M/s PIAC Boeing (B-737) aircraft registration No AP-BCD while operating PK-2162 from Kuwait to Karachi on 7th May, 1995 had an incident in which its No. 3 tyre tread peeled-off du1ing take-off roll and at lift-off speed the right landing gear unsafe light came 'ON'. However, when the gears were retracted all indications on the landing gear panel were normal. The Captain continued the flight after the First Officer confirmed by seeing through the viewing window that the gears were in fully up position. During the flight all indications were observed to be normal. However, at Karachi when the gears were lowered the right landing gear unsafe light again came 'ON'. The First Officer observed from the viewing window that the left landing gear was fully down, whereas; the right landing gear was in fully up position. Later, the landing gear was lowered using manual procedure and on visual inspection it was observed that right landing gear was in extended position and No.3 tyre was shredded off. At this stage hydraulic system 'A' pressure was also lost. It was confirmed by the ground staff that landing gears were in down and lock position as the aircraft made low passes the Captain made a safe landing.