Steel Export Data Disappointing
Economy, Business And Markets

Steel Export Data Disappointing

Iran supplies only 5% of Iraq’s annual demand for steel (8 million metric tons), a member of the Iranian Steel Producers Association (ISPA) told IRNA, adding that Iran’s share in Iraq’s steel market can increase given the friendly ties between the two neighbors.
The obstacles in the way of money transfer due to anti-Iran sanctions have been the main reason why Iran exports such a meager amount of steel to Iraq. Iran exports only 400,000 metric tons of steel to its Arab neighbor while Turkey has seized the opportunity and is now a major supplier of steel to the Iraqi market, said Ahmad Donyanoor, an ISPA member.
The rate of Iran’s steel exports to Afghanistan is also unsatisfactory as only 150,000 tons of steel is exported to Afghanistan, which needs 4 million tons of the metal annually. That’s while Pakistan is the main exporter of steel to its northern neighbor.
Donyanoor stressed that the large volume of Iran’s steel imports during the past years have distanced Iranian steel producers from focusing on more effective export strategies. He said the steel sector should adopt new marketing strategies to help Iran move away from the oil-based economy.
The private sector has increased its share in steel production in the past decade, being considered a new-comer that needs time and also support from the Iranian Mines and Mining Industries Development and Renovation Organization (IMIDRO).
Iran is the first steel producer in the Middle East and the 15th largest steel producer in the world. During the past Iranian calendar year 1392 (ended March 20, 2014), over 15.6 million metric tons of steel was produced, indicating a 8.8% increase compared with the previous year.
Steel market experts forecast the total production of crude steel will exceed 17 million metric tons by the end of this year (March 20, 2015). Based on the country’s 2025 Vision Plan, between 52 and 55 million metric tons of steel should be produced per annum.


Short URL : http://goo.gl/7ujkzt

You can also read ...

How China Became Iran’s Coziest Trade Partner?
From bilateral trade to finance contracts and civil projects,...
The economy of the Islamic Republic of Iran has been tied to political and foreign affairs developments over the years.
This is the Financial Tribune’s last edition of the current...
Iranian Banking Sector Awaits Full JCPOA Benefits
Iran’s Deputy Foreign Minister Abbas Araqchi addressed various...
President Hassan Rouhani on Sunday spoke to reporters after the last Cabinet meeting of the current year.
President Hassan Rouhani on Sunday outlined his administration...
Iran has more than 37 billion tons of proven mineral reserves and 57 billion tons of potential reserves.
Iran exported more than 58.09 million tons of mineral products...
All-Out Growth in Interbank Market
The Central Bank of Iran has released its latest data on the...