TEHRAN (Mehr News Agency) – Four-fold growth of mineral raw material has led to a drastic decline in production of zinc and has stopped zinc producers due to high cost of the production.

Secretary of Lead and Zinc Union, Hassan Hussein Gholi said here Sunday that mineral raw material for the process of zinc has reached Rls.86,000 per ton from Rls.21,000 in the last year.

This year, price of one ton of zinc ingot has reached Rls.8,200 from its previous Rls.6,200.

"The cost of raw material can be fully accounted for 10 per cent decline in the country's production of zinc," Hussein Gholi said.

Kani Faravaran, Tiran, and Sarmak are among the companies forced to stop production while Simin Rouy, Zob-eRouy Bandar Abbas, and some small scale companies in Zanjan Province are facing crises and are hoping for a better future.

He warned that more decline will be expected in the next year production of zinc if such high prices of raw material continue their climb up. AF/IS END MNA