Iran Signs MoU With South Korea to Develop SMEs

EghtesadOnline: Director General of Iran Small Industries and Industrial Parks Organization Sadeq Najafi and South Korea’s Deputy Minister of SMEs and Startups Choi Su-gyu signed a memorandum of understanding on Aug. 31 for increasing cooperation on small and medium-sized enterprises, according to the official website of the Korean ministry, www.smba.go.kr.

News ID: ۷۸۳۸۹۶

04 September 2018

The MoU was signed during Najafi’s visit to Seoul to attend the Seventh Korea-Iran Technology Exchange Conference, IRNA reported.

In South Korea, SMEs have a noticeable 70% share in the East Asian nation’s exports, while four million startups are operating in the country.

Iranian SMEs exported $2.3 billion worth of products in the last Iranian year (ended March 20, 2018), Financial Tribune reported.

According to Farshad Moqim, the deputy head of Iran Small Industries and Industrial Parks Organization, a total of 98,562 jobs were created, 2,575 new industrial units became operational and 1,462 units that were not operating due to various problems were helped back on their feet during the period.

By definition, enterprises run by 50 workers or less, and 100 workers or less are considered small- and medium-sized enterprises respectively, ISIPO said.

Tehran hosted a three-day exhibition called 'SME Iran 2018' last month in which more than 1,200 SMEs together with those from 15 countries, including Turkey, Pakistan, Malaysia and South Korea, showcased their latest products and services in a wide range of fields, including pharmaceuticals, cosmetics, toiletries, chemicals, metals, foodstuff, home appliances and construction material.

A total of 35 small- and medium-sized manufacturing enterprises are currently under development in Iran through foreign investment, of which 28 in industrial towns have attracted foreign investments worth $2.8 billion.

Noting that small- and medium-sized enterprises constitute 92% of Iran's 85,000 manufacturing enterprises, the official, who doubles as chairman of Small Industries and Industrial Parks Organization of Iran, said as many as 31,500 manufacturing SMEs will be renovated, reconstructed or launched over the next three years.