‘Removing production barriers, best way to support exports’

August 31, 2020 - 14:3

TEHRAN - Head of the Non-Oil Export Promotion Committee of Iran Chamber of Commerce, Industries, Mines and Agriculture (ICCIMA) says the government should focus on removing the barriers in the way of domestic production as the best way for developing non-oil export.

“The prerequisite for an oil-free economy is to be able, as the first step, to remove the barriers that limit the activities of traders and also to improve production. Especially in the year that has been dubbed Surge in Production,” ICCIMA quoted Jamshid Nafar as saying.

Referring to the Leader's remarks on the need for directing liquidity toward production, Nafar said: “The realization of this statement is not possible except by removing barriers to production.”

“But unfortunately, instead of supporting production and producers, capital has shifted from the manufacturing and export sectors toward intermediation and speculation,” he regretted.

The official further stressed the need for the government to consult with the private sector and called the collaboration between the two bodies a necessity for the realization of the surge in production.

"Our main problems in export are the lack of infrastructure, the issues with the government directives and management, and if we want to increase the value of exports, these problems must be addressed through a combination of the private sector and government measures," he said.

Considering the reduction of Iran’s oil revenues due to the U.S. sanctions and the fall in oil price due to the coronavirus pandemic, the government has been shifting its focus from oil toward the promotion of non-oil exports to offset the country’s budget deficit.

In this regard, the promotion of domestic production has been seen as a vital factor in developing exports, so that the Leader of the Islamic Revolution has called the current Iranian calendar year (started on March 20) the year of “Surge in Production”.

EF/MA

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