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Model Mag that begin its journey as a strong voice for the Set Industry in Pakistan is now broadening its ambit of coverage with the motto to give readers a comprehensive overview of entire industry with key thrust on issues pertaining to development and growth From this edition the Model Mag is extending its focus of coverage to all the industrial sectors in the country and abroad.

Beside presenting overview of various sectors in Pakatan, the magazine will also offer to its dedicated readers the glimpses of local and internal-tonal markets like stock markets. capital markets, commodities review real estate, Global and Asian economic perspectives and outlooks.

Interviews of the eminent personalities belonging to different sectors. professions in Pakistan will also be made the permanent feature of the magazine to throw light on important issues and share with readers the insight of the successful industrialists, businessmen and CEOs in the country.

The economy of Pakistan is booming gradually and the sectors tike banks, telecom, real estate, stock/capital markets cement, steel industries, oil & gas and most of the manufacturing sectors are showing consistent growth over the past few years because of turnaround in the overall national economy.

Mega development projects relating to China-Pak Economic Corridor, a chain of Motorways, Metro and Orange Trains. Mega Power Projects. LNG import and growth-oriented strategies of the government have paved the way for growth and development in most of the industrial sectors in the country

We are putting in our maximum efforts to make Model Mag a strong and much-needed voice for the Pakistani industries in the days to come.

The arms sales are the main source and strategically an important sector of the global econ- omy. This is essen tially a global industry that manu- factures and sells weapons and mili tary technology around the world.

Syed Afraz Ali Nazish

The arms industry, also known as the defense industry or the arms trade, is a global industry which manufactures and sells weapons and military technology, and is a major component of the Military industrial complex. It consists of a commercial industry involved in the research and

top 100 largest arms-producing companies and military services companies (excluding China) totaled $420 billion in 2019, accord ing to SIPRI. This was 4.6 percent higher than sales in 2017 and marks the fourth consecutive year of growth in Top 100 arms sales. In 2004 over $30 billion were spent in the international arms-trade (a figure that excludes domestic sales of arms). According to the institute, the volume of international nsfers of major weapons in 201419 was 7.8 percent higher than in 200913 and 23 percent higher than in 20042008. The five largest exporters in 201419 were the United States, Russia. France, Germany and China whilst the five biggest importers were Saudi Arabia, India, Egypt, Australia and Algeria

Many industrialized countries have a domestic arms-industry to supply their own military forces. Some countries also have a substantial legal or illegal domestic trade in weapons for use by their own citizens, primarily for self-defense, hunting or sporting purposes. Illegal trade in small arms occurs in many countries and regions affected by political instability. The Small Arms Survey estimates that 875 million small arms circulate worldwide, produced by more than 1,000 companies from nearly 100 countries.

Governments award contracts to supply

their country’s military; such arms contracts

can become of substantial political impor

development, engineering, production, and servicing of military material, equipment, and facilities. Arms-producing companies, also referred to as arms dealers, defense contractors, or as the military industry, produce arms for the armed forces of states and for civilians. Departments of govern ment also operate in the arms industry, buying and selling weapons, munitions and other military items. An arsenal is a place where arms and ammunition – whether privately or publicly owned are made, maintained and repaired, stored, or issued, in any combination. Products of the arms. industry include guns, artillery, ammunition, missiles, military aircraft, military vehicles, ships, electronic systems, night-vision devices, holographic weapon sights, laser rangefinders, laser sights, hand grenades, land mines and more. The arms industry also provides other logistical and opera tional support

“The weak economies of Asian countries and the poverty of Africa have shaken the minds of the people of developed countries.”

The Stockholm International Peace Research Institute (SIPRI) estimated military expenditures as of 2018 at $1822 billion. This represented a relative decline from 1990, when military expenditures made up 4% of world GDP Part of the money goes to the procurement of military hardware and services from the military industry. The combined arms-sales of the

Social Media has exposed the face of the civilized world.”

tance The link between politics and the arms trade can result in the development of what U.S. President Dwight D. Eisenhower described in 1961 as a military-industrial complex, where the armed forces, com merce, and politics become closely linked, similarly to the European multilateral defense procurement. Various corpora tions, some publicly held, others private, bid for these contracts, which are often worth many billions of dollars. Sometimes, as with the contract for the international Joint Strike Fighter, a competitive tendering process takes place, with the decision made on the merits of the designs submitted by the companies involved. Other times, no bidding or competition takes place

During the early modern period, France, United Kingdom, Netherlands and some states in Germany became self-sufficient in arms production, with diffusion and migra tion of skilled workers to more peripheral countries such as Portugal and Russia.

