DEVELOPMENT ECONOMICS PROJECT ON

FAN INDUSTRY OF PAKISTAN

Dedication

I am dedicating this research work to my honorable teacher Sir Gulzar khan and my

respectable parents who are the source of financial and moral support to me.

Acknowledgement

I am grateful to Almighty Allah, who granted success in my worn. Due to his blessings, i

have been able to do my work successfully. I express my deep gratitude to my supervisor

Sir Gulzar khan valuable suggestions, positive criticism and proper guidance. It would

have been almost impossible for me to accomplish this task successfully without his

help.I reserve my most cherished words of gratitude for my parents whose prayer gave

me passion and courage during my whole life

OUTLINE

Introduction

Historical Background

Industry Profile

Division of Units

Major fan producing companies

Percentage of Production

Variety of Products

Raw Material

Exports

Countries to export Pakistan's fan

World’s Export of Industrial Fans:

World Vs Pakistan Export of Fans:

World Vs Pakistan Export of Fans:

Projection

Regression Equation

Conclusion

INTRODUCTION

Fan is a daily use item. Its utility increases, especially in the summer season. The industry

is producing about 5 to 6 millions fans per annum and meeting successfully the local as

well as export demand. Out of the total production, approximately 30 percent fans consist

of pedestals, 7 percent consist of brackets and remaining 63 percent are ceiling fans. The

industry belongs to light engineering industry category, and is one of the industries that

existed at the time of independence. In the early 1950s it was declared as cottage industry

and its more than 50 percent units still fall in this category.

Fan industry is mainly confined to Gujranwala and Gujrat, cities of Punjab province of

Pakistan. The reason for its remaining a cottage industry is that majority of the units does

not have full facilities of production under one roof. They usually give offers to the units

having machines for different parts like fan guard, blade castings, core lamination etc.

These units have lathes, shapers, milling machines, and power pressers, die casting

machines and electroplating equipments. Therefore, most of the units are simply

assembling units. Thus, they do not give brand names to their products. Besides small

and medium units, a few units are quite large and have integrated system i.e. from motor

winding to high-pressure dies castings. These companies have reputed brands names and

the qualities of their products are of international level. The units are the main players in

export field.

The industry is producing a variety of products indifferent sizes and designs. The major

products are: Ceiling, Pedestals, Table, Table-Cum-Pedestal Fans, Circumatic Fans, Wall

Bracket, Exhaust Fans And Propellers. The industry supplies quality products to the local

markets, whether branded or unbranded, at competitive prices. About 400 units have a

production capacity of 5 to 6 million fans, on single shift basis. The production is equal to

demand, including a nominal quantity of exports. The actual production has remained

about 2.5 million fans per annum, showing a 50 percent idle capacity. The demand for

fan is continuously increasing due to increase in population and speedy migration

towards a big cities, and exports. The other factor is that during the last few years, local

demand for quality products is increasing fast as compared to low price goods. This

means people are becoming quality conscious.

Industry Profile 2005-2006

Total capital investment Rs. 5 Billion

Installed Capacity 7 million Fan / year

Current Capacity utilization 80%

Total Production 5.6 million Fan / year

Direct Employment 30,000 people

Indirect Employment 40,000 people

Annual Revenue Rs. 5.25 Billion

Exports ( 2005-06 ) US $16.66 Million

Imports (US $ Million ) 0.16

2005-06 2000-01

Total capital

investment Rs. 5 Billion Rs. 3-3.5 billion

Installed Capacity 7 million Fan /

year

5-6 Million Fans /

year

Current Capacity

utilization 80% 50%

Total Production 5.6 million

Fan / year

2.5-3 Million

Fans/year

Direct Employment 30,000 people 25,000

Indirect Employment 40,000 people

Annual Revenue Rs. 5.25 Billion Rs. 2.25-2.7

billion

Exports ( 2005-06 ) US $16.66

Million US $ 3.89 Million

Imports (US $

Million ) 0.16 -

GDP Contribution - Rs. 1.5 billion

DIVISION OF UNITS:

