Iran Economy Weekly News”

Volume 138 “Iran Economy Weekly News”

Compiled by: Economic Section, Iran Embassy, New Delhi

Highlights:

 Iran to hold over 6% share of world’s petchem production by 2025  France seeking a formula to remove Iran sanctions barrier: envoy  Steel exports by major producers up 8% in 7 months on year  Poland calls for a roadmap to expand trade ties with Iran  Iran exports saffron to 10 countries  Iran-China knowledge-based companies sign seven MoUs  Iran's steel export ups 8%  Expansion of Iran-Kazakhstan economic ties understandable, envoy says  Iran accounts for 62% of Middle East's crude steel output  Oil ministry inks 26 major research-based deals with universities  Copper projects worth €2.5b underway across Iran  Iran exporting radio medicines to 15 countries  17,000 tons of dates exported from Iran's southern province  Iran hosting 7th UIC Next Stations Conference  Industry ministry following 34 programs to promote production  ICCIMA to dispatch trade delegation to Tashkent in mid-Dec  Rouhani inaugurates several development projects in southeastern province  Iran inks MOU with Russia, Kazakhstan for temporary imports of wheat

 China Intl Import Expo great opportunity for introducing Iran's products  Iran-Armenia ties should be strengthened  Iran-India economic cooperation should be enhanced:MP  Trade agreement with EAEU officially declared to Iranian customs  Foreign investment attraction up by 20 percent  Iran’s intl. auto parts exhibition hosting 80 foreign companies  Conference on Iran-Syria trade opportunities slated for Nov. 12  Iran’s Q2 foreign investment up 20% on year  Value of trades at IME rises 47% in a week  Iran, Azerbaijan stress expansion of trade ties  Belgian trade delegation to visit Tehran in late-Nov  Zarif to attend ECO Summit

Reference: www.tccim.ir www.irna.ir/en/ www.tehrantimes.com www.mehrnews.com

13 November 2019

 Iran to hold over 6% share of world’s petchem production by 2025 Head of Iran’s National Petrochemicals Company (NPC) says by the Iranian calendar year of 1404 (starts in March 2025) Iran’s petrochemical industry will be accounting for 6.2 percent of the total global petrochemical output.

Speaking in a gathering of senior petrochemical executives in the northwestern city of Mashhad on Tuesday, Behzad Mohammadi put the country’s current share of global petrochemical production at nearly 3.6 percent, Shana reported. According to Mohammadi, Iranian petrochemical industry is strongly moving forward despite the pressures that the U.S. sanctions have imposed on the industry. The deputy oil minister furthered noted that there are currently 56 active petrochemical complexes across the country which receive 33 million tons of feedstock annually (equivalent to 650,000 barrels of crude oil per day). “By [the Iranian calendar year of] 1400 (starts in March 2021), the number of the petrochemical complexes will reach 83 and their feedstock consumption will increase to 62 million tons (equivalent to 1.4 million bpd). Mohammadi also added that the number of operational plants in the country would climb to 109 by 2025 which would consume an equivalent of 1.7 million barrels per day of crude oil. The NPC CEO further said that Iran’s annual petrochemical revenue had reached $17 billion from only $200,000 back in 1979, the year the Islamic Revolution became victorious. He also said the sector's revenues would cross 37 billion dollars per year by 2025. Back in October, Mohammadi had estimated that investment in the country’s petrochemical sector is going to increase by 75 percent by the end of Iranian calendar year 1404. “So far, $53 billion has been invested in the country's petrochemical industry, and with the third leap in this sector, the number is going to increase to $93 billion by the [Iranian calendar] year of 1404, which means a 75-percent growth,” he said in a conference on oil and energy in Tehran. In late September, Director of NPC’s Projects Ali-Mohammad Bosaqzadeh had said that Iran's annual petrochemical output is planned to reach more than 100 million tons by the Iranian calendar year of 1400 and to 130 million tons or nearly doubled by 1404.

 France seeking a formula to remove Iran sanctions barrier: envoy French Ambassador to Tehran Philippe Thiebaud said his country is seeking a formula to remove the barriers created by the U.S. sanctions in the way of trade with Iran, portal of Iran Chamber of Commerce, Industries, Mines and Agriculture (ICCIMA) reported. “France is still trying to make INSTEX [The Instrument in Support of Trade Exchanges] operational,” Thiebaud said in a meeting with the ICCIMA Head

Gholam-Hossein Shafeie at the place of ICCIMA on Tuesday. "The relationship between Iran and France has historically been far beyond commercial relations," the French envoy said, insisting that companies and chambers of commerce in the two countries should work together to strengthen economic relations. “The two sides have deep cultural and human relations with each other,” he stressed. Mentioning the disappointment caused by the delays in implementing INSTEX, the official said, "We understand this frustration very well, but we are still trying to get there." It should be noted that creating such a system is a new endeavor and has many complexities. Finding a mechanism that provides the resources needed to operate this system is not an easy task and takes time, he explained. Shafeie for his part, criticized the sharp decline in trade relations between the two countries and praised France’s constructive efforts in saving the nuclear deal when the U.S. imposed unilateral sanctions against Iran. The official also mentioned France's efforts to make INSTEX operational, saying “such efforts were promising, although unfortunately the presented solutions did not eventually become operational.” “However, even in the most difficult circumstances, Iran’s private sector is trying to maintain international relations and continue its business activities,” he added. Shafeie further highlighted the activities of the Iran-France Joint Chamber of Commerce, noting that the chamber's close and long-standing relations with French businessmen creates the hope that using this capacity, the two countries would be able to restore their economic ties.

