Fatima Group has clarified a news headlined “Fertilizer company chooses US carrot over stick” which was published in The Nation and Nawa-i-Waqt on June 7, 2014.
Fatima Group noted with serious concern that the article has portrayed a misleading and damning picture rather than true facts.
According to Fatima Group, the factual position is as follows:
1. At every stage of the process, the Government of Pakistan was part of all discussions. Any steps taken were under the recommendations and with the consent of GoP. All contacts and communication with the Government of USA were conducted jointly with the Government of Pakistan.
2. It is categorically stated that we do not have any tracking technology and hence no tracking devices whatsoever were used on or in the bag. Therefore, neither was application of special chemical paint on the fertilizer bags carried out nor were any trackers placed in the bags at any time.
3. The decision to invest in the United States is strictly a commercial one and has no connection whatsoever with the CAN issue. The current significant opportunity in the fertilizer sector in the US is on account of the drastic reduction in gas prices and has consequently attracted a number of investors. Thus our group companies in conjunction with international investors have been able to secure this opportunity in a very competitive environment.
4. It is to be noted that such an investment from a Pakistani group will be viewed as a major business initiative and testament to the country’s corporate acumen. It will result in improving Pakistan’s international business profile and image. This investment will generate a precious foreign exchange stream over the next many years in the form of dividend revenue for the country without any foreign exchange outlay from Pakistan.
5. It is a total misconception that we have received incentives from the Government of US for our purported support. It must be clarified that the bonds (like TFCs in Pakistan) have been issued to private investors as per US regulations for such investments and not by the Government of the US. These are available to all investors pursuing investments there. The Bonds are a market instrument and a loan payable to private investors as per established practice and norm. Hence no special treatment is being meted out to our company and the other international investors in our project. Our project is one of several commercial organizations to receive these. There was no reward sought or given.
6. The group companies will seek all necessary approvals from the Government of Pakistan for investing in this project.