DEFENCE EXPORT PROMOTION

ORGANIZATION (DEPO)
PAKISTAN
1

BRIEFING FOR SECY DP

3 SEP 2015

TERMS OF REFERENCE

TERMS OF REFERENCE
Provide a platform for facilitation, promotion and development
of defence exports (products and services) in public and
private sector
Act as advisor to Secretary (DP) for proposing policy options to
enhance defence export and address appeal/grievances of
foreign customers
Coordinate promotion of defence export with govt agencies /
organization including foreign missions
Promote defence export through interaction with high level
military delegations proceeding abroad and foreign high level
military delegations visiting Pakistan

TERMS OF REFERENCE
Conduct seminars, workshops, exhibitions and conferences
connected with defence exports, and facilitate / coordinate
participation in foreign exhibitions
Assist Defence Services in marketing training packages, overhaul
/ maintenance facilities, surplus stores and obsolete equipment
Coordinate services of Pakistani consultants for contract
management wherever required
Advise and Assist Defence Manufacturers in evaluation and
selection sales representatives
Establishment and maintenance a Display Centre for products of
private and public sector defence manufacturers

ORGANIZATION
DG
(Maj Gen)
SO (Capt / Maj)

Dir Sp Svcs &

Exhibitions
(Army Brig)
Col (Coord)/ GSO 1
(Coord)
(Army Lt Col)

GSO-II (IDEAS)
(Army Maj)

GSO-II (Exhib)
(Army Maj)

Maj Gen
- 1
Brig / Equivalent - 4
Col /Lt Col
- 1
Maj / Equivalent
- 8
Total
14

GSO-II (Accts)
(Army Maj)

Dir ME&A
(Army Brig)

Dir S&SEA
(Cdre PN)

GSO-II
(Army Maj)

GSO-II (PN)
(Lt Cdr)

Dir EPS
(Air Cdre PAF)

GSO-II (PAF)
(Sqn Ldr)

GSO-II (Coord)
(Army Maj)

COMPARISON

EXIHIBITORS

FOREIGN DELEGATIONS

SPACE BOOKED (sqm)

10

CHALLENGES

11

11

CHALLENGES
Subsidy
Obtaining subsidy for domestic manufacturers from Min of
Commerce (MoC) remains an uphill task for DEPO
Amount allocated always far less than the actually required
First come first serve basis for allocation of subsidy
Most of the manufacturers are denied this benefit due to which
they prefer not to participate

12

CHALLENGES
Subsidy received so far:IDEAS

Demanded

Received

IDEAS-2000

Rs 32.00 M

Rs 16.00 M

IDEAS-2002

Rs 40.00 M

Rs 20.00 M

IDEAS-2004

Rs 40.00 M

Rs 20.00 M

IDEAS-2006

Rs 53.40 M

Rs 26.70 M

IDEAS-2008

Rs 97.46 M

Rs 48.73 M

IDEAS-2010

Cancelled

IDEAS-2012

Rs 165.00 M

Rs 60.00 M

IDEAS-2014

Rs 130.00 M

Rs 57.725 M
13

COMPUTATION OF SUBSIDY
Ser

Description
of Space

Space Available
for Domestic
Exhibitors

Average
Tariff (US$)

Subsidy @ Amount of
50% (US$) Subsidy for
Domestic
Exhibitors
(US$)

Indoor

4,181 sqm

(525 + 460)/2
= 492.50

246.25

1,029,571.25

Outdoor

3,884 sqm (as

per 2012
booking)

300.00

150.00

582,600.00

Total Subsidy calculated = 1,612,171.25

PKR Equivalent @ 105.51 = *Rs.
170,100,188.58
Rs 170.00 Million
14

CHALLENGES
Against an overall requirement of Rs 125 M demanded for IDEAS-2012,
only Rs 60 M was allotted, which caused extra financial burden to the
Event Manager, who had already provided subsidy of Rs 125 M to
domestic exhibitors for encouraging maximum participation
Case pending with MoC for release of remaining Rs 65 M
Subsidy requested for IDEAS-2014 was Rs 130 M but less then 50%
was released that too, after six months of holding of IDEAS. This
resulted in lot of difficulties in attracting local exhibitors for IDEAS-2014
Approximately Rs 130 150 M subsidy is required for each IDEAS
Meeting of Min DP with Min of Commerce on the issue was planned on
25 Aug but has been postponed
15