 Steel exports by major producers up 8% in 7 months on year Exports of steel by ten major producers in Iran hit 4.049 million tons in the first seven months of the current Iranian calendar year (March 21-October 22), up eight percent compared to the same period of time in the past year, IRNA reported on Wednesday. “Industry ministry is planning to increase the exports of steel products to 12 million tons by the end of the current year [March 19, 2020],” according to deputy industry, mining and trade minister. The value of the exports of such commodities is expected to reach $9 billion by the yearend, Jafar Sarqini has previously announced. Iran plans to reach steel production of 55 million tons by the Iranian calendar year of 1404 (March 2025-March 2026), of which about 40 percent is planned to be exported.

Iranian industry, mining and trade minister said on Monday that the country holds a 62-percent share of the Middle East’s total crude steel production and it is planning to further increase this share. Reza Rahmani said that Iran has reached a balanced steel production chain in which all stages of production including engineering, implementation, fabrication and operation are being executed by Iranian experts and with domestic knowledge and technology. Iran's steel production has been growing well over the past few years and the country rose from 13th to 10th place in the list of the world’s top steel producers in World Steel Association (WSA)’s latest ranking, he said. In late January, WSA announced that Iran ranked 10th among crude steel producers in the world in 2018 with 25 million tons of production. Iran has pushed aside Italy, Taiwan and Ukraine to become the 10th biggest producer of crude steel in the world for the year 2018. The WSA has put the global crude steel production for the year 2018 at 1.808 billion tons, which shows a 4.6 percent increase compared to 2017. According to the report, Iran’s crude steel industry has remained in good shape despite the U.S. sanctions. Iran’s share of global crude steel production was estimated at 1.38 percent for the year 2018.

 Poland calls for a roadmap to expand trade ties with Iran Polish ambassador in Tehran called for creating a clear roadmap for restoring trade relations with Iran, the portal of Iran Chamber of Commerce, Industries, Mines and Agriculture (ICCIMA) reported. In a meeting with representatives of Iran’s private sector in Tehran on Tuesday, Maciej Falkowski underlined his country’s trade opportunities and capacities for the Iranian side, saying that trade boosting cooperation between the two sides requires precise knowledge about the two markets. He called on the two countries’ chambers of commerce to share precise information regarding their economy and market with the other side’s traders and businessmen. In the meeting, ICCIMA Deputy Head Hossein Selahvarzi also criticized the downward trend of Iran-Poland’s trade level since the re-imposition of U.S. sanctions on Iran, saying “this trend should be stopped.” According to Selahvarzi, establishment of Iran-Poland join economic committee and the visit of an Iranian delegation to the European country later this month is an indication of the two countries’ determination for changing the current situation.

He also criticized the closing of the Polish Investment office in Tehran and called for its reopening, arguing that many effective measures were taken by this office to strengthen trade relations between Iran and Poland. Selahvarzi mentioned pharmaceuticals and medical equipment, environmental activities, agriculture, automotive parts, construction, renewable energies, tourism and information and communications technology as potential areas for cooperation between Iran and Poland.

 Iran exports saffron to 10 countries Iran exports saffron to 10 countries and 86 percent of its exports have been through the United Arab Emirates, which is the crossroad of export to other countries. Head of Iran's National Council of Saffron Mohsen Ehtesham told national desk of export development of three products of barberry, saffron and jujube on Wednesday that Spain, Hong Kong, Vietnam, Italy, Afghanistan, Qatar, India, Germany and France are the other export destinations of Iran's saffron. Land under cultivation of saffron is increasing each year, as it production grew to 382 tons in 2018 from 336 tons in 2016, he said, noting that some 450 tons will be harvested from 120,000 hectares. Some 77 tons of saffron were exported from Iran during the first half of the current Iranian year (started March 21), he said. Referring to national registration of saffron brand, he said that global registration of the saffron brand requires expense. Ehtesham further noted that Fund for Supporting Saffron should be formed and half percent of revenues from exports should be deposited to the fund for marketing and conducting researches for sustainability of saffron revenue.

 Iran-China knowledge-based companies sign seven MoUs Iranian and Chinese knowledge-based companies signed on Wednesday seven memoranda of understanding (MoUs) in presence Iran's of Vice President for Science and Technology Affairs Sorena Sattari. The MoUs were signed between the two companies on the sideline of the Advanced Technology Fair in Shenzhen, Guangdong province in southern China. These included two Memoranda of Understanding between Iran Nano Companies and WWOIPT from China and Dong Gon International Technology Company. Sedna and AICell companies from Iran also signed MoUs with Guangzhou Electric Shengli and Selamat Tech Shanghai respectively.

Iran's Middle East Gene Therapy and Sepid Jamgan Technologists also signed one MoU with Shanghai Unicar Biomedicine and Shanghai Sonbio Biotechnology and International Microelectronics Corporation. The Vice President for Science and Technology of the Islamic Republic of Iran on the sideline of the ceremony and exhibition in South China said that Advanced Technology Exhibition is a suitable marketing opportunity for Iranian companies. China has developed tremendously in technology in recent years, and we hope that Iranian knowledge-based companies to take advantage of this opportunity to promote themselves, Sorna Sattari said after visiting China's Advanced Technology Fair in Shenzhen.

