Iran May Export 10 MnT Steel in Current Year - ISPA Chief

Mr. Bahram Sobhani, Head of Iran Steel Producer Association (ISPA) Said "Iran has the capacity to export between 9 -10 MnT steel till the end of current Persian year (21 Mar'18-20 Mar'19), if the outcomes of plans are favorable and conditions are ripe for exports."

Despite economic sanctions imposed by US on Iran, Iran managed to export its steel; specially semi-finished steel; to various market. Major Iranian steelmakers exported around 4.21 MnT of Steel during first eight months of current Persian year (21 Mar-21 Nov'18), exports decreased by around 8% Y-o-Y.

On 04 Nov'18, US imposed the second phase targeting banking, insurance and shipping industry of Iran, owing to which many overseas bank suspended their business with Iran. Various efforts have been made by Iran and other countries to continue their business effectively. Recently, the main Iran-China banking channel is functioning after China's Bank of Kunlun resumed services for Iranians.

According to Mr. Bahram Sobhani, Head of Iran Steel Producer Association (ISPA), "Iran has the capacity to export between 9 to 10 MnT steel by March 2019, if the outcomes of plans are favorable and conditions are ripe for exports. US sanctions on Iran and limitations imposed from global market on the nation has made it difficult to export steel products."

Talking about the present circumstances, Mr. Sobhani said, "The Central Bank of Iran, , the Islamic Republic of Iran Customs Administration and other apparatuses are expected to join hands to make steel exports possible. Otherwise, either the surplus production should be hoarded or the level of production should be brought down."

Mr. Sobhani concluded by saying, "Iran has the capacity to produce 25 MnT of steel by Mar'20, adding up to 16 million tons of this figure will be channeled to the domestic market. The growth in production will lead to a substantial drop in imports and, thus, domestic consumption could be increased to 16 million tons. This way it will become possible to replace imports by domestic output."

Iran Looks to Promote Exports to Neighboring Countries- Industry Minister

In order to boost export, recently Mr. Reza Rahmani, Minister of Industry, Mine and Trade said that his ministry eyes promoting and increasing exports volume to neighboring countries.

Pointing the production of some industrial and mineral products exceeding the domestic demand, Mr. Rahmani added, "proper strategies should be considered in the field of producing and exporting products such as steel, copper, aluminum, etc. which are manufactured more than the domestic demand."

Inputs from Iran Daily