Export transport holes in the aftermath
Export transport holes in the aftermath
High cost, obsolescence, lack of transportation for perishable goods and non-competitive transportation index in the Iranian economy are important challenges in this sector in the country. According to the news and analytical site Exim News, with the lifting of sanctions and the return of the world’s major transport companies to Iran, part of the challenge of loading Iran’s export products was solved, but experts believe that transport is still one of the most important parts of the cost of goods. It is considered as an Iranian export. Activists in this field say that the lack of air transportation system and the weakness of rail transportation on the one hand and the logistical weakness of exporting non-oil products for example on the export of perishable goods on the other are issues that need to be reconsidered. Warns of the development of freight transport in the non-oil export sector.
Remarks by the Chairman of the Export Development Commission of the Iranian Chamber of Commerce
In this regard, Assadollah Asgrawladi, Chairman of the Export Development Commission of the Iranian Chamber of Commerce, believes that air transportation has no place in Iran’s exports, and therefore many goods that have a short shelf life have a small share in exports; However, he did not consider maritime transport to be effective due to sanctions and ship problems in recent years.
According to him, there is a shortage of refrigerated containers, a shortage of international trucks and a lack of regular shipping lines that can deliver perishable goods to target markets on a daily and continuous basis. Asgar Oladi believes that issuing licenses for the purchase of used refrigerated trucks and containers, providing bank loans at competitive interest rates and establishing regular shipping lines to target markets are among the measures that should be considered in this regard.
The private sector activist says that high transportation costs, along with problems such as exchange rate fluctuations, as well as policies and laws, are other factors that make the country’s export goods competitive in global markets. He adds: “Transportation infrastructure is one of the most important platforms for non-oil exports, and repairing the wear and tear of logistics and facilitating customs and freight affairs at the country’s borders and export routes can be an important and effective step in developing non-oil exports and prosperity.” On the other hand, it should be said that the export capacity in our country is very low compared to some countries in the region, such as the UAE, so that in the current situation, this country has been about 5 times the export capacity of our country. Meanwhile, China’s export potential is estimated to be 35 times that of Iran. It becomes. The high costs of transportation have been the legacy of sanctions against exporting countries and the lack of equipped equipment in our country’s ports.
Comparison with other countries
In the UAE, due to huge investments in various sectors, transportation costs are much lower than in our country. Recently, the Oman Minister of Roads, Industry and Trade announced that Oman had ceded 150,000 square meters of land in Muscat to the Iranian embassy so that Iranian companies could operate logistically there.
Iranian registered companies do not need to obtain a new license and can operate as a foreign branch of their company in Oman. It is located near Barakat State, northwest of Muscat, 30 km from the city airport. By signing such contracts, Iran can always reduce its transportation costs and always increase its exports. Another point is the life of the transportation fleet in Iran. Studies show that currently the average cargo and shipping fleet of our country is between 20 to 25 years and Iran is facing a worn and rotten fleet. Along with the modernization of the air fleet, the government seeks to upgrade and modernize other fleets of our country, including shipping, cargo and rail.
At present, domestic transport companies are not able to compete with international companies. For example, the quality level of trucks of domestic companies is very low, and this issue also affects the time of unloading and loading, and consequently the cost of transportation and export. Given the opposition to the modernization of the air fleet by some people, it should be said that the lack of reconstruction and modernization of the aviation fleet is one of the major problems in the country’s exports.
Unfortunately, our country’s airports, despite their good location, are not able to earn money for transit. This does not mean ignoring the activities of activists in the country; Rather, the activists in this field have had the necessary exploitation with the available facilities and equipment. First, the government should seek to modernize the country’s fleets, and then, using the knowledge and technology of large international transport companies, be able to improve Iran’s export productivity.