Ministry Reviews Industrial Permits

EghtesadOnline: Atotal of 7.99 quadrillion rials ($28.48 billion) worth of investments were made in industrial units with establishment permits issued by the Ministry of Industries, Mining and Trade, while 1.52 quadrillion rials ($5.42 billion) were invested in projects with operating licenses during the current Iranian year’s first eight months (March 21-Nov. 21).

News ID: ۷۸۷۶۵۳

18 January 2022

The above figures show a respective year-on-year growth rate of 144.5% and 7.4%, latest data released by the Ministry of Industries, Mining and Trade show.

Establishment Permits

A total of 25,002 establishment permits were issued during the period under review, registering a 0.2% year-on-year growth. These projects created 600,368 jobs, 7.4% more compared with the corresponding period of the year before.

Yazd Province with 1,849, East Azarbaijan Province with 1,825 and Semnan Province with 1,737 had the largest share of establishment permits issued during the period.

Kerman Province, with 1.61 quadrillion rials ($5.74 billion) in 743 projects, attracted the highest volume of investment, registering a 600.1% rise compared with the corresponding period of last year.

The number of establishment permits issued for industrial units located in free trade and special economic zones jumped by 108.8% to 286.

Investments worth 458.97 trillion rials ($1.64 billion) are expected to be made in these projects (up 207.2% YOY) to generate 21,281 jobs (up 146.8% YOY).

The field of “other non-metal minerals” saw the largest number of establishment permits (3,181) followed by “food and beverage products” (2,530) and “chemical production” (2,519). The field of “other non-metal minerals” generated the highest number of jobs (87,397).

The highest volume of investment in these units is expected to be made in projects related to “essential metal production” with 2.08 quadrillion rials ($7.42 billion). The volume accounts for 26% of all projected investments in projects for which establishment permits were issued during the period.

Operating Licenses

A total of 4,536 operating licenses were issued during the period under review, which shows a 7.4% YOY increase. These projects are estimated to create 96,684 jobs, indicating a 37.4% rise compared with the corresponding period of last year.

Isfahan Province with 396, Tehran with 359 and Khorasan Razavi with 340 had the largest share of all operating licenses issued during the eight months while Kohgilouyeh-Boyerahmad Province with 22 had the lowest number of permits among all provinces.

Hormozgan Province, with 204.2 trillion rials ($727.99 million) invested in 71 projects, attracted the highest volume of investment. The figure shows a 17,415.6% jump compared with the similar period of last year and accounts for 13.4% of total investment.

The highest number of jobs were generated in the provinces of Alborz, Isfahan and Kerman with 9,603, 8,525 and 7,930 jobs respectively.

The number of these licenses issued for industrial projects located in free trade and special economic zones stood at 146, indicating a decline of 61.7% YOY. An estimated 53.94 trillion rials ($192.3 million) worth of investments were made in these projects to create 4,023 jobs, registering an 79.5% and 78.2% fall respectively year-on-year.

The field of chemical production saw the highest number of operating licenses (688) and jobs (12,630).

The highest volume of investment was made in projects related to coke and oil derivatives (450.4 trillion rials or $1.61 billion). The figure declined by 20.1% YOY and accounted for 29.6% of all investments made in industrial units with operating licenses.

The number of greenfield projects with operating licenses stood at 2,482, of which 61 were located in free trade and special economic zones, indicating a 13.4% growth and a 68.4% decline respectively YOY.

A total of 2,200 permits were issued for the operation of brownfield projects, of which 85 were located in FTZs and special economic zones, and showed a 1.2% growth and 54.8% decline YOY, respectively.

Mineral Production Permits

A total of 338 mineral production permits were issued during the same period, registering an 18.6% fall compared with the similar period of last year.

These permits created 3,072 jobs, which indicate a 9.4% decline compared with the same period of last year.

The nominal mineral extraction capacity of projects hit 17.25 million tons, which shows a 50.6% decline compared with last year’s corresponding period.

The provinces of Khorasan Razavi with 41, Yazd with 31 and Isfahan, Kerman and Semnan each with 22 had the largest share of mineral production permits issued during the period.

Mineral production permits issued during the period created the largest number of jobs in Yazd Province (475), Kerman Province (305), Khorasan Razavi Province (279), Isfahan Province (216), Semnan Province (179) and Fars Province (161).

The provinces of Yazd, Kerman and Isfahan, with a total of 4.54 million tons, 2.18 million tons and 748,800 tons respectively, had the highest volume of projected nominal extraction capacities.

A total of 307 exploration permits were issued during the period, down 9.7% year-on-year.

Exploration costs stood at 3.27 trillion rials ($11.66 million), registering a YOY increase of 287%.