in the tires. This explains whyair pressure is critical to a tire’seffectiveness. Here are the fast facts oftire pressure. (*Statistical data is basedon North American’s motorists)

• 95% of your vehicle’s weight issupported by your tire’s air pressure,with the tire supporting only 5%, makingair pressure a critical part of a tire’sability to perform.

• *70% of the vehicles have at least onetire with an inflation p roblem.

• *23% of vehicles have a least one tire

under-inflated by more than 20%, thiswill increase fuel consumption by 4%,increase greenhouse gas emissions andreduce tire life.

• *Driving with one tire under-inflatedby 2 0% re sults i n c on sumingapproximately two weeks more of fuelper year and reduces your tire’s life bysix months.• *17% of vehicles have at least one tireover-inflated by 20%; this will result inexcessive tire wear and reduce vehiclehandling and comfort.• 90% of tire failure occurs when only10% of the tread remains.• Tire loses pressure when the airtemperature gets colder about 7kpa or1 psi for every 5 deg.C drop intemperature and also due to theirpermeability about 14kpa or 2 psi permonth.• Every additional litre of fuel yourvehicles uses due to under inflation tire,

Tires … The Shoes ofYour Car

Getting a grip on tires for your safety

Exclusive Car Care - Article by Mohammad Shahzad

continued on next page

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Page 24: Automark Feburary 2012

will release 2.4 kilograms of carbondioxide CO2 a major greenhouse gascontributing to cl imate change.• Collectively, this means that impropertire maintenance practice wastePakistan’s millions of precious foreignexchange on fuel cost.

For your own safety, check tirecondition, wear and air pressureat least once a month when tiresare cold. The max air pressure

on tire wall is not the rightpressure for your tires; refer toyour car manual, sticker in theglove box or at the driver side

door jamb.Benefits of maintaining proper tirepressure:• Reduction in fuel consumption• Longer tire lifespan• Improved handling•Prevent ion of breakdowns andavoidable accidents• Reduction in exhaust emissionsa s s o c i a t e d w i t h h e a l t h a n denvironmental problems and climatechange

Why tires wearabnormally?

Tire tells the tale….sign of troubles!Just by looking at the heel and sole ofthe shoes, a Chiropractor/Doctor cantell a lot about a person’s walking styleand body posture. With the same vision,an Auto Technician can tell the cause ofan uneven wear pattern with a quicklook at the tire wear (for example, over-inflation, under-inflation, out-ofalignment or any defected or damagedsuspension parts .) Remember toregularly check your tires, including thespare one, before they become a safetyhazard.Importance of wheel al ignmentTurning your car’s dragging wheels intodriving wheels. Think of it this way, ifyou are pushing a shopping cart withcrooked wheels you will need to applyan extra amount of force to overcomethe drag to keep your cart straight. Thisis similar to your car when the engineis exerting extra power to keep wheelsrolling straight and smooth when thewheels are not aligned preciselyProper alignment is an important partof tire maintenance. Poor alignment willcause your tires to wear unevenly andyou may experience handling problems,

such as "pulling" or vibration. Pooralignment will also increase your fuelconsumption. It is recommended to haveyour alignment checked annually, orevery 24,000 km. or if you hit the pothole or curb.

Why balance the tires?Take a short walk without or looseshoelaces and observe your body postureand balance. You’ll notice that whileyou’re walking you are unstable andunsteady. Similarly, if wheels are out ofbalance, you may feel a pounding orshaking through the steering wheel. Thispounding could shorten the life ofsuspension components, lead to uneventire wear (bald spots) and increase fuelconsumption. It is a good practice tohave your tires balance after everysecond oil/filter change with tire rotationor if you hit hard pot hole or curb orwhen you feel vibrations.

Why do tires needrotation?

Your tires wear at different rates, fronttires work harder than rear tires as theymust bear the scrubbing action ofsteering as well as rolling wear. Youshould rotate all tires after every secondoil change or 10,000 km; this will

minimize wear, reduce sudden tirefailure and prolong the life of your tires.

When do you need newtires?

