Web Desk–Pakistan is offering Turkiye 1,000 acres of land—completely free—for a new Export Processing Zone (EPZ) inside the Karachi Industrial Park, The News reported, quoting officials.
This bold move was first suggested by Prime Minister Shehbaz Sharif when he met Turkish President Recep Tayyip Erdogan in April 2025. The main goal? To attract Turkish companies, boost manufacturing, and push bilateral trade toward a $5 billion target.
Pakistani Delegation Visits Turkiye
A high-level Pakistani team, including officials from the Foreign Office, Special Investment Facilitation Council (SIFC), Board of Investment (BoI), and Sindh Export Processing Zone Authority, traveled to Istanbul and Ankara to promote the idea.
While there, they studied how Turkish EPZs work. Turkiye has over 60 years of experience running these zones. At first, they were managed by the government, but since 1995, private companies have taken the lead, while the government acts as a regulator.
Why Turkish EPZs Are Attractive
Turkiye’s zones offer major perks: 20-year tax holidays, very low land costs, and uninterrupted utilities like electricity, gas, and water. Pakistani officials say these incentives will help shape Karachi’s new EPZ model.
The delegation stressed Karachi’s prime location and modern infrastructure. Being close to Middle East and Central Asian markets makes it a perfect export hub.
“Turkish companies moving to Karachi could cut freight costs from $4,000 to just $1,000 per ton,” a senior official explained.
Bigger Trade Plans on the Horizon
Talks are also underway to expand Pakistan’s Preferential Trade Agreement with Turkiye. Officials are even exploring a Free Trade Agreement (FTA) with Gulf Cooperation Council (GCC) countries, which could unlock new export routes and partnerships.
If successful, the Karachi EPZ could become a magnet for Turkish manufacturers. The investor-friendly setup, low costs, and strong market access could make it a win-win for both Pakistan and Turkiye.
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