Economy, Domestic Economy

Domestic Restrictions Hurting Production

Domestic Restrictions Hurting Production
Domestic Restrictions Hurting Production

A leading Iranian businessman believes that domestic restrictions and limitations, combined with sanctions, have provided a difficult situation for many manufacturers.  “The selective viewpoint of some authorities and the unfair treatment of some brands and products have deteriorated the condition for the manufacturing sector,” IRNA quoted Morteza Soltani, CEO of Zar Macaron Industrial Group, as saying.

He added that brands are “commercial assets of the nation” and not the specific property of an individual or group. Creating sustainable employment, reducing inflation, improving social welfare and living standards, and, above all, stimulating economic growth are among the benefits of supporting domestic manufacturers and brand owners, Soltani stated.

Adapting a scientific approach towards export by the government would enable Iranian businesses to have a strong presence in international markets. “This way they can assist the government in creating jobs, boost the economy and attract foreign investment,” Soltani asserted. He called for the establishment of a workgroup to address export-related issues facing Iranian exporters. “There should be a difference between companies that continue with their economic activities despite all the difficulties and, thus, help the government in its plans to reduce the inflation rate and those who don’t,” Soltani suggested.

“The government should consider this seriously. Facilitating the activities of such companies will certainly have a positive impact on the national economy.” Soltani then pointed to the US-led sanctions, which have been imposed on Iran over its nuclear program, as the main reason behind the increase in tariffs on Iranian exports, and, thus, the decrease in the country’s foreign trade.

“Sanctions have made it difficult for domestic companies and manufacturers to maintain their activities at previous levels and so they have to downgrade their production,” Soltani said. Under such circumstances, he noted, if a manufacturer manages to increase production capacity, it should be regarded a huge success. Zar Macaron’s products hit the market first in 2005, in a pilot launch phase, at a production capacity of 150 tons a day. “We have succeeded to increase the figure up to 1,500 tons today,” Soltani said. Soltani stressed that science and research play an important role in the success of Zar Macaron. The company’s research and development office was the first R&D department to be launched in Iranian pasta industry, he said. “We have also been taking a scientific approach to export since we started our pasta production.”

Soltani named Italy and Turkey as Iran’s main rivals in pasta industry, adding that Zar Macaron exports its products to several regional markets and also to Africa, Europe, and North America.