Your driving habits will determine howlong your tires will last. Normal goodtire life is about five years or 100,000km (depends on road, driving andweather conditions). However, avoidrabbit start and panic or sudden stop byslamming brakes unless needed forsafety. Maintain safe speed and drivingby keeping sufficient distance ahead ofyou.You need new tires when the tires wearbars starts showing, tires get damagebeyond safe repair or become aged. Ifthe tire is worn unevenly, it indicates amechanical malfunction somewhere.The tire should be replaced, and thecondition that caused the uneven wearshould be corrected. Uneven wear canindicate several things wrong, forexample: misalignment (the mostcommon reason for fast wear) worn outshock absorbers; a worn out or loosefront end, out of balance wheels, or acombination of all.

Tire treads conditionTires are designed to grip the road,allowing your vehicle to move, stop andgo around corners safely in any weather.The treads that accomplishes this wearout over time, but drivers can takeprecautionary steps to prolong the lifeof their tires.Properly maintaining your tires willincrease their life. It is extremelyimportant to check your tire treads forsigns of wear. Proper treads allow for

Exclusive Car Care - Article

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Exclusive Car Care - Article

Monthly Automark Magazine | February-2012 | Page 41

normal handling of your vehicle andhelp prevent skidding and hydroplaning.Tires are manufactured with a "wearbar" that tells you when there is lessthan 1.6 mm (2/32 inch) of tread depthremaining - when you see this wear bar,the tire must be replaced.

Sings of tire damageIt is important to perform regular visualinspections of your tires for signs ofdamage such as bulge or side wall cutand excessive wear/leak. Look forembedded objects, such as rocks, nailsor glass. Catching problems early cansave you money and prevent a suddentire failure. When park your car at anangle parking spot make sure keep offthe curb to avoid damage to tire andrim.

How to buy tires andwheels

When you select shoes you pay closeattention to its material, constructionand size so that you enjoy a comfortableand safe walk. You select different typesof shoes to suit your needs, as dressshoes for daily use, sports shoes forsports activities and snow shoes forsnowy weather. When it comes to sizeit is equally important to have a properfit according to your feet, too small ortoo large shoes can cause discomfort orunsafe walking. Similarly, the sameapproach applies to the selection criteriaof your vehicle tires especially when itcomes to contraction, selection, size andtype.Though today’s wheels are better andsturdier, its basic design is still the sameas that of the wheel that has carriedman’s load for over six thousand years. Wheels are made of steel or aluminumalloy, but it serves the same basicpurpose to have tire mounted air tighton its rim. Wheels must be sufficientlyrigid and flexible to carry 2000 to 5000pounds of the vehicle weight, transferdriving and braking torque to the tiresand withstand side trusts under differentspeed and load conditions for safe andcomfortable driving.There are countless varieties of tiresavailable. Choosing the best one for yourvehicle can be difficult. The bestselection guide is your owner’s manualFirst, determine whether you require apassenger or light truck tire. Passengertires are sufficient for most car owners

and many pick-up and SUV owners.However, some pick-up and SUV/Jeepsvehicles require more robust light trucktires for hauling heavy loads and drivingon rough roads, due to poor roadsconditions in Pakistan.The second step is to determine yourown driving needs and what benefitsyou hope to get from the tires, such aslong mileage, wet traction, winter/snowtraction, superior handling, ridecomfort, fuel efficiency, and noise levels.This will help you narrow down yourselection.All new tires should be the same size,tread design and if possible same makeand have the same load capacity andspeed rating as the original tires. Thisinformation is printed on the tire. If itis too difficult to read what is writtenon the tire, check the tire informationplacard which is usually attached to theedge of the driver's door. Install thesame type of tires on all four wheels toe nsur e p rop er han dl ing. I t isrecommended to replace all four or twoin pairs to maintain steering/suspensionstability, reduce uneven front -to-rearwear, protect your transmission anddrive train, and maintain accurate ABSbrake / traction stability controls. Mostnew cars are equipped with the TPS (tirepressure sensors) make sure to resetthese sensors after carefully mountingnew tires.

Tire size, code andmarking

Tire can be identified in a variety ofways. Metric sizes of tires are mouldedinto the sidewall and tell the application,the width in millimetres, the aspect ratio,the type such as radial or belted, andthe rim size in inches.Tire size is based on the vehicle

manufacturer recommendations and it’svery important especially before makingany purchase decision. Always buy samesize/type tires, never mix or matchdifferent size or tread design, it’s notonly unsafe but also cause damage topower train. Refers your owner manualor placard for more information, suchas maximum vehicle load, tire size,inflation pressure.

