Minister of Industry Stresses Need to Activate Border Crossings and Expand Production Capacity in Ilam Province
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Tehran Times
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Minister of Industry Stresses Need to Activate Border Crossings and Expand Production Capacity in Ilam Province

The Minister of Industry, Mining, and Trade emphasized the importance of strengthening operations at the Mehran border crossing, as well as activating other checkpoints and markets in Ilam province. He stated that it is necessary to utilize the potential of cross-border trade laws and increase the province's share in the country's overall trade by developing border markets.

The Minister noted that Ilam's share in the country's trade added value is only 0.6%, which does not correspond to its border potential and the presence of approximately 430 kilometers of shared border with Iraq. He insisted that existing opportunities must be used more effectively to develop production, employment, and trade.

According to IRNA, Sayyed Mohammad Atabak reported this during a meeting with economic activists in Abdanan district on Saturday. He stressed that Ilam has significant potential for developing foreign trade, and a foundation must be laid for the broader utilization of these opportunities.

He added that the government of the XIV considered measures and approved them to facilitate trade in border provinces, the implementation of which could promote economic activity in border regions. The Minister continued that trade legislation has been simplified for residents of border areas with Iraq, and Ilam, having about 430 km of shared border with this country, has suitable potential for expanding commercial exchange.

Atabak reiterated that Ilam's share in trade added value does not match its border capabilities, and economic activists should seize new opportunities to increase the province's share in foreign trade. He believes that developing trade with Iraq can be a path to increasing economic activity in the province, and Ilam's border potential should contribute to the prosperity of production, exports, and employment.

The Minister pointed out a significant difference between the average industrial added value in the country (about 23–24%) and the figure in Ilam (3.9–4%), indicating insufficiently activated industrial potential in the province. Atabak reported that out of 645 initiated industrial projects in Ilam province, 503 are inactive, and only two have reached 80–100% physical progress.

The Minister stated that the current state of industrial projects requires a revision of approaches to their selection and implementation. Priority should be given to projects that have financial support and economic advantage. Atabak added that regional advantages, available resources, and financing methods must be considered from the very beginning of implementing an industrial project so that enterprises do not face shortages of funds and operational difficulties after investment.

He emphasized that attention to these factors will help prevent the emergence of unfinished and inactive projects, directing investment resources to enterprises capable of producing goods and creating jobs. The Minister noted that considering Ilam's potential in oil and gas, approximately 70–75% of the province's added value comes from oil and gas reserves.

Atabak insisted that this economic potential should serve as the basis for developing the oil and gas refining industry in the province, so that raw materials and available resources are transformed into higher value-added products within the province. He continued that the oil and gas refining industry is one of Ilam's most important industrial advantages, and investments in this sector can lead to increased production and job creation.

The Minister also noted that the use of oil and gas potential in Abdanan should be taken into account, and industrial projects in this district should be defined and implemented in accordance with existing advantages. Atabak stated that the goal of creating industrial parks is to locate production units and develop industrial activities, and land in these parks should not become a site for speculation. He stressed that land in industrial parks should be allocated to genuine investors, and the allocated land must be used to create production capacity.

The Minister asked provincial leaders to audit long-term land allocations for industrial parks and monitor the process of using allocated plots. Atabak added that the facilities and resources of industrial parks must be accessible to investors who have a clear plan for establishing a production unit and creating jobs. He specifically highlighted the need to build a cement plant in Abdanan district and stated that the issue of launching this industrial facility will be actively addressed. Furthermore, the issue of gas supply for the tire manufacturing enterprise in Abdanan will be resolved to eliminate existing obstacles to its operation.

Regarding Ilam's level of economic participation, Atabak reported that the average level of economic participation in the country is about 43–44%, while in Ilam province it reaches approximately 29%, representing a significant gap from the national figure. The Minister explained that the low level of economic participation indicates that part of the active population of the province is not participating in the labor market due to limited employment opportunities. He concluded that increasing production and creating new industrial facilities can lay the foundation for greater participation of the province's active population in the labor market and increased economic participation.

He also noted that it is necessary to promote the activation of existing industrial projects to increase production, create employment, and more effectively utilize the province's human resources. The Minister stated that issues faced by economic activists in taxation and social security spheres will be addressed, and a joint meeting will be held with union heads to study activists' problems and determine necessary solutions. The Tax Authority and the Social Security Organization will also participate in these meetings to reach a proper conclusion in support of economic activists.

The Minister emphasized the importance of conducting exports in foreign currency, as exports based on the rial reduce the country's added value. Atabak urged economic activists to conduct exports in foreign currency to use the obtained currency to meet the needs of industrial enterprises and maintain production activity.

The Minister of Industry, Mining, and Trade arrived in Ilam on Saturday morning to assess the problems of the production sector on the ground and meet with entrepreneurs. He was welcomed by the governor and representatives of the southern districts of the province. One of the key points of Sayyed Mohammad Atabak's visit to this border province is participation in a meeting to review investment opportunities. He will then travel south of the province to personally examine the challenges facing production and industry in Abdanan, Dehloran, Darreshahr, and Badreh districts.

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