Azerbaijan, Baku, Oct.29/ Trend F.Karimov/
Iranian Industry Minister Mohammad Reza Ne'matzadeh has said that production problems in the country are not related to the U.S. via sanctions, but rooted in internal management, the Tasnim News agency reported.
He further said that 50 major problems have been identified in the production sector.
Production of basic agricultural products including wheat, rice and oil meal has decreased during the past four years.
Currently, 4.8 million tons of wheat is purchased by the government at guaranteed prices and 6.5-7 million tons of wheat should be imported. Also, domestic production of rice is about 2.2 million tons, while domestic consumption is 3.2 million tons, he explained.
He complained about the inefficiency of the banking system, saying that production is essentially dependent on banking support.
On October 6, Iranian Minister of the Economic Affairs and Finance Ali Tayebnia said that lifting western sanctions against Iran can be realised in a long term.
He went on to note that hope on the lifting of sanctions in the near future is an illusion.
The sanctions have targeted Iran's banking system, he said, adding that even if negotiations with the west progress and oil revenues flow into the country, Iran will face problems linked to oil incomes.
It should be recalled that the U.S. and EU imposed sanctions targeted at the Iranian national currency the rial as well as the CBI.
The US imposed sanction against the CBI on Jan. 2012. The measure which Congress passed as part of the 2012 National Defence Authorisation Act, penalises foreign financial institutions that do business with the CBI.
On January 2012, the EU Council announced it would levy an embargo on Iranian oil exports. Furthermore, it stated that it would also freeze assets held by the CBI and forestall the trading of precious metals and petrochemicals to and from the country.
The new sanctions put restrictions on foreign trade, financial services, energy sectors and technologies and included a ban on the provision of insurance and reinsurance by EU insurers to the State of Iran and Iranian owned companies.