Tire care tips for yoursafety and savings

Tires are often the most neglected partsof a vehicle. And yet, they are amongthe most important and easily cared for.By adopting these few simple tiremaintenance practices, you can increaseyour vehicle's fuel efficiency, reduceharmful emissions, save money andmake your vehicle safer.• Measure your tire pressure monthlyusing a good quality tire gauge whencold. A visual inspection is not sufficientto detect under or over-inflationproblems.• Have your tires aligned annually.• T i r e s s ho u l d b e b a l an c e dapproximately every 15-20 000 km, orwhen you feel a vibration and shimmy.

• Rotate your tires regularly.• Monitor tread wear and replace tireswhen your tire tread is worn out.• Conduct a visual check for embeddedstones, glass and other foreign objectsthat could work their way into the tireand cause a leak.

What to do if your tireblowout or get flat

If a rear tire blows out, ease the car tothe side of the road while graduallyslowing down. Never brake suddenly.This may cause a skid or an accident. Ifa front tire blows out, the car will pullto the side of the blow out tire. DO NOTBRAKE. Ease off the gas slowly whilesteering safely to the side of the road.If you get flat tire, pull safely off to theside of the paved road. Use emergencydevices such as flares, emergencytriangle, or warning light. Place theemergency devices at least 300 feet fromyour vehicle to give sufficient warningto on coming vehicles. Remove allpassengers from the vehicle. Beforejacking up the car, loosen the lug nutsslightly on the wheel to be changed. Be

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Page 26: Automark Feburary 2012

TOYOTA COROLLA

Price updated February- 2012

MEHRAN VX 800ccMEHRAN VX (CNG) 800cc

MEHRAN VXR (CNG)

MEHRAN VXR

ALTO VXR

ALTO VXR (CNG)

Rs. 510,000Rs. 576,000Rs. 562,000

Rs. 625,000

Rs. 727,000

Rs. 796,000

SUZUKIModel Price

LIANA 1.3L RXI MT PETROL

CULTUS Efi VXRI

CULTUS Efi VXRI (CNG)

LIANA 1.3L RXI MT (CNG)RAVI PICKUP ST308R VX

RAVI PICKUP ST308R VX CNG

BOLAN VAN VX PetrolBOLAN VAN VX CNG

SUZUKI VAN CARGO

BOLAN VAN VXR PETROL

BOLAN VAN VXR CNG

Rs. 925,000

Rs. 990,000

Rs. 1,282,000

Rs. 1,351,000

Rs. 589,000Rs. 660,000

Rs. 653,000

Rs. 721,000

Rs. 565,000

Rs. 537,000

Rs. 606,000

SUZUKI SWIFT 1.3L DLX Rs. 1,056,000

Karakoram MotorsModel Price

Chery Standard Petrol Rs. 7,20,000Chery Standard CNG Rs. 7,70,000

Chery Deluxe Petrol Rs. 7,70,000

Chery Deluxe CNG Rs. 8,20,000

Gonow VictorGonow Troy Standard

Rs. 1,499,000Rs. 9,99,000

Gilgit (Double Cabin) Pet.Gilgit (Double Cabin) CNGKaghan XL PetrolKaghan XL CNG

Rs. 3,85,000Rs. 4,20,000Rs. 1,285,000Rs. 1,375,000

HYUNDAI

Model PriceHonda CRV Automatic 2400cc Japan Rs. 5,599,000

Honda City Automatic 1300cc Rs. 1,560,000Honda City Manual 1300cc Rs. 1,419,000

Honda Civic VTI Manual 1800cc

Honda Civic VTI Manual SR (Oriel)

Rs. 1,908,000

Rs. 2,058,000

Honda Accord Automatic 2400cc Japan Rs. 6,467,000

HONDA

Car / Light Vehicle Price ListCar / Light Vehicle Price List

APV 1.5L JL SX MT (CBU) Rs. 1,999,000

APV 1.5L JL DX MT (CBU) Rs. 2,074,000

Rs. 1,788,000

Rs. 1,980,000

Honda Civic VTI Prosmatec SR (Oriel)