LARGE SCALE UNITS

UNITS 8

PROJECT COST Rs. 250-350 Million

EMPLOYMENT 200-300

PRODUCTION 60,000-250,000

REVENUE GENERATED Rs. 150-250 Million

MEDIUM SCALE UNITS

UNITS 50

PROJECT COST Rs. 10-20 Million

EMPLOYMENT 60-80

PRODUCTION 20,000-60,000

REVENUE GENERATED Rs. 150-250 Million

SMALL SCALE UNITS

UNITS 450

PROJECT COST Rs. 0.5-1.0 Million

EMPLOYMENT 20-25

PRODUCTION 2,000-10,000

REVENUE GENERATED Rs. 2.0-5.0 Million

VENDORS

UNITS 1000

PROJECT COST Rs. 0.45-1.0 Million

EMPLOYMENT 5-20

INTRODUCTION OF COMPANIES

WAHID INDUSTRIES (PAK FANS)

Mission

To enhance its reputation its reputation for quality in all its operation, providing a better

quality product to the customers and make their satisfaction through which to maximize

the business profit.

Company profile

Wahid Industry was setup in Gujrat as a modest manufacturing unit in 1936. It started its

operation with the manufacturing of light engineering and utility goods. In 1945, for the

first time in this region, the company embarked on the manufacturing of electric fans. It

is a pioneering achievement of Mr. Abdul Wahid, the founder and lifetime chairman of

the company. He simply took it as a challenge, undeterred by the attendant initial

difficulties. His determined efforts were finally crowned with success. The project not

only tool off under his dynamic policies but also register a phase of rapid growth and

expansion, capturing a major share in the country’s markets. Thanks to the founder

Presidents dictum, “no compromise on quality”, Pak fan today is not only synonymous

with top quality fans but also an identified symbol for Wahid industries. Towards making

Wahid industries limited, a self-reliant concern a modern automatic Japanese plant was

installed in 1981. At this plant, we manufactured international quality enameled copper

wire and marked under the brand name if Pak Super. This brand has taken a major share

in local market. So the company is adopting those methods of production and quality

control, which conform to meet international standards.

The company has now its own facilities for accurate testing on the most modern and

sensitive testing equipment. Every product is subjected to the most rigid test and eaves

the factory only when it is finally “passed” by the experts. True to the company’s

progressive business philosophy. Mian Ehsanullah, the director and son of founder

president Mr. Abdul Wahid, is always on the look out for the world’s latest technologies

to adopt and assimilate in the production of Pak fan. His father motto, “no compromise

no quality” is a creed for Mian Ehsanullah, which he adheres to most strictly. To live up

to its progressive image the company keeps itself a breast of the latest technological

developments around the world and this enables the company to continually introduce

ever-new concepts in electric fans. The remote controlled and louver fans are quite recent

examples. As a result of its innovative excellence and ever evolving technological

processes, Pak fan remain the number choice- both at home and abroad, including the

Middle East. In year 1999-2000 Pak fan achieved the highest international quality award

ISO 9002 certified company. Pak fan also won the FPCCI trophy 1999-2000 and now

Pak fan is the largest exporter and manufacturer and electric fans of Pakistan. Towards its

role as a deposable corporate citizen, Wahid industries keeps on and encouraging and

contributing to social uplift programs. The company runs a modern hospital named

“Wahid Trust Hospital” equipped with the latest facilities and leading medical

practitioners.

“Pak fan is the name of durability and reliability”

Future Planning

PAK FAN is very eager to improve its business activities, so far more improvement of

quality assurance. In near future organization is interested in increasing its business area

and wants to capture more market that it already has but not fully captured. This is why

the management is keen to introduce the new iron under the name of Pak Iron Industry.

GENERAL FAN COMPANY (G.F.C Fans)

Mission

The mission of G.F.C. FANS is to produce such quality products which provide entire

satisfaction to all our customers the world over.

Vision

The management and the workers of GFC FANS have a vision to supply in near future all

types of electric fans to all the countries of the world where fans are being used.  We see

ourselves as one of the largest and most renowned fan manufacturing company in the

world providing all types of fans to all the countries according to their required

specifications and needs. Our vision is to enlarge our market from the present day Middle

East to whole of Africa, Europe, and America including South America, Central America

and Caribbean.  We believe that we have a unique product, which has been developed by

GFC, and no other country manufactures a pedestal fan like ours. This product is most

useful in the hot tropical humid climates. We want to mark this product throughout the

world and we foresee this product to dominate the entire International market. We want

to set up an excellent after-sales-service and spare parts supply service to each and every

country. We also want to set up home service centers throughout the world. We believe

that within 10 years we can achieve an export target of US Dollars 40 Million.

