Khorramshahr, Khuzestan Province -- Director general of Khorramshahr Customs Department Yaqub Roshanaie here on Saturday said that extension of a 30 percent commercial profits exemption will lead to commercial and economic development in Khorramshahr.

Roshanaie told IRNA that such exemption should be effective in the area before the establishment of a Free Economic Trade and Industrial Zone.

"Exemption from 30 percent of commercial profits is the only factor motivating tradesmen to exchange goods via the two provincial ports of Abadan and Khorramshahr," he added.

Roshanaie noted that if the cabinet does not extend such exemptions, trade in the two ports will drop.

Turning to the significance of the development of Khorramshahr port and its operating customs department, he said that currently less than 10 percent of the foreign trade is handled via the two ports. He reiterated, "Before the outbreak of the Iraqi-imposed war, around 90 percent of the nation's foreign transactions were conducted through Abadan and Khorramshahr ports."

Referring to the performance of Khorramshahr customs department in the first four-month period of the current Iranian year (started March 21), he said that a 36 percent boost in trade exchange is observed compared to last year's similar period.

"Given the potential of Khorramshahr Customs and the urgency of exemption from commercial profits, Iran’s Customs Administration approves of continuous exemption," he added.

A while ago, the secretary of Iran's Free Trade Zone Council declared in Khorramshahr that such exemption in Abadan and Khorramshahr ports will lead to an annual gain of Rls.100 billion in the economy of the area.