 Iran ranks 4th in global honey production Advisor to Iran's deputy agriculture minister Gholam Hossein Tahmasebi said on Wednesday that Iran by producing 88,000 tons of honey ranks 4th in the world. Speaking in a provincial festival, Tahmasebi said based on international statistics, 1,060,000 tons of honey have been produced in 2017 in the world and Iran's share was 69,000 tons. The figure has increased to 88,000 tons, he added. Iran also owns 7,200,000 beehives out of a total of 90 million beehives in the world, he said adding that it is standing on the 4th rank after Turkey, India and China. Earlier, FAO's representative to Iran Gerold Bödeker noted that the recent flash floods in various parts of Iran damaged a huge number of bee colonies that might result in a significant reduction of the product. He also highlighted the importance of insurance in the beekeeping industry by saying that only about 10 percent of the damage was under insurance coverage.

 Iran-China ties pave way for associations' cooperation Head of Tehran Chamber of Commerce, Industry, Mine and Agriculture Masoud Khansari said that the broad-based relations between Iran and China have paved the way for developing cooperation between commercial associations. Speaking in a meeting with the Iranian Chamber of Commerce in the North China region of Beijing, Khansari said his trip is aimed at reviewing ways for developing relations. Elaborating on the Tehran chamber's capabilities with over 20,000 members in all fields and industries, he described extensive cooperation capacities with

China trade institutions and the Iranian Chamber of Commerce in the North China region of Beijing. Meanwhile, Head of the Iranian Chamber of Commerce in the North China region of Beijing Hassan Tavana presented a report of the process of creating the commercial association. He referred to the familiarity with Chinese culture and language, understanding of Chinese trade and commerce laws, and economic developments in China, as well as close ties with Chinese business associations, various industries, and manufacturers as characteristics of the Iranian Chamber of Commerce in China. He added that the Beijing chamber is ready for maintaining cooperation with the Tehran Chamber in the framework of a framework.

 Iran's steel export ups 8% Steel export from Iran's 10 big producers increases by 8% to reach 4,049,874 tons in the first 7 months of the Iranian year (starting on March 20). The biggest exporters of steel in Iran are Esfahan Steel Company, Mobarakeh Steel Company, Khuzestan Steel Company, Hormuzgan Steel Company, Iran Alloy Steel Company, Khorasan Steel Company, South Kaveh Steel Company, Saba Steel, Bonab Steel Mill Complex, and Chadormalu Mining and Industrial Company. Khuzestan Steel Company had the biggest share in the export with 1,083,674 tons, which of course shows a 26.7% reduction compared to last year. The Ministry of Industry, Mines and Trade has set the target of 40 million tons of steel output in the current Iranian year, out of which 12 million tons will be exported. Iran has the goal to reach the yearly production of 55 million tons of steel by 2025, 40% of which will be exported.

12 November 2019

 Expansion of Iran-Kazakhstan economic ties understandable, envoy says Kazakhstan's ambassador to Iran noted that there are grounds for expanding economic ties between his country and the Islamic Republic of Iran, which could be used to develop investment and boost trade between the two sides.

The relations between the two countries have always been friendly and there is no problem in expanding their economic activities, Askhat Orazbay said at a meeting with economic activists in Golestan province on Tuesday. Kazakhstan's ambassador to Iran pointed to the availability of investment opportunities for Iranian businessmen in his country, adding that 12 special economic zones and 22 special industrial zones in Kazakhstan are ready to be transferred to investors. Orazbay also referred to the Caspian Sea as one of Kazakhstan's most important privileges for expanding trade exchanges with the northern provinces of Iran and made the remark that Amirabad Port of Behshahr in Mazandaran and Anzali Port in Gilan currently have the most Kazakh trade interactions. The diplomat noted Iran-Turkmenistan-Kazakhstan Railway is another country's privilege in boosting trade with the Islamic Republic of Iran, saying that pursuing the problems of Iranian businessmen is essential to use this rail to transport goods to Kazakhstan. Kazakhstan's ambassador to Iran stressed the importance of implementing Gorgan-Aktau air flight and said implementation of this goal is important for Kazakhstan because it could also facilitate tourism in addition to facilitating commute for two countries businessmen. Iran, Brazil to develop agricultural cooperation Iran and Brazil are to develop cooperation in agricultural field, Head of Research, Education and Agriculture Promotion Department at Ministry of Agriculture Kazem Khavazi said on Tuesday. Iran and Brazil are keen on further developing their cooperation in agriculture and plants genetics, Khavazi said. Khavazi stressed that a cooperation agreement between Iran and Brazilian Agricultural Research Corporation Embrapa will be finalized very soon. He made the remark in a meeting with Brazilian Ambassador to Iran Rodrigo de Azeredo Santos on Tuesday. Santos stressed the need for further cooperation between Brazil and Iran in this sphere.

 Iran accounts for 62% of Middle East's crude steel output Iranian industry, mining and trade minister said on Monday that the country holds a 62-percent share of the Middle East’s total crude steel production and it is planning to further increase this share, Shata reported. Reza Rahmani made the remarks in the opening ceremony of a sponge iron production plant with an annual production capacity of 1.5 million tons in Baft County in Kerman Province, southeastern Iran.