About company

General Fan Company (Pvt.) Ltd. was formed in 1954 as a small manufacturing unit for

electric fans. The company grew rapidly from its modest start because of the quality of its

products. The company was one of the major exporters of fans in 1960's to Iraq.

However, the company was in trouble in late 1970's due to differences in its partners. The

present management took over the company in 1978 and Engineer Muhammad Ilyas took

over as Chief Executive of the company. Under his dynamic leadership the company rew

rapidly and G.F.C. became major recognized brand for fans in the Pakistani market. Mr.

Muhammad Ilyas, the Chief Executive who is a foreign trained Electrical Engineer,

brought in new technologies for fan manufacturing from developed countries and

improved G.F.C. products in a continuous process. Automatic Capstan Lathe Machines

and Die Casting Machines were introduced in 1982. Automatic Winding Machines were

brought from Taiwan in 1985. A Japanese made modern Enameled Wire Manufacturing

Plant was installed in 1987 for the manufacturing of quality enameled copper wire for

own consumption as well as for the sale in the local market. Plastic Injection Molding

Machines were installed in 1993 to manufacture own plastic parts for plastic fans like

Exhaust Fans, Bracket Fans, Circumatic Fans and Table Fans. A modern tool room was

set up for the manufacture of Dies, Molds and Models etc. The tool room consists of

Wire Cut Machines, EDM Machines, Surface Grinders, Cylindrical Grinder, Shaper

Machines, CNC Milling Machines and Copy Milling Machines. Automatic Rotor

Balancing Machines were introduced in 1995 to further improve the quality of fans.

Modern Continuous Stamping Presses were installed in 1997 for manufacture of motors

of all type of fans such as Ceiling, Pedestal, Bracket, Exhaust and Circumatic Fans etc.

Slitter Machine for slitting the electrical steel sheet coils was installed in 1999. The

company started manufacturing Washing Machines in 1996. Due to its quality and

excellent finish the product has become an instant success. Gas & Electric Geysers are

being manufactured since year 2000. The Chief Executive Mr. Muhammad Ilyas is a

pioneer in the export of electric fans from Pakistan. To initiate the export from Pakistan

he attended an International exhibition for electrical appliances in 1993 in Abu-Dhabi.

The company also participated In many trade delegations as well as exhibitions arranged

by Export Promotion Bureau and Federation of Chamber of Commerce & Industry In

Bangladesh, Yemen, Saudi Arabia, Dubai, Bahrain. Qatar, Sudan, Egypt, U.S.A. etc.

G.F.C. was the first Pakistani company to export fans to the Middle East. G.F.C. Fans

became an instant success due to their quality and durability in all the markets where

these were introduced. General Fan Company has also set up a unit to manufacture

capacitors used in electric fans, Washing machines and motors. Mr. Muhammad Ilyas

(Chief Executive) and Mr. Muhammad Ijaz (Finance Director) are always on the look out

for the latest technology for manufacturing of electric fans as well as for corporate

management of the company. Now G.F.C. has established a new Computer department

which keep its Executives update about any inquires. This shows the interest of

management not only in manufacturing technology, but they also know the importance of

information technology. G.F.C. has stepped in this Millennium fully equipped with

manufacturing and information technology for Corporate Management and Marketing.

G.F.C can rightly claim that they have all the best technologies in its workshops and in

office, which are available for Design. Production and Management. Our products are

now of International Standard, and we are truly an International Company. Our 600

Employees and Management are committed to Excellence in Quality.

Credentials

General Fan Company (Pvt) Ltd. is a pioneer in the export of electric fans from Pakistan.

To initiate the export from Pakistan we participated in International exhibition for

electrical appliances in 1993 in Abu-Dhabi. The company also participated in many trade

delegations as well as exhibitions arranged by Export Promotion Bureau and Federation

of Chamber of Commerce & Industry In Bangladesh, Yemen, Saudi Arabia, Dubai,

Bahrain. Qatar, Sudan, Egypt, U.S.A. etc. G.F.C. was the first Pakistani company to

export fans to the Middle East. G.F.C. Fans became an instant success due to their quality

and durability in all the markets where these were introduced.

By the grace of God,

G.F.C. has been getting the Export Trophy from FPCCI for the export of electric

fans for many years. The growth rate of fan export from G.F.C. has been

continuously more than 100% per annum for the last 5 years.

