- APTMA Chairman Zahid Mazhar has urged PM Shehbaz and CM Sindh to save the export-oriented textile industry from the closure due to the denial of gas this winter. SNGPL seeks an increase of Rs488.08 per mmbtu in its average prescribed price with Punjab and KPK to see an increase in prices.
- The Economic Coordination Committee on Monday approved Kissan Package with a 27%increase in agriculture loan target to Rs1.8 trillion and reshaped Kamyab Jawan Programme and Kamyab Pakistan Programmes.?
- Pakistan is trying to strike a deal with Russia for the import of oil, but Russia has declined to sell LNG to Pakistan on such short notice. The National Power Control Centre (NPPC) has determined the accumulated fuel requirement of 315,730 MTs for the power sector for the next three months.
- Pakistan, Ghana and Bangladesh will be among the first recipients of funding from ag G7 ‘Global Shield’ initiative to provide funding to countries suffering climate disasters. The Global Shield, coordinated by G7 president Germany, aims to provide vulnerable countries with insurance and disaster protection funding.
- After an exchange of gunfire on Monday, the Chaman border remained shut. Pakistani officials claimed they had no plan to reopen the border crossing at Chaman until the Afghan forces handed over the armed men who opened fire on FC personnel.
- President Biden and President Xi met in Bali on Monday. Both leaders agreed to re-open climate communications and chastised Russia for loose nuclear talk. Oil prices slid on Tuesday as rising COVID cases in China sparked fears of lower fuel consumption from the world’s top crude oil importer and after OPEC cut its 2022 global demand forecast.
- More than 24,000 tech workers across 72 companies have been laid off this month, adding to a total of 120,000 tech jobs lost this year.
COMMODITIES - CROPS, LIVESTOCK & HORTICULTURE
- Rains to Help Crops: Target fixed for the current season is estimated to be achieved as the rains will be particularly beneficial for wheat in rain-fed areas, as well as on oil seeds, including mustard and canola. The government has also been urged to fix the wheat support price to allow security for growers. [ET] [UP]
- Textile Sector Gas Crisis: APTMA Chairman, Zahid Mazhar has urged PM Shehbaz and CM Sindh to save the export-oriented textile industry from the closure due to the denial of gas from November 15, 2022 to February 28, 2023. The serving of notices to the industries has left the textile sector in a crunch situation. [BR] [ET]
- Kissan Loan Package: The Economic Coordination Committee (ECC) of the Cabinet on Monday approved Kissan Package with a 27%increase in agriculture loan target to Rs1.8 trillion and reshaped Kamyab Jawan Programme and Kamyab Pakistan Programmes through consolidation of their similar schemes. The ECC deferred a decision on providing subsidized electricity to tube wells due to its nearly Rs. 180 billion subsidy impact. [Dawn] [ET]
- Sindh Reconstruction + Rabi Season: Foreign Minister Bilawal, while chairing a meeting with the Sindh cabinet, wants a standard of resilient houses built for flood-hit families. Bilawal also directed the Sindh government to start disbursement of cash for the seed (Rs. 5,000 per acre) to farmers to grow the Rabi crop in the next 20 days. [BR] [ET]
AGRI-INPUTS, WEATHER, WATER & POWER
- River Indus Course Change: The Ruk loop bund erosion has accelerated towards the right bank, 65 kilometers from the Shikarpur district and will be a disaster if timely intervention is not made. [Dawn]
- Neelum-Jhelum Hydropower Project: The federal government revealed that the Rs. 500 billion 969MW project, which had faced a ‘massive structural damage of a tunnel collapse’ and would require six more months to repair. [Dawn]
- 300 automated weather stations: 300 automated weather stations (AWS) will be installed across the country for better weather prediction for at least 10 days, said PMD Karachi Chief, Sardar Sarfraz. [ET]
- Smog Control in Punjab: Consul General of China Zhao Shiren called on Chief Minister Punjab Parvez Elahi and discussed issues of mutual interest, especially controlling smog on Monday. During the meeting, it was agreed in principle to promote cooperation regarding the installation of air purification towers to control smog. [BR]
- Russian Coal Offer & Power Need: Pakistan is trying to strike a deal with Russia for the import of oil, but Russia has declined to sell LNG to Pakistan on such short notice. The National Power Control Centre (NPPC) has determined the accumulated fuel requirement of 315,730 MTs for the power sector for three months, i.e., November and December 2022 and January 2023, subject to the supply of 165 MMCFD of RLNG each month. [BR] [BR]