The modern arms industry emerged in the second half of the nineteenth century as a product of the creation and expansion of the first large military-industrial companies. As smaller countries (and even newly industri alizing countries like Russia and Japan) could no longer produce cutting-edge military equipment with their indigenous resources and capacity, they increasingly began to contract the manufacture of military equipment, such as battleships, artillery pieces and rifles to foreign firms.

In 1854, the British government awarded a contract to the Elswick Ordnance Company of industrialist William Armstrong for the supply of his latest breech loading rifled artillery pieces. This galvanized the private sector into weapons production, with the surplus being increasingly exported to foreign countries. Armstrong became one of the first international arms dealers, selling his weapon systems to governments across the world from Brazil to Japan. In 1884, he opened a shipyard at Elswick to specialize in warship productionat the time, it was the only factory in the world that could build a battleship and arm it completely. The factory produced warships for many navies, including the Imperial Japanese Navy. Several Armstrong cruisers played an important role in defeating the Russian fleet at the Battle of Tsushima in 1905.

In the American Civil War in 1861 the North had a small but cognizable advantage over the south due to its ability to produce (in relatively small numbers) breech-loading rifles for use against the muzzle-loading

rifled muskets the were largely the sole variety of shoulder arm utilized by the south. This began the transition to industrially produced mechanized weapons such as the Gatling gun.

This industrial innovation in the defense industry was adopted by Prussia in 1866 & 187071 in its defeat of Austria and France respectively. By this time the machine gun had begun entering into the militaries. The first example of its effectiveness was in 1899 during the Boer War and in 1905 during the Russo-Japanese War. However, Germany were leaders in innovation of weapons and used this innovation nearly defeating the allies in World War I.

In 1885, France decided to capitalize on this increasingly lucrative form of trade and repealed its ban on weapon exports. The regulatory framework for the period up to the First World War was characterized by a laissez-faire policy that placed little obstruc- tion in the way of weapons exports. Due to the camage of

World War-l, arms traders began to be regarded with odium as “merchants of death” and were accused of having instigated and perpetuated the war in order to maximize their profits from arms sales. An

inquiry into these allegations in Britain failed to find evidence to support them. However, the sea change in attitude about war more generally meant that governments began to control and regulate the trade themselves.

The volume of the arms trade greatly increased during the 20th century, and it began to be used as a political tool, espe cially during the Cold War where the United States and the USSR supplied weapons to their proxies across the world, particularly third world countries (see Nixon Doctrine).

The world is facing a formidable challenge of the international arms trade that needs to be drastically reduced. It can eliminate the weapons and forge arms-control regimes. The international weapons trade is believed to be morally wearisome and some argue that trade is essential in a dangerous world.

The current picture depicts eruptive and disruptive scenarios, the international arms control and the non-proliferation regime have brought new security challenges, and the enormous growth of arms race and proliferation of weapons of mass destruction have posed greater threats to humankind.

We can only conclude that there must be something seriously wrong with our progress and development, and if we do not check it in time, there could be disastrous consequences for the future of humanity. I am not at all against science and technol ogy-they have contributed immensely to the overall experience of humankind; to our material comfort and well-being and to our greater understanding of the world we live in. But if we give too much emphasis to science and technology, we are in danger of losing touch with those aspects of human knowledge and understanding that aspire towards honesty and altruism.

At present, Pakistan is facing a variety of challenges that needs to be tackled appropriately. Two most critical challenges are ensuring economic stability in the country and making improvement in the governance mechanism in 2022. The economic challenges involve the stability in the value of rupee versus US dollar and other major currencies, containment of unwanted trade and current account deficit, provision of uninterrupted gas and power supply. In fact, economic growth and stability is inter-linked with the issues quoted above. Depreciation of rupee not only increase the cost of doing business, but it also puts extra financial burden on the consumers. For exporters and those receiving remittances, devaluation fetches more rupees, but importers, local businessmen and consumers face serious repercussions of the vicious cycle of rupee devaluation. These days the dollar-rupee exchange rate is revolving around 178 rupees in the inter-bank and 180 rupees in the open market. Nevertheless, neither the government nor the economic analysts are in a position to guess the dollar rupee parity in 2022, which, in other words would create more uncertainty in the country, promote dollarization, discourage foreign and local investment as well.

