TPO plans new roadmap to boost non-oil exports, shift toward higher-value goods
Iran is preparing a new roadmap to boost non-oil exports and shift away from shipments of raw and semi-processed materials toward higher-value finished goods, the head of the country's Trade Promotion Organization said.
The plan was outlined at a joint meeting between the head of the Trade Promotion Organization and representatives of Iran's Chamber of Guilds, which focused on increasing the role of businesses in international supply chains and addressing administrative, foreign exchange and regulatory barriers facing exporters, Tasnim reported.
The official said one of the country's main foreign trade challenges was the low average value of exported goods compared with imported products.
The average value of each ton of Iran's exported goods currently stands at about $300, while the figure for imported goods is around $2,000 per ton, he said, adding that the gap reflected the continued reliance on traditional exports of raw materials.
He stressed the need to improve Iran's position in global value chains, saying a large share of non-oil exports was concentrated in upstream industries such as steel, iron ore, pellets and billets.
These products, due to their nature as raw materials, require less complex marketing and sales strategies, he said.
In contrast, production and distribution businesses deal with finished and consumer-ready products, including furniture, clothing, footwear, leather goods and handicrafts, where the export value per ton starts at more than $1,000 and reaches several thousand dollars in sectors such as clothing and footwear.
The official said moving toward higher-value finished products was a key priority for improving the country's foreign exchange indicators.