Iran's Agriculture Sector, Not Developed

July 28, 2002 - 0:0
GORGAN -- Director of Iran Farmers House Cooperative and former agriculture minister, Issa Kalantari said that Iran's agriculture sector is one of the least developed in the world.

Speaking at the opening meeting of the farmers house, he added that the neglect in setting up farmers cooperatives and institutions was the primary reason for the backwardness of the agricultural sector.

He said it took a decade to issue permits for setting up cooperatives whereas in Europe similar institutions were established over 300 years ago.

"If the cooperatives could have established a solid position, no government can ignore the voice of the farmers," he said.

Also, Head of Provincial Agriculture Jihad Department, Ali Margdeai said here that neglect of farmers has led to lowering of their standard of living and loss of confidence between them and officials.

He cited instability and inconsistency in the farmers revenues as one of the challenges facing the agricultural sector.

Elsewhere, Deputy Head of State Management and Planning Organization for Production Affairs Ebrahim Bahadorani said here that the credit allocated to the agriculture sector will go up by 43 percent to Rls.210 billion in the current Iranian year (started on March 20) compared with Rls.950 billion last year. He said the agricultural sector should be geared toward expanding exports, adding, "the obstacle in the sector is because of an anti-development mentality."

He referred to the existence of a negative rate of investments growth the sector, citing misallocation of the budget, mismanagement in developmental projects and mishandling of investors as the main reasons for the negative growth.

Bahadorani said that Rls.13 billion out of the total Rls.4,000 billion developmental budget consist of subsidies.

Subsidies should be disbursed in agricultural sector, and infant industries as well as job-creating schemes.