Similarly, the trade and current account deficits too weaken the economic foundations of the country. In fiscal year 2019-20 and 2020-21, the government was able to reduce the trade and current account imbalances. However, in 2021-22 the trend reversed and the country has lost too much on these two fronts. For example, the trade mounted surged to above 15 billion dollars in five months of the ongoing financial year while the current account deficit hit the record high level of over 5 billion dollars mark. The external trade imbalance has deteriorated to such an extent that the government had to obtain 3 billion dollars cash deposit from Saudi Arabia a few weeks ago with the aim to stabilize the dwindling foreign exchange reserves. In addition to this, the government is enforcing harsh conditionalities of the IMF to qualify for the resumption of suspended bailout package, setting aside its side-effects for economy, business, and impact on the consumers.

Improving the governance mechanism is also a key to ensure smooth sailing of the economy. In the last couple of years, the country has experienced many price-hike shocks and crisis of essential consumer items such as sugar, flour, gas and electricity, in the absence of a mechanism to check and balance the demand and supply system in the country. Whenever a crisis emerged in the country, the government acted only when the problem deteriorated to such an extent that the media and the consumers raised a hue and cry in the country. For evidence, the cases of sugar, flour, gas and electricity are enough to cite here. In winter season, we see crisis of gas and in summer, we experience power outages. This phenomenon is not new, but during the era of the PTI government, the crisis has deepened just because of non-existence of a check and balance system. For example, the adviser to prime minister on finance Shaukat Tarin has admitted that the flawed policy of the government has created gas crisis in the country. He said that timely decision to import gas could have averted this unwanted chaos.

The year 2022 is the last calendar year for the PTI-term because the caretaker set-up will be in place in April 2023 to hold next general elections (in case the govt completes its 5-year term), the government should focus on developing strategies which not only pave the way for economic stability but also ensure a good governance in the country. If the government could control trade and current account deficits within the desired levels in the last two fiscal years, why it could not demonstrate the same capability to tackle the challenges associated with prudent management and good governance in 2022 and beyond it to win accolades from the people.

Innovation and technology are crucial drivers of the long term growth of an economy They are essentially important in enhancing value addition, productivity and competitiveness of manufacturing and service industries in the knowledge and global economy Innovation include both improved technology and better methods of doing things it may be manifested in new products or services improved quality new ways of production packaging, marketing or distribution, new markets new supply sources, new organizations or systems and other areas improved technology is a powerful force for innovation and is needed not just in the high-tech segments of the economy but in all economic sectors.

Improvements to technology may be applied to all aspects of the value adding chain including the way in which a product or service is designed produced marketed and delivered We have to increase the capacity of our industry to innovate, as well as to stimulate improvements in technology throughout the economy We have to focus on sustaining and expanding our existing industries and spawning new industries that malice our current and future competitive strengths We have to come forward with strong will and determination to make Pakistan a centre of innovation and technology in all spheres of lite.

Meher Kashif Younis

(Editorial Note)

Why scientist focus on natural resource?

Aamir Raza

When it comes to energy resources, there is always the question of sustain ability. It is important that resources provide enough energy to meet our needs to heat our houses, power our cities, , and run our cars. However, it it is also important to consider how these resources can be used long term. Some resources will practically never run out. These are known as renewable resources. Renewable resources also produce clean energy, meaning less pollution and greenhouse gas emis- sions, which contribute to climate change.

Solar energy can play a key role in creating a clean, reliable energy future. The benefits are many and varied. Consumers who use these technolo- gies will benefit directly and immedi ately. Using solar energy produces immediate environmental benefits.

Electricity is often produced by burning fossil fuels such as oil, coal, and natural gas. The combustion of these fuels releases a variety of pollut ourants into the atmosphere, such as carbon dioxide (CO2), sulfur dioxide (SO2), and nitrogen oxide (NOx), which create acid rain and smog. Carbon dioxide from burning fossil fuels is a significant component of greenhouse gas emissions. These emissions could significantly alter the world’s enviro nment and lead to the global warming predicted by most atmospheric scientists.