Honda Civic VTI Prosmatec 1800cc

Model Price

GLI VVT-i 1.3 M/T 1299cc Petrol Rs. 1,602,500

XLI VVT-i 1.3 M/T 1299cc Petrol Rs. 1,477,500

GLI VVT-i 1.6 A/T 1599cc Petrol Rs. 1,772,500

Model Price

2.OD SALOON MT Rs. 1,809,000

2.OD STD 2000cc Rs. 1,607,500

XLI VVT-i 1299cc ECOTEC Rs. 1,602,500

GLI VVT-i 1299cc ECOTEC Rs. 1,732,500

SUZUKI SWIFT 1.3L DX STD Rs. 1,156,000

JIMNY JLX SX CBU (SN) Rs. 1,974,000

JIMNY JLX DX CBU (SN) Rs. 2,123,000

Model Price

CHEVROLETModel Price

Rs. 569,000CHEVROLET JOY CNG

Rs. 539,000CHEVROLET JOY Petrol

Gonow Troy Deluxe Rs. 1,049,000

DAIHATSUModel Price

Rs. 3,560,000Rs. 3,960,000

Rs. 3,336,000

DEFENDER

STATION WAGON 90STATION WAGON 110

Soft Top 90

LAND ROVER

Rs. 9,58,200CX ECOMATIC

Rs. 2,770,000Terios 4X2 lwb at

Rs. 8,97,200CX ECO (CNG)

Rs. 8,47,200CUORE CX std

Rs. 2,770,000Terios 4X4 lwb mt

Model Price

Hilux Pickup 4x sc

Brand New Toyota Hilux Pickup, 4x2,Single Cabin, (Local Assembled)

Rs. 1,614,500

Model Price

Hilux Pickup 4x4 D/C

Toyota HILUX 2494cc, Diesel TurboCharger Common Rail Engine,4x4 Double Cabin - Standard Model

Rs. 2,489,000

Model Price

Toyota Avanza (Up Specfication) Rs. 2,160,000

Toyota Avanza (Standard) Rs. 1,960,000

ALTIS 1.6L Dual VVT-i AT SUNROOF Rs. 2,022,500

ALTIS 1.6L Dual VVT-i AT Cruisetronic Rs. 1,932,500

Rs. 1,932,500ALTIS 1.6L Dual VVT-i MT SUNROOF

ALTIS 1.6L Dual VVT-i MT Rs. 1,842,500

2.OD SALOON SUNROOF Rs. 1,914,000

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Page 27: Automark Feburary 2012

Corporate Event - Update

Monthly Automark Magazine | February-2012 | Page 44

HINO motor company is a renownedname & the market leader when it comesto sales in Pakistani LTV, MTV, HTVand Bus categories. Following theJapanese standards of Kaizen & 5S, theindustry has kept its customers demandson the highest priority. For thefulfillment of the customer orienteddevelopment, a fully functional ProductSupport Division is working in house atthe HINOPAK facil ity ensuringexcellence in the availability of Sales,Service & Spares facilities.HINOPAK has established a network of1S, 2S, 3S, mobile workshops & 3S-LCVdealerships across Pakistan in order tofacilitate the customers seeking qualityservice & genuine parts. The network iscontinuously evaluated & improvedconsidering each & every minute aspect.Furthermore a feedback path isestablished from the customer end inorder to ensure that the company staysall ears on its vision of “CustomerFocus”. One of the major concernsnoticed from previous surveys was thefact that he customers wanted theperiodic maintenance costs to be cutdown immediately & HINOPAK hasresponded within no time. HI NO P A K ve r y r e c e nt ly , i ncollaboration with Total Atlas LubricantsPakistan (Pvt) Ltd launched a series ofHINO Motor Oils in order to facilitatethe customers who were demanding lowcost & fa irly rel i ab le pe riodicmaintenance genuine product. Therecently launched product line includesEngine oil (rated @ SAE 20W-50),Transmission oil (rated @ SAE 85W-140) & differential oil (rated @ SAE85W-140). As far as the availability isconcerned, the motor oils will beavailable at all the HINO dealershipsaround Pakistan.Having an insight to the viscosityratings, the engine oil is particularlyrated eyeing the hot climatic conditionsof Pakistan as the oil would surely beable to withstand elevated temperatures,maintaining its viscosity & thus

