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Textile Smuggling Harms Domestic Industry

Textile Smuggling Harms Domestic Industry
Textile Smuggling Harms Domestic Industry

Iran’s domestic demand for textile stands at 600,000 tons per year, while annual local production amounts to 440,000 tons and the rest has to be imported, according to the director general of the Ministry of Industries, Mining and Trade’s Textile and Apparel Affairs Department.
“Last year [March 2019-20], close to 30,000 tons of different types of textile were imported, hence more than 130,000 tons must have been smuggled into the country. This volume of contraband inflicts heavy losses on the country’s textile industry,” Afsaneh Mehrabi was also quoted as saying by Fars News Agency.
The official noted that textile import tariffs have been set at 32% by the Islamic Republic of Iran Customs Administration.
“Our textile production is of high quality, but in terms of designs, patterns and color, there are not enough options … This makes textile imports necessary.”
Presently, there are 78 textile factories active in the country producing 90 million square meters of different kinds of fabric per year.   
According to Mehrdad Jamal Orounaqi, the deputy head of IRICA, in the current Iranian year (started March 20), 18,900 tons of textile have been cleared from customs offices.

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