Spontaneous decisions reduce power of Iranian producers, says ex-official

Business Materials 5 November 2018 15:52 (UTC +04:00)

Tehran, Iran, Nov.5


To counter the sanctions, the Iran`s production should be increased and the surplus of production should be exported to foreign markets, which depends on proper planning and management, Ex-Deputy Head of Iran's Trade Promotion Organization (TPO) Kioumars Fathollah Kermanshahi told Trend.

Iran must have a strategy in the sectors of industry, mining, agriculture and services.

"If we believe in supporting the Iranian production, we should target it so that we can also neutralize the impact of the sanctions," he said.

“Of course, our country has been struggling with these sanctions for nearly forty years, although the shape of these sanctions has changed over the last eight years, and has more focused on the country's trade,” noted Kermanshahi.

"If we want to immunize the country against sanctions, we must eliminate the restrictions on domestic and foreign investment in order to move towards export-oriented production, that means, the country's ability to meet the needs of the commodities should empower and the surplus must be exported,” he said.

Referring to the Iran`s liquidity, he said that pumping money into the financial system does not solve the problem of production.

In order to develop trade, the competitiveness of industries and their productivity should be increased and overhead costs, including insurance and wage-related problems, should be reduced.

"Unfortunately, the spontaneous decisions sometimes reduce the power of the producers," he said.

Good management will neutralize the economic effects of sanctions same as it was in the last 40 years, he said.