Issuance of industrial unit establishment permits increases 40%

April 2, 2021 - 12:53

TEHRAN – According to the latest data released by Iran’s Industry, Mining and Trade Ministry, during the first 11 months of the past Iranian calendar year 1399 (March 20, 2020-February 18, 2021), 36,162 permits have been issued for establishing new industrial units in the country, which marked a 40-percent increase year on year.

The units are predicted to create jobs for 810,178 persons, indicating 37.6 percent growth year on year.

During the said period, also 6,491 licenses were issued for the commission of newly completed industrial units, indicating an increase of seven percent compared to the same period of 1398.

As previously announced by the ministry, the issuance of permits for setting up industrial units in the country increased 16 percent in 1398.

Most of the issued permits were related to the food industries; and Semnan, Qom, and Khorasan Razavi were the provinces receiving the highest number of permits.

According to Asghar Mosaheb, the acting head of Iran Small Industries and Industrial Parks Organization (ISIPO), preventing the inactive status of the industrial units is a major plan of ISIPO, while lack of liquidity, problems in terms of supplying raw materials and machinery, and absence of market are the main reasons making the units inactive.

ISIPO’s Previous Head Mohsen Salehinia had said that providing liquidity is the main issue for many of the country’s production units, so based on the arrangements made, these units can receive part of their needed liquidity through bank facilities.

"Currently, the share of the country's production and industrial units in receiving bank facilities is about 31 percent and it is necessary to allocate a larger share of banking facilities to the country's production and industry," he had stated.

Strengthening domestic production to achieve self-reliance is the most important program that Iran is following up in its industry sector in a bid to nullify the effects of the U.S. sanctions on its economy.

MA/MA

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