- Gas Prices & Supply: SNGPL seeks an increase of Rs488.08 per mmbtu in its average prescribed price with Punjab and KPK to see an increase in prices. SGC has categorically clarified the misguiding news circulating in the media concerning the suspension of gas supplies to the industrial sector.? SSGC has written letters to each industrial customer that has been using gas for power generation for suspension of gas supplies only for power generation and not for their regular usage. [ET] [BR]
- ADB Director meets WAPDA Chief: Asian Development Bank (ADB) Country Director Yong Ye called on Chairman Wapda Lt Gen Sajjad Ghani (retd) to discuss the financing of projects. The Wapda officials briefed about the clean and green energy generation plan of Wapda to add low-cost and environment-friendly hydel electricity to the national grid for stabilizing power tariffs in the country. [BR]
AGRI UPDATES & PAKISTAN POLICY
- Global Shield: Pakistan, Ghana and Bangladesh will be among the first recipients of funding from ag G7 ‘Global Shield’ initiative to provide funding to countries suffering climate disasters. The Global Shield, coordinated by G7 president Germany, aims to provide vulnerable countries with insurance and disaster protection funding. [The News]
- SBP Forex Reserves: Governor State Bank of Pakistan (SBP) Jameel Ahmad has said that the State bank has sufficient stocks of foreign exchange reserves and Letter of Credits (LC) cases up to 100,000 will be cleared by end of this week. [BR] [Dawn]
- Exports to 9 Regional States: Pakistan’s exports to nine regional countries posted a paltry growth of 0.72% in the first quarter of this fiscal year. China tops the list of Pakistan’s regional exports. [Dawn]
- UK removes Pakistan from ‘High-Risk Third Countries’: Foreign Minister Bilawal announced that the UK has removed Pakistan from the ‘High-Risk Third Countries’ List. This is based on progress on the FATF points. [The News]
- Chaman Border Closed: After an exchange of gunfire on Monday, the Chaman border remained shut. Pakistani officials claimed they had no plan to reopen the border crossing at Chaman until the Afghan forces handed over the armed men who opened fire on FC personnel at the border before fleeing. [Dawn] [ET]
INTERNATIONAL – OVERVIEW & MARKET OUTLOOK
- US-China Leaders Meet: President Biden and President Xi met in Bali on Monday. Both leaders agreed to re-open climate communications and chastised Russia for loose nuclear talk. [Bloomberg] [ET]
- Oil Prices: Oil prices slid on Tuesday as rising COVID cases in China sparked fears of lower fuel consumption from the world’s top crude oil importer and after OPEC cut its 2022 global demand forecast. OPEC on Monday cut its forecast for 2022 global oil demand growth for the fifth time since April and further trimmed next year's figure, citing high inflation and rising interest rates. Oil demand in 2022 will increase by 2.55 million barrels per day, or 2.6%, down 100,000 bpd from the previous forecast. [BR] [The News]
- Tech Companies Layoff: More than 24,000 tech workers across 72 companies have been laid off this month, adding to a total of 120,000 tech jobs lost this year, according to layoffs.fyi, which tracks job cuts in the tech industry. It's safe to say a reckoning is underway, even as each company is grappling with its own challenges. [NPR] [Layoffs]
- France, UK Channel Migrants Deal: Britain agreed to pay France another 72.2 million euros to prevent migrant boat crossings under a new deal signed on Monday that shows improving ties between the two nations. [Dawn]
- Istanbul Bomber Arrested: ‘PKK perpetrator’ of Istanbul blast arrest. Turkey accused a Syrian woman of planting a bomb that killed 6 people in Istanbul. [ET]
- Pakistan’s population is growing at an annual rate of 1.9% with nearly 3.6 children being born to a woman on average in the country, according to a UN Population Fund report. [Dawn]?
- The Sindh-Punjab police force will launch an operation to rid the gang-infested Indus riverine area of Kandhkot, Ghotki and Shikarpur districts. [Dawn]
- European Union Commissioner for Migration and Home Affairs Ylva Johansson said on Monday that the EU and Pakistan have a good base to cooperate not only on controlling illegal migration but to explore the possibilities for legalised migration of skilled workforce. [BR]