protecting the engine. As far as the drivetrain oils are concerned they are ratedto bear heavy loadings maintaining theirviscosity ensuring the proper cooling &lubrication of the mesh all the time.Having a thorough insight to the TOTAL& HINO relationships we can see that acontract had been developed betweenthe two giants of their respective fields,enabling the supply of Engine oil,Transmission oil, Brake fluid, Hydraulicoil, Power steering oil & grease etc. Asimple question might arise in our mindsthat if the Japanese OEM recommendsTotal branded oils to its users why hasit launched its individual series of HINOlubricants? The answer to this question

is fairly very simple. Firstly the aim ofHINO is to facilitate its customers byreducing periodic maintenance cost &in order to ensure the availability ofgenuine lubricant to its consumers. Asfar as our country is concerned, foulpractices including the selling ofdegraded & unbranded oils in usedboxes of branded lubricants is fairlycommon. This step from HINO ensuresthe availability of the genuine motor oilat all the recognized dealerships ofHINOPAK, eliminating this factor offoul play on the customer from the localloyalty. On a customers perspective this act ofHINOPAK needs to be applauded &appreciated as it indicates that perhapsfew industries, along with making hugerevenues listen to the needs & demandsof the consumer who generates thatrevenue instead of turning a deaf ear onthem. We hope that few more customeroriented packages will be launched inthe near future & this practice continues.Cheers!

In pursuit of providing best quality service to its customers, Hinopak MotorsLimited and Total Atlas Lubricants Pakistan (Pvt) Ltd. has signed MOU

on August 30, 2011 at Hinopak Motors Limited for Development &Launching of "Hino High Performance Oil & Lubricant Series" for the

Truck & Bus users in Pakistan.

The Launch of HINOHigh performanceLubricant Series

Group Photo of Hinopak and Total Managementduring the MOU Signing Ceremony

by Shahzad Tabish

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Page 28: Automark Feburary 2012

International Automotive Sector - Update

Monthly Automark Magazine | February-2012 | Page 45

Japan's Honda Motor, the country'sthird-biggest carmaker, suffered a 20percent plunge in its global productionlast year.Honda made 2.91 million vehicles notincluding motorbikes in 2011, it said,d o w n 2 0 . 2 p e r c e n t a s au t omanufacturers struggled with naturaldisasters, a rising yen and the Europeaneconomic slowdown.The figures came as Japan's major carfi rms announc ed the ir ann ualproduction for 2011.Toyota, which had already confirmedearlier this week it had lost its positionas the world's biggest carmaker, said itproduced 7.86 million vehicles, down8.2 percent.Nissan, 44.3 percent owned by Frenchpartner Renault, was the only leadingJapanese carmaker to increase annualglobal production despite supply chaindisr up ti on fr om the c ountr y' searthquake disaster and floods inThailand.It produced 4.63 million units, up 14.3percent from a year ago, while globalsales hit a record 4.67 million vehicles,it said.Mitsubishi Motors, the nation's fourthlargest automaker, produced 1.14 millionvehicles, a 2.8 percent drop.

Japan's Hondaproduction down

20pc in 2011Abu Dhabi is set to unveil the world’slargest BMW showroom next week, theGerman carmaker’s local distributor hasconfirmed.Abu Dhabi Motors, BMW Group’sexclusive importer in the UAE capital,will host a VIP party on February 14 tocelebrate the opening of its newAED300m ($81.6m) showroom facilityin Umm Al Nar.Among the 1,000 guests due to attendinclude Ian Robertson, head of sales andmarketing of BMW AG and chairmanof Rolls-Royce Motor Cars and Lebanesesingers Maya Diab and Wael Kfoury areset to perform.On display at the new facility will be theBMW Vision Efficient Dynamics conceptvehicle, which was driven by Tom Cruisein the hit Hollywood movie, MissionImpossible 4: Ghost Protocol, which waspartially filmed in Dubai.The opening comes after strongperformance in the region, with theGerman carmaker posting a nine percentyear-on-year increase in sales in theMiddle East in 2011.The company said it was the mostsuccessful year in BMW Group's historyin terms of regional sales.With a total of 18,657 BMW and MINIvehicles delivered to customers across14 Middle East markets, it said most of