1/3rd of the total fans exported from Pakistan are G.F.C. Fans. G.F.C. has large

International orders many times more than the previous years for the financial

year 2001-2002 and we are looking forward to export fans to all parts of the world

including United States and Europe.

Water and Power development authority has issued the renewal of Registration in

1997. Registration Renewal is an honorable success that G.F.C. has achieved.

ISO-9002 Certificate assures that Manufacturing Quality of Electric Fans are

according to International Standards.

Engineer in Chief Branch has given the certificate of Enlistment/Registration

dated: 23-2-2000 on best technical performance.

Contract agreement for supply of G.F.C. Fans for "Army Housing Directorate" at

30 April 2001 and is a big achievement for G.F.C. Fans. 

Pakistan Standard Institution has certified according to 1961 ordinance. The

institution hereby grants to G.F.C. Fans. (Hereinafter called "the License") this

License is used as standard mark.

MILLAT INDUSTRIES

Five decades now MILLAT has undoubtedly been a household name when it comes to

the premier quality fans, thus making it the technology of this century. The third

generation is now relishing the superb quality of its products after the two cherished it in

their lifetime. The company came into operation in 1947 and became the pioneer

company in manufacturing of fans. Initially the company started at a small manufacturing

facility in the heart of Karachi at Lawrence Road. Due to its commitment to superior

quality and innovative designs, Millat quickly became the market leader among the breed

of brands. With increase in customer demand the company moved from Lawrence Road

to its premises in site in 1960’s. From then on the company enjoyed a healthy market

share and remained on the path of success due to its through commitment in producing

quality products. With this addition of products, HM Esmail & Co now has a variety of

electrical products to offer. The management of HM Esmail & Co has added same new

designs in the areas of ceilings, bracket and ventilation fans along with the existing range

including the everlasting ceiling, table, pedestal, wall and bracket fans and a full range of

plastic models with innovative and elegant designs.

MILLAT FAN AS A BRAND

Millat Fans is engaged in the manufacture and export of all kinds of fans for consumer

and industrial as well as export applications.

Products

We started with a big capacity of fans per annum and during a span of a decade, the

company established itself among the top manufacturers in Pakistan. At present, Millat

has been using latest technology, production machines and testing facilities with the

installed capacity of fans per annum. The products are manufactured in line with Pakistan

as well as international standards.

The Certifications...we have

Our products are ISI marked and also approved by apex test houses. The company is

amongst the biggest suppliers to Undertakings and large industrial houses.

Quality Control

We follow strict quality control at each and every step right from procurement of raw

materials to in process goods. Each & every belt is checked and passed by our expert

team of QC department before being sent to the finished goods store.

SUPER ASIA ELECTRONICS INDUSTRIES

Super Asia is engaged in producing top order home appliances in South Asia.

Recognition of its achievements in quality products is manifested in the form of the ISO

9002 certification. The success tale spread well over 25 years when Super Asia produced

the first washing machine of Pakistan. Later on Super Asia started producing room air

coolers, gas and electric geysers. Keeping in view the requirements and purchasing power

of all the segments of the society Super Asia has introduced different washing machines

to meet their demands. Super Asia has the honor to produce complete plastic body

washing machine for the first time in Pakistan. Another hallmark in quality products is

introducing the double action washing technology through side and center Plaster. In

Pakistan Super Asia has not only introduced a large range of Room Air Coolers in plastic

body, but in different sizes and values as well. Super Asia in order to maintain its

superiority in producing public utility products has introduced hot and cold, and only

cold-water dispenser. It was an instant success' due to its design, effectiveness and

affordable price amongst the consumers. Similarly the complete range of super Asia fans

is of international standard. There are different sizes, colors in Ceiling, Pedestal, Bracket,

Circumatic and Exhaust Fans. Research based products of Super Asia enjoyed a sense of

superiority over similar products in the open market. The objective is, however, to offer

consumers products of international quality at affordable price and this can be judge by

the fact that they are being exported to Saudi Arabia, Dubai, Bangladesh, Sri Lanka and

Myanmar from the last so many years, and their demand is growing day by day.

The success story of Super Asia is due to its chairman Haji Mohammad Yousaf while

Managing Director Haji Muhammad Afzal looks after the production aspects of the

factory. He has a critical approach towards the products and their prices offered by their

competitors. Haji Muhammad Ashraf, Chief Executive of Super Asia has played a

leading role in the marketing aspects of the products. He is fully aware of modern trends

in the International Markets.It will not be out of place to mention the services of Mr.