According to the official, Iran has reached a balanced steel production chain in which all stages of production including engineering, implementation, fabrication and operation are being executed by Iranian experts and with domestic knowledge and technology. Baft Steel mill was officially inaugurated by Iranian President Hassan Rouhani on Monday, in a bid to further raise the country’s steel production capacity and tap into its vast reserves of metals and minerals. Speaking in the opening ceremony, Rahmani noted that the growth in the world’s steel production was about 3.5 percent last year, while the figure reached 6.5 percent for Iran. Iran's steel production has been growing well over the past few years and the country rose from 13th to 10th place in the list of the world’s top steel producers in World Steel Association (WSA)’s latest ranking, he said. Mentioning the Kerman Province’s great potential for mining, Rahmani noted that so far, more than 20,000 square kilometers of mineral exploration has been carried out in Kerman Province, with another 20,000 square kilometers on the agenda this year. He finally called on domestic and foreign companies active in this area to take Iran’s mining sector into serious consideration for their future investments. In late January, WSA announced that Iran ranked 10th among crude steel producers in the world in 2018 with 25 million tons of production. Iran has pushed aside Italy, Taiwan and Ukraine to become the 10th biggest producer of crude steel in the world for the year 2018. The WSA has put the global crude steel production for the year 2018 at 1.808 billion tons, which shows a 4.6 percent increase compared to 2017. According to the report, Iran’s crude steel industry has remained in good shape despite the U.S. sanctions. Iran’s share of global crude steel production was estimated at 1.38 percent for the year 2018.

 Oil ministry inks 26 major research-based deals with universities Iranian deputy oil minister for engineering, research and technology affairs said the ministry has signed 26 major deals with the country’s universities, IRNA reported. Speaking on the sidelines of a signing ceremony for a memorandum of understanding (MOU) between the Oil Ministry and Iranian Mining Engineering Organization (IMEO), Saeid Mohammadzadeh said five of the mentioned deals are in the field of exploration. The mentioned MOU was signed by Mohammadzadeh and Head of IMEO Darioush Rasouli on Tuesday in Tehran.

“Iran is a leading country in science and academia in the field of civil engineering, however we are far behind in applying this knowledge in our projects, even in new buildings…. Failing to do so can be harmful,” he said. He further expressed hope that with the signed deals going operational the Oil Ministry would be able to use the potent capacity of the country’s engineers. Back in August, head of the National Iranian Oil Company (NIOC) Research and Technology Directorate said his office is going to conduct 25 major research projects worth nearly 700 billion rials (about $16 million). Ebrahim Taleqani mentioned NIOC Exploration Directorate’s agreements with Iranian universities and knowledge-based companies for research in various fields, saying that the Exploration Directorate is tasked to sign seven research agreements, four of which have been signed. In August NIOC signed four agreements with universities and knowledge- based companies to conduct research in a variety of oil-related areas including geophysics, geochemistry, unconventional hydrocarbon resources as well as drilling. Taleqani also noted that other NIOC subsidiaries have also been tasked to increase their research activities and in this regard almost all of them are going to sign similar research agreements in near future. Since the re-imposition of the U.S. sanctions, Iran has been encouraging domestic companies’ presence in its oil and gas projects, in all sectors including research, exploration and development sectors. According to Ali Vatani, an advisor to vice president for science and technology, currently about 300 knowledge-based companies are active in the oil industry in Iran.

 Copper projects worth €2.5b underway across Iran Iranian Industry, Mining and Trade Minister Reza Rahmani said €2.5 billion worth of projects in the copper industry are underway across the country including Kerman, Yazd and East Azarbaijan provinces, IRNA reported on Tuesday. Rahmani made the remarks in the inauguration ceremony of five copper projects in Sarcheshmeh Copper Complex in the central district of Rafsanjan County in Kerman Province, southeast Iran, in which over 750 billion rials (over $17.8 million) has been invested. According to Rahmani, construction of a copper smelter plant and a new acid production project in Khatoun Abad Copper Complex in Kerman Province as well as comprehensive water, refinery and smelting projects in Sungun Complex are some of the major projects underway in the copper industry.

Back in June, the managing director of Iran’s National Copper Company said several projects were started for increasing the country’s annual production of copper concentrate by 450,000 tons. According to Iranian Mines and Mining Industries Development and Renovation Organization (IMIDRO)’s latest reports, major Iranian copper producers produced an aggregate of 1.17 million tons of copper concentrate in the last Iranian year (ended March 20) to register an increase of 3 percent year- on-year. Sarcheshmeh Copper Complex was the biggest producer with 701,700 tons, up four percent year-on-year; followed by Sungun Complex with 324,203 tons, and Miduk with 148,583 tons. Sarcheshmeh Copper Complex and Khatooun Abad Copper Complex produced an aggregate of 313,784 tons of copper anode during the year, up 56 percent on year.

11 November 2019

 Iran exporting radio medicines to 15 countries Special Assistant to the head of the Atomic Energy Organization of Iran (AEOI) Ali-Asghar Zarean said on Monday that Iran exports the excess of its radio medicine products to 15 countries. Ali-Asghar Zarean said the AEOI produces radio medicines for diagnosis and treatment of illnesses. Zarean said that about one million Iranians use these medicines each year. He said that the sanctions have had no effects on production of such medicines in Iran, adding that under sanctions, Iran became more determined to remove all the obstacles in the way of producing such medicines. He said that laser technology is of great importance and that Iran is trying hard in that field so that the country wouldn’t have any problems in the area, either.

