TEHRAN (Iran News) – Head of Iran Chamber of Commerce, Industry, Mine and Agriculture (ICCMIA) Gholam-Hossein Shafei warned over the rise in the number of free zones in the country and reiterated it seems there is no logic behind it.
Addressing the gathering of representatives of the chamber which was held in the presence of free zone officials, Shafei said that free zones have been one of the important tools of the governments in promoting trade and strengthening exports in the developed countries, adding that when we compare the performance of free zones of the country with successful countries like Taiwan, China and South Korea, we see many weaknesses and shortages in free zones of the country from their establishment.
He noted that study shows that free zones in the under developed countries which have insignificant share of the global markets can have destructive effects, adding that free zones were formed to boost blessing of international trade and to protect the domestic protection capacity from being elimination on this course.
He then highlighted major goals and performance of free zones, adding that Iran is gradually becoming fully free zones but it is still unknown with which infrastructure it happens, noting that the launch of free zones should be after thorough technical and economic studies.
Shafei also reacted to the Vienna talks and Ukraine war and said they will have their own consequences on Iran’s economy. He criticized Covid pandemic, sanctions and management in recent years as the main reasons for economic flop, adding that all economic activities have been just for survival rather than developing.
He noted if the Vienna talks end successfully and sanctions are lifted, country is necessary to change its economic management towards developmental economy, something that the country has been missing it in the past years.
He also warned over opening the borders for imports of useless commodities which will hurt the economy, adding that it may reduce the forex rate for short term but it will hurt the economy in long term.
Shafei urged the government to study the past decisions to avoid their repetitions and called for control of the inflation and fore market which are essential for having a stable economy.