Faisal Afzal, Mr. Abdul Razaq, Mr. Sohail Yousaf and Mr. Umer Ashraf, that is looking

after different departments of Super Asia. These four young fellows with their higher

education and thriving on the experience of their seniors have produced excellent results.

Apart from looking after the affairs of factory, chairman Haji Muhammad Yousaf is

equally paying his attention towards religious affairs and social work. He has constructed

a Mosque, Mian Muhammad Din Trust Hospital is another example, where free medical

treatment is being provided to factory workers, and the needy of nearby localities.

PAK UNION FAN INDUSTRIES

Company Profile

Established in1980, manufacturer of ELECTRIC fans in Pakistan in the brand name of

Super Sonic, in different designs and sizes. It includes special varieties of ceiling,

pedestal, exhaust, bracket fans, table and which display their professional expertise, skill

and are equally renowned locally and abroad. As a corporate policy we believe in

providing best of services to our clients with correct information. Our extra friendly

activities keep our members and dealers cheerful and always ready to provide a helping

hand.20 years in export now also available in Pakistan

.

Company Name: Pak Union Fan Industries.

Address: 83, G.T. road, Lahore, punjab, Pakistan 

Products/Services We Offer:

We are manufacturer of all kind of Fans like

Ceiling Fans, Pedestal Fans, Bracket Fans and

Exaust Fans

Business Type: Manufacturer

Geographic Markets: Worldwide

No. of Employees: 101 - 500 People

Annual Sales Range (USD): US$2.5 Million - US$5 Million

Year Established: 1980

SUPER INDUS ELECTRICAL INDUSTRIES

Super Indus electrical industries is a largest manufacturer of home appliances such as

fans of all types and sizes, washing machines, room coolers, gas appliances. Super Indus

electrical industry is working in Pakistan from last 35 years. We export our products to

Bangladesh and Middle East countries since 15 years. Our motto is to provide excellent

services to our customers.

Company Name: Super Indus Electrical Industries

Address:58-A Small Industrial Estate No.1, Gujranwala,

Punjab, Pakistan 

Products/Services We Offer:

Ceiling Fans, Pedestal Fans, Stand Fans, Wall

Fans And Exhaust Fans, Washing Machine,

Dryer Machines, Room Air Coolers, Gas Stoves,

Cooking Ranges, Gas And Electric Water

Heaters, Room Heaters

Business Type/ Industry Focus:Fan,  Washing Machine ,  Gas Cooker, Range,

Stove ,  Water Heater / Manufacturer

Geographic Markets: Mid East

No. of Employees: 101 - 500 People

Annual Sales Range (USD): US$1 Million - US$2.5 Million

Certificates: our customers satisfaction is our certificate

Year Established: 1970

Legal Representative/CEO: CEO

OTHER FAN PRODUCING COMPANIES

Pakistan Fan Consortium Golden Star Fans

Pak Punjab Fans Global Technologies

Vision Enterprises Sevendays

Ace Electrical Appliances Amin Industrial Corporation

Pioneer Industries Falcon Enterprises

Raw material

Moat of the raw material used by the fan industry are directly ort indirectly imported

from different countries. Irregular and constrained supplies of some basic inputs are the

main bottlenecks. Some of the raw materials used in the manufacturing of a fan are:

electric steel sheets, aluminum, enameled copper wire, ball bearing, steel rod and PVC.

Major fan producing countries are Japan, Korea Taiwan Hong Kong India and China.

Japan is covering high quality market segment of fan market. Korea and Hong Kong are

in middle segment of market while Pakistan India Taiwan and China are supplying

comparatively low quality products at cheaper prices.

Exports

Although fans exports have great potential, their exports are negligible. In 1992-93, only

two hundred thousand fans were exported to only two countries, Iraq and Yemen. But

now the industry is exporting fans to more than countries. The figures given in table-I

indicate that although the exports of ceiling fan increased from RS 134 thousand to 209

million rupees, the trade is fluctuating a great deal. As against ceiling fans, the increase is

pedestal fan export is quite stable i.e., continuously rising.

Pakistan has also started exporting parts of fans. During the last four years, as shown in

table II, the amount earned from export rose from RS 4.2 million to RS 107 million in

1998-01, but decreased to about fifty percent the very next year, 2001-02. However, in

spite of big fluctuations, it is believed that if some bottlenecks are removed there is a big

scope for enhancing the exports of fans.