its importers reported an increase insales in 2011 and a number of marketsr ec or ded double d igi t growth.The UAE remained the biggest market,accounting for 47 percent of BMWGroup Middle East's 2011 sales. AbuDhabi was the highest volume sellingmarket, with a 23 percent growth and4,436 cars sold while Dubai alsowitnessed an increase of 23 percent with4,395 cars sold.Other top performing markets includedQatar by 26 percent (1,265 cars), SaudiArabia, with a two percent sales increase(3,072 cars) and Kuwait and Bahrainboth with a six percent increase.Also among the markets with the biggestgrowth were Yemen and Pakistan with37 percent and 27 percent growthrespectively.The BMW 5 Series also showed growthwith 4,286 cars sold and a 30 percentincrease.MINI achieved a 77 percent growth in2011 across eight Middle East marketsand sales of 1,108 cars - the strongestgrowth since the brand was launched inthe region 11 years ago.In the UAE, Dubai was the biggest MINImarket, with an increase of 164 percent(493 cars) while Abu Dhabi saw growthof 63 percent (196 cars).

BMW to open its largestever showroom in Abu Dhabi

Each month, the Japan AutomobileManufacturer's Association releasesinformation about domestic motorcyclesales, production and exports from theBig Four (Yamaha, Honda, Suzuki,Kawasaki) and others.But JAMA also projects the future ofmotorcycle demand in Japan. Followingis the report, which makes for a veryinteresting read to those who follownews in the motorcycle industry.

Total Demand forMotorcycles

Japan's domestic motorcycle marketcontinues to struggle with a protractedslump, attributable not only to structuralfactors but also to higher vehicle pricesstemming from mandatory compliancewith new emissions regulations enforcedin 2007 and the resulting smaller range

of available models. Nevertheless,motorcycle sales in Japan in 2011 surged5.1% from 2010 to 445,000 units,marking the first overall increase in sixyears, with year-on-year gains postedin both the Class-1 motor-driven cycleand mini-sized motorcycle categories.

Class-2 Motor-DrivenCycles (51cc-125cc)

In 2011 demand for Class-2 motor-driven cycles totalled 96,000 units,dipping 0.7% from the previous year,attributable to a decline in the impactof new models introduced in 2010.On the other hand, new modelsintroduced in 2011 should help raisesales in this category to 103,000 unitsin 2012, up 7.6% from the previous year.Mini-Sized Motorcycles (126cc-250cc)Mini-sized motorcycle sales in 2011

reached 39,000 units, rising 3.3% from2010. This growth is attributable tofavorable consumer response to sports-type models, even as the demand forscooters in urban areas continues toslide.In 2012 the appeal of sports-type modelsshould continue to drive demand in thissegment, resulting in projected sales of40,000 units, a gain of 2.9% over 2011.Small-Sized Motorcycles (over 250cc)Sales of small-sized motorcycles in 2011finished at 53,000 units, down 8.2%from the previous year. The decline inthis segment in particular reflectedconsumer response to the continuedsluggishness of the domestic economy,affecting employment and personalincomes, and the impact of the March11 disaster.....

JAMA Projects 2012 Motorcycle DemandMotorcycle Industry News

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Page 29: Automark Feburary 2012

Indus motor Company hosted the 7th

Career Day at St. Patrick’s Institute ofScience and Technology, in line with the

ongoing Toyota Technical Education

Program.T-TEP is a 3 years Automobile Diploma

Program conducted with the assistance

of Toyota Motor Corporation. Thisprogram provides students training in

state-of-the art automobile technology,enabling them to pursue successful

career after graduation.

Mr. Abul Kalam, Vice Chancellor, NEDUniversity was the chief guest at the

event. Senior management of Indus

Motor Company was also present.Speaking on the occasion, Mr. Abul

Kalam said, ‘Toyota Technical Education

Program (T-TEP) is an outstanding

means to reduce the gap between theskills demand of the country and

tr ai ning of indivi duals by our

educational system and I am happy tonote that Indus Motor Company is

playing a very useful role in filling this

gap’.Parvez Ghias, CEO, Indus Motor

Company said that the idea behind thisinitiative was to fruitfully train Pakistani

youth by providing them world class

technical training, so that they couldbuild their careers towards a better

future.

