Despite textile industry's problems, Iran fabric exports grow 90 percent
Azerbaijan, Baku, July 15/Trend M. Moezzi
Over the last year, market fluctuations, the climbing exchange rate and expenses created by its Targeted Subsidy Reform Plan have dragged down Iran's textile exports.
Although fabric exports grew 90 percent in the spring of this year (Iran's solar year starts on March 20), exports of textile products overall dropped 18 percent, the Islamic Republic News Agency (IRNA) reports.
Mehdi Yekta, the Iran Textile Exporters & Manufacturers Association's secretary said Iran had exported $500 million (USD) in textiles products last year.
Sanctions against Iran have made it tough to have access to technology and raw materials said Mr. Yekta. And, the costs of Iran's subsidy reforms are passed on to consumers right now.
On Monday, the textile exporters will meet with one of President Mahmoud Ahmadinejad's deputies. The session was requested by the exporters.
Mr. Yekta said the textile industry could play an important role in Iran's economy if it gets some support from the government. For example, producers are having a tough time getting official-rate foreign currency to purchase the raw materials they need and some producers have liquidity problems but banks refuse to help.
The government's help could resolve these problems to move production ahead.