The situation is that from very the beginning, the government has not given any

incentives to encourage fan industries., whatever progress the industry made, it has made

on its own resources, and is due to its dedicated and hard working manufacturers and

laborers. In spite of lack of proper training the industry ha innovated and uplifted the

standard to the level where its products can compete in the world markets.

The main constraints hindering the growth of industry as well as export are:

Ball bearing is an important part that ensures smooth running and noiseless working of an

electric fan. Fan manufacturers are now importing this item because of smuggled ball

bearings local units are not producing quality products. Thus, anti-smuggling measures

should be taken to save the local industry, which in turn would ensure regular supply of

ball bearing to fan industry at reasonable prices. In the meantime, the import duty on ball

bearings should be rationalized.

Like ball bearings, Electric Steel Sheet (ESS) is also a major item in fan manufacturing.

It determines the quality, performance, durability and electric consumptions of a fan.

However, due to ESS shortage and high prices, fan manufacturers are using Mild Steel

Sheet (MSS). The motors manufactured from this material are not good quality and use

more electricity.

Prices of raw material are a major constraint in export. For instance, in some cases C & F

prices of raw material in Pakistan are greater than C & F price of fans from India.

Therefore, if the government really wants sot increases export of fan, custom duties on

raw material should lowered to a reasonable level. There is an urgent need to establish a

research department for innovation and to improve designs of fans according to the

requirements of international buyers. Pakistan Standard Institute’s (PSI) procedure should

be simplified and the latest technical laboratory should be set-up to test the fans. The PSI

should establish its testing laboratory in the area where industry exists and test fans on

two standards i.e., at local and international. The test reports should be given in a specific

period. Further, an institute of labor training should immediately be established with the

help of PEFM Association. The other measures to enhance the exports include organizing

seminars, doing surveys of the foreign markets that would give the idea of how to export,

where to export and what to export.

Export of fans

Years Ceiling Pedestal

(000 RS)

1998-99 1341289

1999-00 817621826

2000-2001 1863615137

2001-2002 255232432

2002-2003 1568966370

2003-2004 5925161554

2004-2005 208963183613

Parts Of Fans Exported

YearsMillions

2001-2002 4.2

2002-2003 16.6

2003-2004 109.7

2004-2005 67.9

Fans Exporters by Type:

(Millions RS)

Fans Type 2001-2002 2002-2003 2003-2004 2004-2005 2005-2006

Ceiling Fans 2.6 15.7 59.3 208.9 90.3

Pedestal Fans 32.4 66.4 161.6 183.6 150.8

Table Fans 1.1 -- -- 0.9 0.8

Exhaust Fans 0.1 0.1 0.1 -- --

Other Fans 2.9 6.9 5.1 27.2 --20.1

Fan Blowers 24.0 13.2 0.7 -- --

Other Fans N.S 3 9.7 5.3 2 --

Total 45 42 232.1 422.6 362

Source: Federal Bureau of Statistics.

Countries to Export of Pakistan’s Fan:

COUNTRY Other Fan Fan under 125 Watt

BANGLADESH 44% 48%

SAUDI ARAB 14% 19%

UAE 25% 17%

OTHERS 17% 16%

Exports of Pakistan's Fan

17%25%

14%

44%

16%17%19%

48%

0%10%20%30%40%50%60%

BA

NG

LAD

ES

H

SA

UD

I AR

AB UA

E

OTH

ER

S

% a

ge Other Fan

Fan under 125 Watt

COUNTRY- WISE EXPORT SHARES OF OTHER FAN (INDUSTRIAL FAN):

COUNTRY SHARES

PAKISTAN 0.02%

FRANCE 2%

NETHERLAND 3%

SWEEDEN 3%

KOREA 1%

CANADA 5%

UK 4%

ITALY 9%

USA 14%

JAPAN 19%

GERMANY 33%

TAIWAN 7%

COUNTRY- WISE EXPORT SHARES OF FAN UNDER 125 WATT (DOMESTIC FAN):

FAN UNDER 125 WATT (Domestic Fan)

COUNTRY SHARES

PAKISTAN 0.1%

SINGAPORE 1%

UK 1%

TAIWAN 20%

CHINA 44%

THAILAND 6%

GERMANY 5%

USA 3%

ITALY 2%

SPAIN 2%

JAPAN 2%

OTHER 13%

World Vs Pakistan Export of Fans:

