TOBA TEK SINGH: Pakistan’s first computer chip manufacturing unit will be established in Faisalabad, marking a significant step toward strengthening the country’s electronics and technology base, Provincial Minister for Industries, Commerce and Investment Chaudhary Shafay Hussain said on Wednesday.
According to a press release issued on Thursday, the minister announced the initiative while addressing members of the Faisalabad Chamber of Commerce and Industry (FCCI). He said the proposed chip-making facility would support and enhance the mobile phone assembling industry already operating in Faisalabad, Karachi and Lahore, helping reduce reliance on imported components.
Mr Hussain also informed the business community that the government had allotted 50 acres of land in the M-3 Industrial Estate for the construction of a modern expo centre. He said the project was likely to be financed through the Export Development Fund (EDF) and would provide a platform for promoting local industries and exports.
Highlighting broader industrial development plans, the minister said the provincial government had taken key decisions to ensure the rapid colonisation of the M-3 and Allama Iqbal industrial estates. He added that a community centre would be constructed for foreign professionals working in these estates, along with the completion of boundary walls and the establishment of a monitoring cell to improve security and management.
He said efforts were under way to provide improved banking and commercial facilities to industrial units operating in these zones, adding that similar initiatives were being extended to industrial estates across Punjab to ensure full utilisation and growth.
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Referring to the agriculture-linked industrial base of the province, Mr Hussain said the government had launched a programme to enhance cotton production. Under the initiative, high-yield and disease-resistant seed varieties were being developed through research and development to support both farmers and the textile industry.
Addressing concerns related to Faisalabad’s Small Industrial Estate, the minister said infrastructure-related issues were being resolved. He also noted that the Punjab government was offering interest-free loans under the Asan Karobar Scheme to facilitate small and medium enterprises.
The minister further announced plans to establish three women training centres in Gujrat, Layyah and Sahiwal during 2026, with Faisalabad expected to receive a similar facility in the programme’s second phase. He also revealed that Faisalabad and Shymkent, a major industrial city in Kazakhstan, were being declared twin cities to promote industrial and trade cooperation.
The minister said that the chip-manufacturing unit will boost the mobile phone assembling plants already operating in Faisalabad, Karachi and Lahore.https://t.co/XOziK5RxOc
— Dawn.com (@dawn_com) January 2, 2026
Speaking on the occasion, FCCI President Farooq Yousaf Sheikh welcomed the government’s focus on industrial estates but raised concerns over challenges faced by exporters. He cited a trust deficit between government institutions and the private sector, rising energy costs, delays in tax refunds and regulatory hurdles as factors affecting exports.
He said exporters faced liquidity constraints due to delayed refunds and rising production costs, adding that Pakistan’s exports could reach $100 billion if consistent policies and a supportive business environment were ensured. Several FCCI office-bearers and members participated in a question-and-answer session following the address.
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