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Iran's transport infrastructure not suitable for mineral exports?

Business Materials 31 January 2019 12:54 (UTC +04:00)

Tehran, Iran, Jan.31

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Iran's mineral exports require proper transportation infrastructures, as far as roads, railways and maritime go, to reach their destinations, Mohammad Reza Bahraman, the head of Iran Mine House told Trend.

He further discussed the country's active mines and the issue of mineral exports transportation.

Iran Mine House (IMH) is a Non-Government Organization that supports and promotes the Iranian mining industry. The House serves its members and promotes their interests by providing strategic support and advisory input.

“The volume of Iran's mineral reserves is 58 billion tons worth $770 billion. According to the global statistics, Iran ranks among the 15 countries with high mineral resources and thus is the leading country in the Middle East,” he added.

He went on to add that ,ore than 68 minerals including iron ore, chromium, manganese, copper, gold, lead and zinc exist in Iran.

"More than 6,000 mineral units exist in Iran, while some 3,300 units are active," said Bahraman.

With regards to infrastructure issues, he said the main problem is transportation costs, also the fuel subsidies. Bahraman added that the best transportation way is through roads.

"It is the luxurious transportation system in the world and Iran uses it for mineral transport. This is due to lack of development of railway infrastructure, which is a global way to transport minerals on land," he said.

Bahraman went on to add that as far as road transportation goes, even there the infrastructure isn't developed.

"For instance, in Shahid Rajaee Port, that is considered an important port in the country, the rail and road infrastructures for the current exports level are not suitable," he said.

"It is forecasted that by 2026, Iran would have massive steel production and exports, and this means that if the infrastructure problem isn't fixed, there will be crisis in the near future," he warned.

Speaking about the maritime transportation, he said that it is better, and it is the main export line of Iran.

"Unfortunately, they're luxury and include container loading, that isn't proper for mineral transportation. Therefore, road and railway transportation options should be developed as well."

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