VALUE IN US $ OTHER FAN FAN UNDER 125 WATT

WORLD US $ 3.9 Billion 73% 27%

PAKISTAN US $ 30 Million

34% 66%

World Vs Pakistan Export of Fans:

Type 1998-99 1999-00 2000-01 2001-02

Ceiling Fans 2.6 15.7 59.3 208.9

Pedestal Fans 32.4 66.4 161.6 183.6

Table Fans 1.1 -- -- 0.9

Exhaust Fans 0.1 0.1 0.1 --

Other Fans 2.9 6.9 5.1 27.2

Fan Blowers 24.9 13.2 0.7 --

Other Fans 3.0 9.7 5.3 2.0

Total 45.0 42.0 232.1 422.6

AVERAGE UNIT PRICE COMPARAISON

COUNTRY Other Fan

Unit Value (US $)

Fan under 125 Watt (US $)

PAKISTAN 16 17

USA 64 46

MALAYSIA 48 30

INDIA 40 16

CHINA 38 5

Average Unit Price Comparasion

64

4840 38

46

30

165

16

17

010203040506070

PA

KIS

TA

N

US

A

MA

LA

YS

IA

IND

IA

CH

INA

US

$

Other Fan

Fan under 125 Watt(US $)

PROJECTION:

years Installed capacity (000) Steel consumption (000)

production (000)

1970 234 543.7 1231971 233 566.2 2331973 243 577.33 1221974 245 599.2 1471975 241 588 1981976 153 689.23 1891977 244 683.3 2331978 265 776.3 2671979 277 568.9 2481980 388 889.23 2891981 355 992.5 2881982 399 776.6 2771983 389 778 3451984 387 669.23 4981985 243 667.34 3771986 265 889.56 3981987 345 998.4 4781988 365 998.56 4981989 345 889.45 4771990 345 1,073.90 5661991 456 1,048.10 5671992 489 1,098.20 6671993 478 1,252.70 4451994 477 1,044.70 4451995 566 1,002.20 6681996 546 1,068.60 7761997 534 1,015.80 7861998 576 989.3 5461999 588 1,106.50 4562000 678 1,071.20 3452001 889 1,042.90 6652002 8879 1,140.20 5452003 88889 1,180.00 7652004 99987 1,137.20 4572006 70000 768 7652007 78999 1,008.80 587

REGRESSION EQUATION:

Y=115.8020+0.001388a+0.60287b

Y=production

A=installed capacity

B=consumption of iron

Dependent Variable: PMethod: Least SquaresDate: 05/18/10 Time: 20:34Sample(adjusted): 1970 2005Included observations: 36 after adjusting endpoints

Variable Coefficient Std. Error t-Statistic Prob. C 115.80201730 106.165001703 -

1.090773940970.28327298

6687

A 0.00138895359327

0.000911717940023

1.52344659713 0.137173692359

B 0.602878326281

0.118104624049

5.10461238193 1.35519391003

R-squared 0.514752210762

Mean dependent var 437.111111111

Adjusted R-squared 0.485343253838

S.D. dependent var 195.775786884

S.E. of regression 140.448728931

Akaike info criterion 12.8072172968

Sum squared resid 650952.900128

Schwarz criterion 12.9391772083

Log likelihood -227.52991134

2

F-statistic 17.5032461063

Durbin-Watson stat 1.73140369213

Prob(F-statistic) 6.58262067988e-06

CONCLUSION:

According to my expectation both a and b are positive and significant.this shows that the

production depends upon the installed capacity and the availibity of steel and they greatly

effect the production.

REFRENCES

www.royalfans.com

www.gfcfans.com

www.wahid-industries.com

www.millatfans.com

www.bizreport.com

www.businesweek.com

http://www.alibaba.com/trade/search?CatId=618&OfferType=SALE

%2CAGENT

%2CMISC&IndexArea=company_en&Country=PK&CompanyType=&Search

Text=Fan

http://www.statpak.gov.pk/depts/fbs/statistics/manufacturing_industry/

cmi_2001.html

www.alibaba.com/countrysearch/PK/ fan .html

www.goldenstar fans .com/

www.gcu.edu.pk/Forms/.../Pak%20India%20Trade%20Summary.pdf

www.digital fans .biz/pages/brands_detail.php?pdid=8&pid ...