Iran’s export value added remains well below the global average despite the country’s sizable export volumes, a structural weakness that increases exposure to sanctions, price volatility and external demand shocks, according to the head of the National Productivity Organization (NPO).
Mohammad Saleh Olya said the country’s export structure generates “limited value added,” raising questions about the justification of past investments across production chains. Misallocated capital, excess capacity, export restrictions and an overreliance on foreign markets continue to weigh on competitiveness, he said, IRNA reported.
Olya stressed that productivity is a cornerstone for sustainable growth in the mining sector and the broader economy, requiring long-term planning and coherent policymaking. Productivity and excellence models, he added, must be tailored to each industry’s specific conditions and used as internal assessment tools that capture real challenges and policy priorities.
He called for regularly updating these models to align evaluation frameworks with economic and technological shifts. Traditional performance metrics, he noted, often fall short—particularly in steel, where low energy prices distort cost structures. Complementary economic indicators such as energy consumption per ton of steel, recovery rates and waste levels are needed to produce an accurate productivity profile.
Environmental criteria—including carbon intensity and resource-recovery rates—should also be embedded in assessment models, given the sector’s aging equipment and technological gaps.
Achieving higher productivity, Olya said, hinges on effective regulatory incentives rather than speeches or award ceremonies. A mix of incentives and constraints within licensing and policy frameworks is essential to steer firms toward efficiency.