CHALLENGES
Rebate on Booking of Expo Centre
Trade Development Auth of Pakistan (TDAP) provides subsidy
to Chambers of Commerce during their exhibitions arranged at
Expo Centre Karachi. Expo Pakistan is a case in point where
50% subsidy is provided for booking of Expo Centre
TDAP charges 100% amount from DEPO. It charged Rs
10.875 million and Rs 20.970 M for booking of Expo Centre for
IDEAS-2012 and 14 respectively and case for rebate is lying
pending with MoC / TDAP
16

CHALLENGES
Const of Hall 7 at Expo Centre Karachi.

Due to gradual

increase in the foreign and local exhibitors there is a need to add

another hall in Expo Centre Karachi
Refurbishment of Wash Rooms. Existing washrooms are not
compatible with the international standards being followed in
other international def related exhibitions
Reimbursement of Expenditure to Army. CGS dir during his
briefing held on 14 May 2015 at GHQ that in future Army should
ask MoDP for reimbursement / recoupment of expenditure on
IDEAS. Reply has been sent through MoDP
17

RECOMMENDATIONS

18

18

RECOMMENDATIONS
Subsidy. Ministry of Commerce be asked to ensure timely
release of subsidy demanded for IDEAS and should not
automatically deduct 50% amount. The release of balance
amount of subsidy of Rs 65 million of IDEAS-2012 and Rs
72.275 M for IDEAS-2014 should be immediately approved
Rebate on Rent of Expo Centre Karachi.

TDAP / MoC may

be asked to provide 50% rebate on booking of Expo Centre

Karachi on the ground that DEPO is not a commercial org,
rather is a subordinate set up of MoDP
19

RECOMMENDATIONS
Const

of Hall 7 at Expo Centre Karachi. TDAP may be

asked through MoC to construct 7th Hall in the Expo Centre

Karachi to enhance the overall space for IDEAS-2016 which will
be held from 22-24 Nov 16
Display Halls.

DPEs may be asked to finalize their work on

display Halls well in time, so that inauguration goes as per plan

Refurbishment of Washrooms. Refurbishment of existing
washrooms of Expo Centre on fast track basis to bring them at
power with international standards
20

THANK YOU

21

21

ACTIVITY CHART 2015

Activity

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Post IDEAS Summit

Post IDEAS Report
Invitations to Msn Abroad /
Pakistan
Approval of IDEAS from PM
Briefing on IDEAS

Min DP
&Senate

CJCSC

DG
JS

IDEX-2015
IDEF-2015
DSEi 2015
Invitees List from own VIPs
List Counterparts of own VIPs
Preparation of Brochure for next
IDEAS
Documentary Movie

22

Oct

Nov

Dec

ACTIVITY CHART 2016

Activity

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

1st Steering Committee Meeting

Booking of venue for Seminar
2016
Selection of MOC for Seminar
Finalization of think tank, SLCs,
venue & Topics
Obtaining Consent of Governor
Governors reception
2nd Steering Committee
Meeting
Instructions for Governors
Reception & approval of speech
from Governor
Approval of Speeches, of Lunch
menu, instructions, Seating
plan and approval of Menu of
Inauguration Ceremony
Security Clearance of Car
Rental companies, Hotel Staff,
3rd Steering Committee Meeting

23

Oct

Nov

Dec

ACTIVITY CHART 2016

Activity

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

DIMDEX 2016
DSA-2016
KADEX-2016
Eurosatory-2016
AAD-2016
Approval of Seminar theme
Sel of Speaker for Seminar
Sel Presiding Offr/CG/MOC
Booking of Seminar Venue
Finalization of Speeches
Approval of Souvenir
Preparation of Seminar Folder

24

Oct

Nov

Dec

ACTIVITY CHART 2016

Activity

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Invitation to Foreign Delegation

Booking of Rooms for Delegates
Misc Certificates related to Cargo
Handling
Misc Instructions related to
Delegation / LOs
Attachment of LOs
Confirmation of Foreign
Delegation
Transport for foreign Delegations

25

Oct

Nov

Dec