Domestic production to save Iran over $3b in a year

TEHRAN- Iran Domestic production of industrial and mining products is planned to save the country over $3 billion in the current Iranian calendar year (began on March 20), Iranian deputy industry, mining, and trade minister for planning announced.

Saeed Zarandi further reiterated that the ministry will follow its plan of strengthening domestic production more seriously in the current year, which is the year of “Surge in Production”, IRNA reported.

In October 2019, Industry, Mining and Trade Minister Reza Rahmani had announced that the ministry plans to reduce the country’s imports by $10 billion by the Iranian calendar year 1400 (March 2021-March 2022).

According to the minister, of the mentioned total $10 billion reduction in imports, $1.2 billion will be in the textile and garment industry, $500 million in cellulose products, $2.7 billion in petrochemicals, $2.4 billion in mining, $600 million in steel industry, $650 million in home appliances, $650 million in machinery, $1.4 billion in the automotive industry, and $250 million in electrical and electronic appliances.

And in mid-January, Mehdi Sadeqi Niaraki, deputy industry, mining, and trade minister for industry affairs, said that domestic production has saved the country over €1.2 billion since the beginning of the previous Iranian calendar year (March 21, 2019).

“So far, the contracts and agreements signed [with domestic producers] with the support of the domestic production promotion expert desks have resulted in a reduction of foreign currency expenditure by 1.2 billion euros,” he informed.

Improving and boosting domestic production has been one of the major strategies that Iran has been following in the past two years in order to increase its independence.

To this end, the Iranian government has put supporting domestic producers atop the agenda.

Providing the required working capital for the production units and offering them facilities is one of the major measures being pursued by the government to support such units.