The combustion of fossil fuels releases more than 6 billion tons of carbon into the atmosphere each year. The United States alone is responsible for 23 percent these emissions. Clean energy sources, such as solar energy, can help meet rising energy demands while reducing pollution

and preventing damage to the envi ronment and public health at the same time.

Solar energy is an excellent alternative to fossil fuels for many

reasons

It is clean energy. Even when the emissions related to solar cell manufacturing are counted, photovoltaic generation produces less than 15 percent of the carbon

HOW SOLAR POWER SYSTEM WORKS!

dioxide from a conventional coal fired power plant. Using solar energy to replace the use of traditional fossil fuel energy sources can prevent the release of pollutants into the atmosphere.

Using solar energy to supply a million homes with energy would reduce CO2 emissions by 4.3 million tons per year, the equiva lent of removing 850,000 cars from the road.

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Solar energy uses fewer natural resources than conventional energy sources. Using energy from

SOLAR ENERGY:

Why scientist focus on natural resource?

Aamir Raza

When it comes to energy resources, there is always the question of sustain ability. It is important that resources provide enough energy to meet our needs to heat our houses, power our cities, , and run our cars. However, it it is also important to consider how these resources can be used long term. Some resources will practically never run out. These are known as renewable resources. Renewable resources also produce clean energy, meaning less pollution and greenhouse gas emis- sions, which contribute to climate change.

Solar energy can play a key role in creating a clean, reliable energy future. The benefits are many and varied. Consumers who use these technolo- gies will benefit directly and immedi ately. Using solar energy produces immediate environmental benefits.

Electricity is often produced by burning fossil fuels such as oil, coal, and natural gas. The combustion of these fuels releases a variety of pollut ourants into the atmosphere, such as carbon dioxide (CO2), sulfur dioxide (SO2), and nitrogen oxide (NOx), which create acid rain and smog. Carbon dioxide from burning fossil fuels is a significant component of greenhouse gas emissions. These emissions could significantly alter the world’s enviro nment and lead to the global warming predicted by most atmospheric scientists.

The combustion of fossil fuels releases more than 6 billion tons of carbon into the atmosphere each year. The United States alone is responsible for 23 percent these emissions. Clean energy sources, such as solar energy, can help meet rising energy demands while reducing pollution

and preventing damage to the envi ronment and public health at the same time.

Solar energy is an excellent alternative to fossil fuels for many

reasons

It is clean energy. Even when the emissions related to solar cell manufacturing are counted, photovoltaic generation produces less than 15 percent of the carbon

HOW SOLAR POWER SYSTEM WORKS!

dioxide from a conventional coal fired power plant. Using solar energy to replace the use of traditional fossil fuel energy sources can prevent the release of pollutants into the atmosphere.

Using solar energy to supply a million homes with energy would reduce CO2 emissions by 4.3 million tons per year, the equiva lent of removing 850,000 cars from the road.

Solar energy uses fewer natural resources than conventional energy sources. Using energy from sunlight can replace the use of stored energy in natural resources such as petroleum, natural gas, and coal. Energy industry. researchers estimate that the amount of land required for photovoltaic (PV) cells to produce enough electricity to meet all U.S. power needs is less than 60,000 square kilometers, or roughly 20 percent of the area of Arizona.

Solar energy is a renewable resource. Some scientists and industry experts estimate that renewable energy sources, such as solar, can supply up to half of the world’s energy demand in the next 50 years, even as energy needs continue to grow.

Solar is the Latin word for sun a powerful source of energy that can be used to heat, cool, and light our homes and businesses. That’s because more energy from the sun falls on the earth in one hour than is used by everyone in the world in one year. A variety of technologies convert sunlight to

Businesses and industry also use these technologies to diversify their energy sources, improve efficiency, and save money. Solar photovoltaic and concentrating solar power tech nologies are also being used by devel opers and utilities to produce electric ity on a massive scale to power cities and small towns.

Searching for the right method of using renewable resources is a task that is growing ever more important as the Earth’s supply of nonrenewable

usable energy for buildings. The most commonly used solar technologies for homes and businesses are solar water heating, passive solar design for space heating and cooling, and solar photo- voltaic for electricity.

resources continues to dwindle. Converting to renewable energy will not only better sustain the world’s rapidly growing population, but it will also provide a cleaner, healthier environment for the generations to come.