Activating border crossings expand mining capacity necessary in Ilam province industry minister

Activating border crossings, expand mining capacity necessary in Ilam province: industry minister

TEHRAN- The Minister of Industry, Mining and Trade emphasized the need to strengthen the Mehran border crossing and activate other crossings and border markets in Ilam, stating: "We must utilize the capacity of cross-border trade laws and, by developing border markets, increase the province's share of the country's trade."

The Minister of Industry, Mining and Trade noted that Ilam's share of the country's trade value-added stands at just 0.6% —a figure that does not align with the province's border potential and its approximately 430 kilometers of shared border with Iraq. He stressed that existing capacities should be better utilized to develop trade, production, and employment.

According to IRNA, Seyyed Mohammad Atabak stated in a meeting with economic activists in Abdanan County on Saturday: "Ilam has significant capacities for developing foreign trade, and the groundwork must be laid to make greater use of these capacities."

He added: "The 14th government has considered measures and approvals to facilitate trade in border provinces, the implementation of which can pave the way for increased economic activity in border regions."

The Minister continued: "Trade laws have been facilitated for border residents with Iraq, and Ilam, with approximately 430 kilometers of shared border with that country, has suitable potential for expanding commercial exchanges."

Atabak said: "Ilam's share of the country's trade value-added does not match its border capacity, and economic activists must use new opportunities to increase the province's share in foreign trade."

He stated: "Developing trade with Iraq can be one of the pathways to increasing economic activity in the province, and Ilam's border capacities must serve the flourishing of production, exports, and employment."

The Minister noted: "The average industrial value-added in the country is about 23–24%, while in Ilam it is 3.9–4%. This gap with the national average shows that the province's industrial capacity has not yet been sufficiently activated."

Atabak said that out of a total of 645 industrial projects initiated in Ilam province, 503 projects are inactive, and only two projects have achieved 80–100% physical progress.

The Minister stated: "The status of industrial projects in the province shows the need for a revision in how projects are selected and implemented. Priority should be given to projects that have financial backing and economic advantage."

Atabak added: "Regional advantages, available resources, and financing methods must be considered from the outset of industrial project implementation so that units do not face funding shortages and operational difficulties after investment."

He added: "Paying attention to these factors can prevent the creation of unfinished and inactive projects and direct investment resources toward units capable of production and job creation."

The Minister said: "Given Ilam's oil and gas potential, approximately 70–75% of the province's value-added comes from oil and gas reserves."

Atabak emphasized: "This economic capacity should serve as the basis for developing downstream oil and gas industries in the province so that raw materials and available resources are converted into higher-value products within the province."

He continued: "Downstream oil and gas industries are among Ilam's most important industrial advantages, and investment in this sector can lead to increased production and job creation in the province."

The Minister said: "The use of oil and gas capacities in Abdanan should also be considered, and industrial projects in this county should be defined and implemented in line with existing advantages."

Atabak stated: "The purpose of establishing industrial parks is to house production units and develop industrial activities. The lands in these parks should not become a venue for profiteering."

He stressed: "Lands in industrial parks must be allocated to genuine investors, and the lands that have been allocated should be used for establishing production units."

The Minister asked provincial managers to review long-term allocations of industrial park lands and monitor the process of using the allocated lands.

Atabak said: "Facilities and resources of industrial parks should be made available to investors who have a clear plan for establishing a production unit and creating jobs."

He emphasized the need to establish a cement factory in Abdanan County and said that the issue of launching this industrial unit will be pursued seriously.

The Minister stated: "The gas supply problem for the Abdanan tire manufacturing unit will also be pursued so that existing obstacles to its operation are removed."

Regarding Ilam's economic participation rate, Atabak said: "The average economic participation rate in the country is about 43–44%, while in Ilam province it is about 29%, which is a significant gap from the national average."

The Minister continued: "The low economic participation rate shows that a portion of the province's active population has stayed out of the labor market due to limited job opportunities."

Atabak said: "Increasing production activities and establishing new industrial units can provide the groundwork for greater participation of the province's active population in the labor market and increase economic participation."

He added: "Activating existing industrial projects should also be pursued with the aim of increasing production, creating employment, and making greater use of the province's human resources capacity."

The Minister stated: "The problems of economic activists in the areas of taxation and social security will also be pursued, and a joint meeting will be held with the heads of trade unions to examine the problems of economic activists in this area and follow up on necessary solutions."

Atabak said: "The Tax Affairs Organization and the Social Security Organization will also attend these meetings to reach a proper conclusion for supporting economic activists."

The Minister emphasized the need to conduct exports in foreign currency, saying: "Rial-based exports reduce the country's economic value-added."

Atabak stressed: "Economic activists must conduct their exports in foreign currency so that they can use the foreign currency from exports to meet the needs of industrial units and sustain production activity."

The Minister of Industry, Mining and Trade arrived in Ilam on Saturday morning to conduct a field assessment of production sector challenges and meet with entrepreneurs, where he was welcomed by the Governor and the representative of the southern districts of the province.

Attending a meeting to review investment opportunities in Ilam is one of the most important parts of Seyyed Mohammad Atabak's visit to this border province.

He will then travel to the south of the province to familiarize himself firsthand with the challenges facing production and industry in the counties of Abdanan, Dehloran, Darrehshahr, and Badreh.

EF/MA

source: tehrantimes.com