 17,000 tons of dates exported from Iran's southern province Some 17,000 tons of dates were exported from Bushehr province over the past eight and half months, up by 34 percent compared to the figure for the corresponding period of last year. Deputy Head of the provincial Department of Industry, Mines and Trade Abulqasem Mohammadzadeh told IRNA Monday that of the figure, 10.5 tons which have been produced this year (Started March 21) were exported from August 21 until now.

"Russia, India, the UAE, Turkey, Ukraine, Kazakhstan, and northern Iraq were among the export destinations for the product," he said. Mohammadzadeh further noted that the Second Specialized Festival and Exhibition of Dates and Relevant Industries will be held in Bushehr on November 12-15. Bushehr province which produced 170,000 tons of dates annually ranks third in the country.

 Iran hosting 7th UIC Next Stations Conference Islamic Republic of Iran Railways (known as RAI) is hosting the 7th UIC Next Stations Conference in Tehran from November 11 to 13, IRNA reported. It is the first time that this conference of the International Union of Railways (UIC) is held in Asia. As announced by RAI Head Saeid Rasouli, the conference is hosting 70 foreign participants from 25 countries including 14 European ones. Addressing the first day of the conference, the official said, “Railway development is one of the main objectives of the Iranian government and in this due we have implanted some joint projects with the neighboring countries for improving passenger and cargo transportation via railway.” He further highlighted that Iran plays some significant role in railway transportation in the region, adding that despite the sanctions over the past years the country managed to inaugurate four new railway routes and connect four centers of provinces to its national railway. Rasouli also announced that RAI will improve and develop 32 railway stations across the country. Iran had been also hosting the 22nd UIC Regional Assembly for Middle East (UIC RAME) in Isfahan City in the last year’s November. In Iran, development of railway has been one of the very significant plans of the governments in recent years. The country’s Sixth Five-Year National Development Plan (2016-2021) has envisaged that the railway will account for at least 30 percent of cargo transportation and 20 percent of passenger transportation in the country. Such target requires at least 850 trillion rials (about $20.238 billion) of investment.

 Industry ministry following 34 programs to promote production Iran’s Ministry of Industry, Mining and Trade is implementing 34 executive programs for promoting domestic production across the country in

the current Iranian calendar year (began on March 21), ILNA reported on Monday, quoting the industry minister. According to Reza Rahmani, coming under seven major axes, the ministry’s programs mainly focus on developing and supporting domestic production as well as expanding exports to the neighboring countries. “Increasing exports to neighboring countries has become a major part of the ministry's goals this year and we must look for new export markets and establish our products in these markets,” the official said. Referring to his ministry’s plan for supporting the country’s small mines, Rahmani said: "This year for the first time, a plan for supporting the development of small scale mines was implemented and a general roadmap for the development of the country’s mining sector was also prepared.” “Over the past few years more than 23 million tons of iron ore was exported from the country, however, with the measures taken, the figure fell to less than 8 million tons last year and the iron ore was used for producing other minerals and products with more added value,” he said. According to the minister, supporting small and medium-sized enterprises (SMEs), supporting the country’s exporters and creating specialized working groups in order to promote exports to the neighboring countries, reviving the country’s idle production units and small and medium sized mines, supporting domestic auto part manufacturers, holding exhibitions for encouraging domestic production, signing cooperation agreements with knowledge-based companies and universities are among the major steps taken by the industry ministry in order to promote domestic production and boost exports.

 ICCIMA to dispatch trade delegation to Tashkent in mid-Dec Iran Chamber of Commerce, Industries, Mines and Agriculture (ICCIMA) will dispatch a trade delegation to Uzbekistan’s capital city of Tashkent from December 11 to 13 concurrent with the 13th meeting of Iran- Uzbekistan Joint Economic Committee. The Iranian delegates are planned to attend an Iran-Uzbekistan business forum during their stay in Tashkent to meet their Uzbek counterparts and negotiate possible business cooperation with them, the portal of Iran’s Trade Promotion Organization (TPO) reported. Meanwhile, TPO will hold a session on introducing trade opportunities in Uzbekistan on November 16 prior to the meeting of the two countries’ joint economic committee and also holding an exclusive exhibition of Iranian products in Tashkent.

Back in August, Uzbekistan’s Prime Minister Abdulla Nigmatovich Aripov had said that his country welcomes Iranian investors and private sector’s contribution to its economy. Making the remarks in a meeting with Iran’s First Vice President Es’haq Jahangiri and Iranian Transport Minister Mohammad Eslami, the Uzbek prime minister also said that the level of trade between the two countries has increased in recent months compared to the same period last year, however it is still not at the level it should be. Jahangiri, for his part underlined the great economic capacities of Iran and Uzbekistan, saying that the two countries should take necessary measures to remove barriers to the trade development between the two countries so that the two sides could reach a comprehensive agreement on trade cooperation as soon as possible. “The two countries’ economies can complement each other and Iran is ready to expand its relations with Uzbekistan in all areas,” the official added.