Indus Motor Company offers theprogram in collaboration with three

major institutes in Karachi, Lahore and

Islamabad. Since the inception of T-TEP

Institutes, Indus Motor Company hasannually conducted Career Day at these

institutes. On these occasions, the

graduating students are offered jobs bythe auto industry and IMC dealerships

and vendors.

Indus Motor is also involved inproviding direct training to instructors

and students of the T-TEP institutes, inorder to ensure adequate transfer of

technical knowledge.

Also present on the occasion were Rev.Fr. Joseph Pau, Principals, St. Patrick’s

High School, as well as teachers and

students from the institute besides otherstakeholders.....

Indus Motor Company conducts7th Toyota TechnicalEducation Program

(T-TEP) Career Day

Corporate Event - Update

Monthly Automark Magazine | February-2012 | Page 46

Indus Motor is also involved in providing direct training to instructors and studentsof the T-TEP institutes, in order to ensure adequate transfer of technical knowledge.

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Page 30: Automark Feburary 2012

MADE IN PAKISTAN MOTORCYCLESRETAIL PRICE LIST

70cc Motorcycle

Retail Price

Rs. 42,500/=

Rs. 41,000/=

Rs. 41,000/=

Rs. 42,000/=

Rs. 40,000/=

Rs. 40,000/=

Rs. 49,000/=

Rs. 39,000/=

Rs. 45,000/=

Rs. 41,000/=

Rs. 41,000/=

Rs. 46,000/=

Rs. 47,000/=

Rs. 41,000/=

Rs. 66,500/=

Rs. 43,000/=

Rs. 40,500/=

Rs. 40,500/=

Rs. 40,500/=

Rs. 40,500/=

Rs. 40,500/=

Rs. 44,800/=

Rs. 40,000/=

Product &

Model Name

Aan AI-70

Asia Hero AH-70

Bionic AS-70

Crown Lifan CRLF-70

Challenger BA-70

Diamond SD-70

Dhoom YD-70

Eagle DG-70

Ghani GI-70

Guangta GT-70

Grace CT-70

Hero RF-70

Hero RF-70 Plus

Habib HB-70

Honda CD-70

Hi-Speed SR-70

Jinan JN-70

Leader LD-70

King Hero KH-70

Moon Star MT-70

Master MD-70

Metro Hi-Tech MR-70

New Asia NA-70

Sr./

No.

1.

2.

3.

4.

5.

6.

7.

8.

9.

10.

11.

12.

13.

14.

15.

16.

17.

18.

19.

20.

21.

22.

23.

Product &

Model Name

Pak Hero PH-70

Raftar KM-70

Ravi Premium R1

Ravi Hamsafar-70

Road Prince RP-70

Royal Star RS-70

Royal RL-70

Racer AS-70

Safari SD-70

Sakai SK-70

Star DL-70

Sohrab JS-70

Sonica SM-70

Super Asia SA-70

Super Star SS-70

Super Power SP-70

Super Power Delux

Toyo TG-70

Target TT-70

Unique UD-70

Union Star US-70

United US-70

Zxmco ZX-70

Retail Price

Rs. 42,500/=

Rs. 42,000/=

Rs. 47,000/=

Rs. 43,000/=

Rs. 41,000/=

Rs. 41,000/=

Rs. 42,500/=

Rs. 41,500/=

Rs. 40,000/=

Rs. 39,000/=

Rs. 39,900/=

Rs. 41,500/=

Rs. 42,400/=

Rs. 39,500/=

Rs. 41,500/=

Rs. 40,500/=

Rs. 45,000/=

Rs. 41,000/=

Rs. 40,000/=

Rs. 42,000/=

Rs. 42,000/=

Rs. 40,000/=

Rs. 42,000/=

Sr./

No.

24.

25.

26.

27.

28.

29.

30.

31.

32.

33.

34.

35.

36.

37.

38.

39.

40.

41.

42.

43.

44.

45.

46.

MADE IN PAKISTAN MOTORCYCLESPRICE LIST

Price updated Feb-2012

Monthly Automark Magazine | February-2012 | Page 48

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Page 31: Automark Feburary 2012

Monthly Automark Magazine | February-2012 | Page 49

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Page 32: Automark Feburary 2012

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