Ahmed Khan Malik

The industrialists of Balochistan have expressed serious disappointment over the recently announced federal budget, saying it contained no incentives, support mechanisms, and concrete plans to uplift the province’s struggling industrial sector.

Business leaders have criticised the federal government for neglecting the unique challenges faced by industries in Balochistan, despite repeated appeals and policy proposals in recent years. They argued that the federal budget failed to address the core issues such as high energy tariffs, inadequate infrastructure, lack of financing support, and absence of tax relief for sick and underperforming units.

In Hub, Lasbela, and Quetta — the province’s few semi-industrialised regions — factory owners have long demanded tailored packages to reduce production costs and improve competitiveness. However, the new budget offers no special provisions or targeted incentives that could revive the local industrial base.

Shamsuddin, a prominent industrialist and representative of the Balochistan Industry Association, said: “The federal government’s budget has nothing for us. We are not even asking for handouts — we want policy-driven support, such as tax holidays, energy subsidies, and special economic zone facilitation. Unfortunately, none of this has been considered.”

He said the lack of federal incentives is particularly concerning for the many "sick" industrial units that have either shut down or are operating far below capacity due to unaffordable energy prices and outdated infrastructure. Shamsuddin said in recent years, the Balochistan government had made some efforts to revive these units through provincial policies and investment plans.

“However, such initiatives cannot succeed without strong coordination and financial commitment from the federal government,” he underscored. He said that Balochistan’s industrial potential remains largely untapped. “Despite its strategic location, having Gwadar port and its wealth of natural resources, Balochistan has lagged behind due to policy neglect, poor law and order, and chronic under-investment in basic infrastructure. Roads, electricity, water supply, and internet access are still substandard in most industrial estates outside Hub,” he noted.

Hussain Naqvi, a business leader in Hub Industrial Area, regretted that the budget did not include any initiatives to promote ease of doing business in the province. “Investors continue to face bureaucratic hurdles and security-related concerns, which deter new ventures.” He said without addressing these structural issues, the federal government’s broader goals for national economic growth and regional development would remain incomplete.

Naqvi called for a revised federal approach that includes lower energy tariffs for Balochistan industries, zero-rated taxes for selected manufacturing sectors, soft loans for industrial revival, and budgetary allocations for infrastructure development within industrial zones.  He also demanded greater representation of Balochistan industrialists in national economic forums to ensure their voices are heard during the planning and budgetary process.

Credit: INP-WealthPk