 Rouhani inaugurates several development projects in southeastern province Iranian President Hassan Rouhani inaugurated several development projects in the southeastern province of Kerman on Monday, IRNA reported. After inaugurating a number of development projects in the central province of Yazd on Sunday, the president arrived in Kerman for putting some development projects into operation in this province. As reported, the total value of projects inaugurated on Monday and those to be inaugurated on Tuesday during the two-day visit of Rouhani to the province is 150 trillion rials (about $3.57 billion). A direct reduction plant with the annual production capacity of 800,000 tons of sponge iron was one of the projects which was put into operation by the president in Baft Country. The project worth €120 million creates direct jobs for 250 persons and indirect jobs for 2,500 people. The other inaugurated project in Baft was the second phase of the steel plant of the county which is valued €250 million, creating direct jobs for 500 persons and indirect jobs for 5,000 people.

10 November 2019

 Iran inks MOU with Russia, Kazakhstan for temporary imports of wheat Iran signed a memorandum of understanding with Russia and Kazakhstan for temporary imports of wheat from those countries, Iranian deputy agriculture minister announced on Sunday. Speaking to the media on the sidelines of a conference on trade opportunities in agriculture sectors of Iran and Eurasian Economic Union (EAEU)’s countries, Ali-Akbar Mehrfard, the deputy agriculture minister for development of agricultural trade and industries, said this MOU has been inked based on the temporary trade agreement between Iran and EAEU’s member states, IRNA reported. As the capacity of Iran’s flour mill plants is two folds more than the domestic demand, temporary imports of wheat for flour production can be an advantage for the country’s economy, the official noted. The MOU with Russian and Kazakhstan is on temporary imports as well as transit and swap of wheat, Mehrfard said and added that wheat swap has been mentioned but details is not specified yet. The trade agreement between Iran and the Eurasian Economic Union officially came into force on October 27, and its implementation was officially notified to customs offices across Iran last week. The accession of Iran into EAEU is be a major breakthrough for Iran’s trade as it would allow exports on zero tariffs for 70 products while 503 other items would enjoy lowered duties, according to Iranian Energy Minister Reza Ardakanian. “We can supply our goods and products to their markets through the land borders of the Republic of Armenia as well as sea borders of the Russian Federation and Kazakhstan,” the minister added.

 China Intl Import Expo great opportunity for introducing Iran's products Head of Trade Promotion Organization Hamid Zadboum said on Sunday that China International Import Expo (CIIE) is a great opportunity for introducing Iranian products. Speaking to IRNA, Zadboum said owing to the fact that China has over $2,000b imports per year and has left its doors open to all countries, Shanghai exhibition is regarded as one of the most important ones in the world.

He added that Iran's presence in this event is beneficial both for Iran and China. He called for having better plans for the next edition of China exhibition and taking most advantageous of this social setting. CIIE is in fact a good context for today's world economy and the international trade, he said, adding that Iran should make use of this chance. Over 3,000 companies will participate in the event and more than 1,000 of them are to showcase their products in China exhibition for the first time. The exhibition is divided into three sections of countries, companies and economic forum. Some 64 countries and three international organizations have attended the exhibition section. In companies category, over 3,000 firms from 150 countries have attended to showcase new technology, car, equipment, medical tools, medicines, luxury household appliances, trade services, food and agricultural products. Some 15 Iranian companies have attended the event in China.

 Iran-Armenia ties should be strengthened The governor-general of Mazandaran province described the potential of the province for expanding economic and commercial relations between the Islamic Republic of Iran and Armenia as unparallel and emphasized that the two countries' relations with each other should be strengthened. Ahmad Hosseinzadegan told a meeting with the governor of Lori province of Armenia in Sari on Sunday that the close political and historical ties between Iran and Armenia should be used to further expand economic and commercial relations. The official stated that unfortunately, so far "we have not been able to use close and good political relations between Iran and Armenia to expand economic relations and we have not had much success in this regard, but the relationship between the two provinces of Mazandaran and Lori can fill this gap to a large extent. Hosseinzadegan noted that Mazandaran province with five airports, three ports and free trade zones, annual production of seven million tons of exportable agricultural products, 3,000 industrial units that can export with industrial and mineral production and other infrastructure and production capacities is capable of meeting part of the demand of Armenia and Lori province. In addition, we are also the nation's top fish and poultry producer, supplying consumer and export needs, and some of these surplus capacities can be exported to Lori and even Yerevan with bilateral economic coordination.

The Governor of Armenia Lori Andre Fukasian also called for Iranian investments in his country and said that Iran and Armenia have several hundred years of history of political, cultural and historical relations and "we welcome the presence of Iranian investors in our country, especially in the field of infrastructure, mining, agriculture, and animal husbandry and we pay special respect to them". With the political developments that have taken place in Armenia in recent years, the rule of law is established at all levels in the country, and all activities are done within the framework of the law, as well as good laws to protect foreign investors, Andre Fukasian said.

