TEHRAN - Abolfazl Roghani Golpayegani, the head of the Iranian Syndicate of Paper and Cardboard Manufacturers, has said considering the country’s potentials and capacities Iran could easily become a hub for the supply of mentioned products in the region.

“Due to the general conditions and available facilities, Iran has the potential to become a regional production hub in many industries including the paper and cardboard sector,” Golpayegani told IRNA on Friday.

Apart from Turkey, which is the largest automaker in the region through cooperation with Italy’s Fiat, Iran is the top producer in other industries such as cement, glass, steel, etc.; it can also become the main supplier of paper to the region’s large market, he stated.

According to the official, the government has issued a license for an annual production of 2.8 million tons of packing paper, while the country's annual production capacity is currently 1.6 million tons and the domestic demand is 900,000 tons per year.

“Therefore, surplus production must be exported, and exports are already underway to Europe, including Germany, Finland and the United Kingdom, as well as Asia and the Persian Gulf Arab nations,” he said.

Golpayegani noted that by creating the necessary infrastructure, using the existing vacant capacities and developing the production units, while improving international interactions and resolving the country's political issues, the paper industry can achieve the goal of becoming the region’s main supplier.

The head of the Syndicate of Paper and Cardboard Manufacturers pointed to the supply of raw materials as the main challenge of this industry and said: “Department of Environment is the first authority to approve orders for raw material, but strict regulations by this organization have become an obstacle to the industry’s activities.”

Currently, the per capita consumption of paper products in Iran is 22 kilograms (kg), while in Europe the figure stands at 55 kg and in the United States is 160 kg.

Also, the annual consumption of textbook paper is 40,000 tons, according to the official.

Some 120,000 tons of sanitary paper is also consumed annually in the country, but the production in this field is more than 200,000 tons.

EF/MA