EghtesadOnline: Atotal of 5.76 quadrillion rials ($19.2 billion) worth of investments were made in industrial units for which establishment permits were issued by the Ministry of Industries, Mining and Trade, while projects with operating licenses received close to 1.18 quadrillion rials ($3.93 billion) of investment during the current Iranian year’s first six months (March 21-Sept. 22).
The above figures show a respective growth rate of 155% and 149% year-on-year, the latest report released by the Ministry of Industries, Mining and Trade shows.
A total of 18,222 establishment permits were issued during the period under review, registering a 3% year-on-year decline. These projects created 438,895 jobs, 6.1% more compared with the corresponding period of the year before.
Yazd Province with 1,364, East Azarbaijan Province with 1,280 and Semnan Province with 1,227 had the largest share of establishment permits issued during the period.
Kerman Province, with 1.21 quadrillion rials ($4.03 billion) in 566 projects, attracted the highest volume of investment and registered a 664.2% surge 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 declined by 19.6% to 86.
Investments worth 42.15 trillion rials ($140.5 million) are expected to be made in these projects (down 6.2% YOY) to generate 4,038 jobs (down 31% YOY).
The field of “other non-metal minerals” saw the largest number of establishment permits (2,336) followed by “chemical production” (1,809). The field of “other non-metal minerals” generated the highest number of jobs (63,943).
The highest volume of investment in these units is expected to be made in projects related to “essential metal production” with 1.78 quadrillion rials ($5.93 billion). The volume accounts for 31% of all investments made in projects for which establishment permits were issued in the six-month period.
A total of 3,370 operating licenses were issued during the period under review, which shows a 2% YOY increase. These projects are expected to create 76,527 jobs, indicating a 19.9% rise compared with the corresponding period of last year.
Isfahan Province with 294 and Khorasan Razavi with 251 had the largest share of all operating licenses issued during the six months, and North Khorasan Province with 17 had the lowest number of permits among all provinces.
Fars Province, with 163.1 trillion rials ($543.67 million) for 181 projects, is estimated to have attracted the highest volume of investment. The figure shows a whopping 2,378.8% surge compared with the similar period of last year and accounts for 14.1% of total investment.
The highest number of jobs were generated in the provinces of Kerman and Isfahan with 7,426 and 6,864 jobs respectively.
The number of these licenses issued for industrial projects located in free trade and special economic zones stood at 108, indicating a decline of 64.1% YOY. A total of 27.77 trillion rials ($92.57 million) worth of investments were made in these projects to create 2,643 jobs, registering an 88.8% and 82.8% fall respectively year-on-year.
The field of chemical production saw the highest number of operating licenses (520) and jobs (10,245).
The highest volume of investment was made in projects related to coke and oil derivatives (321 trillion rials or $1.07 billion). The figure skyrocketed by a staggering 13,825.5% YOY and accounted for 27.8% of all investments made in industrial units with operating licenses.
The number of greenfield projects with operating licenses reached 1,772, of which 48 were located in free trade and special economic zones, indicating a 7.7% rise and a 69.6% decline respectively YOY.
A total of 1,538 permits were issued for the operation of brownfield projects, of which 60 were located in FTZs and special economic zones, and showed a 7.2% and 58% decline YOY, respectively.
Mineral Production Permits
A total of 249 mineral production permits were issued during the same period, registering a 19.4% fall compared with the similar period of last year.
These permits created 2,418 jobs, which indicate a 4.8% decline compared with the same period of last year.
The nominal mineral extraction capacity of projects reached 12.54 million tons, which show a 10.5% decline compared with last year’s corresponding period.
The provinces of Khorasan Razavi with 36, Isfahan and Yazd each with 18 and Kerman, Semnan and Fars each with 17 had the largest share of mineral production permits issued during the period.
Mineral production permits issued in the six months are expected to create the largest number of jobs in Yazd Province (376), Kerman Province (283), Khorasan Razavi Province (238), Isfahan Province (189), Fars Province (188) and Mazandaran (145).
The provinces of Yazd, Kerman and Isfahan, with a total of 3.59 million tons, 1.87 million tons and 666,800 tons respectively, had the highest volume of nominal extraction capacities.
A total of 229 exploration permits were issued during the six months, down 5.4% year-on-year.
Exploration costs stood at 1.93 trillion rials ($6.43 million), registering a YOY increase of 237.5%.