 Iran-India economic cooperation should be enhanced:MP The head of National Security and Foreign Policy Commission of the Iranian Majlis (parliament) Mojtaba Zulnouri said on Sunday that political and economic cooperation between Iran and India is on the right track but should be further bolstered. During a meeting with Indian ambassador to Tehran Gaddam Dharmendra, Mojtaba Zulnouri referred to the level of trade exchange between the two countries and said the US by simmering crisis in the region and imposing new cruel sanctions on the Islamic Republic Economic and business exchanges have fueled the occasional decrease in economic and trade exchanges, and careful planning should be used to help strengthen and deepen economic relations. Referring to the historical, religious, cultural and traditional links and commonalities between the two countries, the senior MP emphasized the importance of developing friendly relations between the Islamic Republic of Iran and India in various fields, especially parliamentary relations, adding that promoting parliamentary relations, especially between specialized commissions of the two countries will strengthen and consolidate friendly relations and cooperation in other fields. The head of the National Security and Foreign Policy Commission of Majlis stated that the political and economic relations between Iran and India are on the right track and called for the expansion and development of communications in various fields. In the meeting, the ambassador of India, Gaddam Dharmendra, called for taking advantage of the opportunities and contexts in the relations between the two countries for expanding the interactions and exchanges between the two nations. He added that regional and international discussions between the authorities of India and the Islamic Republic of Iran play significant role in regional issues,

adding that the high-ranking officials of the two countries should have continuous consultations with each other.

09 November 2019

 Trade agreement with EAEU officially declared to Iranian customs Implementation of the free trade agreement between Iran and Eurasian Economic Union (EAEU) was officially notified to customs offices across Iran, IRIB reported on Thursday. As reported, Islamic Republic of Iran Customs Administration (IRICA) has issued an announcement for all the customs offices across the country to declare the official implementation of the agreement. The notice also included the list of the 380 commodity items which are subjected to the trade agreement. The trade agreement between Iran and the Eurasian Economic Union officially came into force on October 27. Back in August, Iran’s Ambassador to Russia Mehdi Sanaei attended a meeting with a senior EAEU official to finalize an agreement on formation of a free trade zone between Iran and the regional union. Meanwhile, Iranian Energy Minister Reza Ardakanian has said that the accession of Iran into EAEU would be a major breakthrough for Iran’s trade as it would allow exports on zero tariffs for 70 products while 503 other items would enjoy lowered duties. “We can supply our goods and products to their markets through the land borders of the Republic of Armenia as well as sea borders of the Russian Federation and Kazakhstan,” said Ardakanian, making a reference to the countries members to the EAEU which also includes Belarus and Kyrgyzstan. The Eurasian Economic Union is an economic union of states located in central and northern Asia and Eastern Europe. The Treaty on the Eurasian Economic Union was signed on 29 May 2014 by the leaders of Belarus, Kazakhstan and Russia, and came into force on 1 January 2015.

 Foreign investment attraction up by 20 percent Finance Minister Farhad Dejpasand said on Thursday that foreign investment attraction in Iran over the past seven and half months (March 21-

Novemeber 6) registered an increase of 20 percent compared to the figure for the corresponding period of last year. Addressing a local ceremony in the city of Galogah, eastern Mazandaran, he said, "The situation reveals that we can and all should help to do away with the conditions to improve public well-being." Despite all difficulties, the government has managed to minimize investment risk, he said, noting that the state and private sectors have helped to shield the economy against threats. Putting Iran's share from global population and area at 1.2 percent, Dejpasand said that its share from economy should not be less than this. "We have to export and bring in foreign currency and address the problems to gain our share from global market," he said.

 Iran’s intl. auto parts exhibition hosting 80 foreign companies Tehran Permanent International Fairgrounds is hosting 700 Iranian and 80 foreign companies from nine countries in the 14th Iran International Auto Parts Exhibition during November 9-12, IRIB reported. According to the organizers, the exhibition is aiming for presenting the capabilities and capacities of Iranian auto part manufacturers and to direct their products toward foreign markets. The event also provides a platform for auto part makers to showcase their latest achievements and products. Automotive parts and assemblies, machinery parts and equipment, engineering research and design, raw materials and accessories, trading and after sales services, car decorating, car maintenance, car cleaning products, as well as specialized publications for the automotive industry are some of this year’s major categories.

 Conference on Iran-Syria trade opportunities slated for Nov. 12 A conference on introducing Iran and Syria’s trade and business opportunities is going to be held at Tehran Permanent International Fairgrounds on November 12, Trade Promotion Organization (TPO) of Iran announced. Iranian Deputy Industry Minister Hossein Modares Khiabani, Head of Trade Promotion Organization of Iran (TPO)Hamid Zadboum, Hassan Danaeifar, the advisor to Iran’s first vice president and also the chairman of the Iranian committee on development of economic relations with Syria and Iraq, Syrian Ambassador to Tehran Adnan Hassan Mahmoud, and the Chairman of Iran- Syria Joint Economic Committee Keyvan Kashefi are scheduled to deliver speeches in the event.

Iran and Syria have been taking major steps for expansion of their mutual trade ties. The two sides have exchanged numerous trade delegations in the past few months and Iranian private companies are investing in various fields of Syrian economy like providing construction materials especially cement and working on several reconstruction projects. In late October, Kashefi said an Iranian trade center in Damascus is going to be opened within the next three months. “Equipping the trade center is in the final stages and it will be opened in the next three months, maximum,” he said. In August 2018, a delegation comprised of Iranian economic experts traveled to Syria to explore investment opportunities and finalize the reconstruction plans of the war-stricken country. Also in January, the 14th preparatory meeting of Iran-Syria high joint technical committee of economic cooperation was held in Damascus.

 Iran’s Q2 foreign investment up 20% on year Iranian finance and economic affairs minister said the foreign investment attracted into the country during the current year’s summer period (June 22- September 22) increased by 20 percent compared to the last year’s same period, ILNA reported on Saturday. According to Farhad Dejpasand, in the mentioned three-month period which is the second quarter (Q2) of the Iranian calendar year, 840,000 direct job opportunities were also created. Mentioning the fact that the country’s economic condition is improving, the official said: "We have not reached the desired point yet, but despite the sanctions that were imposed on us, we have managed to stand on our own feet.” Dejpasand noted that over the past six years, the figure for foreign investment has only been positive for two years and to change this situation special attention should be paid to investment and production in the country. In late August, the industry ministry announced that $554.4 million of foreign investment was approved by the ministry during the first four months of the current Iranian calendar year (March 21-July 22). As reported, the figure showed a 60-percent rise in comparison to the same period last year. Iranian industry, mining and trade sectors attracted $3.5 billion of foreign investment in the past Iranian calendar year (ended on March 20), which indicates a 75-percent growth from the figure of its preceding year, according to Afrouz Bahrami, the director general of Foreign Investment Office of the Ministry of Industry, Mining and Trade.

As previously reported, Iran expects a 10-fold increase of foreign investment in industry and mining sectors by the end of the Sixth Five-Year National Development Plan (2021).

 Value of trades at IME rises 47% in a week During weekdays ended on November 7, while 597,258 tons of commodities worth over $619 million were traded at Iran Mercantile Exchange (IME), the trading volume and value experienced a growth of 35 percent and 47 percent, respectively. According to the report from IME International Affairs and Public Relations Department, last week, on the domestic and export metal and mineral trading floor of IME, 218,400 tons of various products worth close to $256 million were traded. On this trading floor, 208,880 tons of steel, 800 tons of copper, 3,600 tons of aluminum, 120 tons of molybdenum concentrates, as well as 3 kg of gold bullion were traded by customers. The report declares that on domestic and export oil and petrochemical trading floors of IME, 378,296 tons of different commodities with the total value of $366 million were traded. On this trading floor, 127,222 tons of bitumen, 102,500 tons of VB feed stock, 61,493 tons of polymer products, 59,500 tons of lube cut oil, 21,267 tons of chemical products, 1,090 tons of insulation, 1,426 tons of argon as well as 3,360 tons of sulfur were traded. Furthermore, 562 tons of commodities were traded on the side market of IME. On June 24, during the meeting of IME shareholders, IME Managing Director Hamed Soltani-Nejad said that this exchange has prepared ten macro plans to improve its performance during the current Iranian calendar year (ends on March 19, 2020). He mentioned development of underlying assets through existing instruments, development of financial instruments for commodity-backed securities, expansion of market size and depth, increasing cooperation with other organizations, and strengthening IME brand as some of the mentioned macro plans. Soltani-Nejad has previously announced that IME accounted for 39 percent of the value of the total trades in the Iranian capital market during the past Iranian calendar year. He put the value of IME trades at 1.78 quadrillion rials (about $42.3 billion) in the past year. The value of trades at IME rose 52 percent in the past calendar year from its previous year.

Over 24.84 million tons of commodities valued at 884.3 trillion rials (about $21.05 billion) were traded at the physical market of IME, showing seven percent fall in the amount and 77 percent rise in the worth of trades year on year. Applying new financial instruments in Iranian capital market was one of the achievements of the country’s exchange markets during the past year. In this due, IME launched “option” in early March 2019 in an approach to diversify financing methods for agricultural products. Option is a contract which gives the buyer (the owner or holder of the option) the right, but not the obligation, to buy or sell an underlying asset or instrument at a specified strike price prior to or on a specified date, depending on the form of the option.

08 November 2019

 Iran, Azerbaijan stress expansion of trade ties Iranian Industry, Mining and Trade Minister Reza Rahmani and Azerbaijan Republic’s Deputy Prime Minister Shahin Mustafayev stressed expansion of trade ties between the two countries on the sidelines of the Shanghai international expo in China. As reported by IRNA on Thursday, the two sides discussed the need for further development of trade and commercial ties between Tehran and Baku. In the meeting, Mustafayev emphasized the need for joining the two counties’ railways and roads, as well as mutual cooperation in industrial, commercial and joint production projects. The Iranian minister for his part called for pursuing the previous agreements reached between the two countries including identification of the items that can be included in a preferential trade agreement between Iran and Azerbaijan Republic. Rahmani traveled to Shanghai on Monday to meet with Chinese officials as well as participate in the second Shanghai international expo. Annual bilateral trade between Iran and Azerbaijan Republic is over $500 million.

 Belgian trade delegation to visit Tehran in late-Nov A trade delegation from Belgium’s Wallonia region is scheduled to visit Iran on November 30, to discuss economic cooperation with Iranian

counterparts, the portal of Tehran Chamber of Commerce, Industries, Mines and Agriculture (TCCIMA) reported. TCCIMA will be hosting the delegation which is comprised of representatives of renowned Belgian companies active in a variety of fields including machinery, agriculture, food industries, as well as health and cosmetic products.

 Zarif to attend ECO Summit Iranian Foreign Minister Mohammad Javad Zarif will attend the 24th meeting of the Economic Cooperation Organization’s (ECO) Foreign Ministers in Antalya of Turkey, the Foreign Ministry spokesman said. Zarif will attend the 24th meeting of the ECO Foreign Ministers, which will be held in Antalya, Turkey, on November 9. Economic Cooperation Organization (ECO) is a regional economic organization comprising 10 countries which was established by Iran, Pakistan and Turkey in 1964.