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Sat, Oct 01, 2005
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2m Work in Persian Carpet Industry
Center to Study Causes of Declining Market
Ahmadinejad Urged
To Intervene in Rice Payments
MP: Fixed Price LawPolitically-Motivated
Serves Privileged Strata
More Power Exports to Iraq Planned
Oil Industry Will Continue
Khatami Era Policies
Will Rely More on Domestic Expertise
Lebanese Premier, Haddad-Adel Discuss Cooperation
Minister Wants Advanced R&D

2m Work in Persian Carpet Industry
Center to Study Causes of Declining Market
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Some $470 million worth of Persian carpets were exported in the year to March 2005.
TEHRAN, Sept. 30--Some two million people are involved in Persian carpet industry nationwide, said the head of the National Persian Carpet Center of Iran here on Friday, adding that the industry can slow down migration of rural and tribal people to larger cities, if it receives greater attention from the state.
According to ILNA, Morteza Faraji further said that the center is planning to find the causes of declining demand for Persian rugs on international markets.
“The center’s research department as been tasked with conducting a research study to determine why international Persian carpet sales are declining,“ he said, adding that the center will also seek expert views from NGOs, unions, cooperatives and academicians on the key issue.
The Persian carpet industry, he pointed out, has to be looked at from different angles, stressing that the industry generates financial resources and job opportunities while preserving cultural heritage and arts.
Experts say modern marketing methods have to be employed to reverse the declining trend of Persian carpet exports, adding that the quality of Persian rugs have to improve as well.
On the other hand, new international markets need to be created for Persian rugs.
Some $470 million worth of Persian carpets were exported in the year to March 2005. The government must boost export incentives to encourage the Persian carpet industry to step up exports.
Increasing imitation of unique Persian rug designs by Pakistani, Indian and Chinese carpet weavers has resulted in Iran losing some 40 percent of its share in the global hand-woven carpet market.
The carpet industry needs to devise design and production standards to protect the high status of Persian carpet at the international level.
Experts say regional carpet weavers, especially in Pakistan, imitate the designs of Persian carpets and export them to international markets.
Roqayyieh Almasi, a member of Scientific Association of Persian Carpet, said earlier that Pakistani weavers use Persian designs and export their products under world-famous Iranian brands such as Haris, Afshar, Kashan, Kerman, etc.

Ahmadinejad Urged
To Intervene in Rice Payments
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Rice production is expected to total 2.2 million tons from 630,000 hectares.
TEHRAN, Sept. 30--A rice industry official here on Friday called on President Mahmoud Ahmadinejad to help provide funds for the government-sponsored purchase of rice from farmers, stressing that rice farmers have become increasingly reluctant to sell their crops to the government.
Jamil Alizadeh-Shayeq, secretary of State Rice Association, told ISNA that the Commerce Ministry has managed to pay only 40 billion rials out of its total debts of 175 billion rials to rice farmers in Mazandaran province, stressing that rice self-sufficiency will not materialize as long as the farmers are not paid on time.
He said production of high-yielding varieties is expected to reach one million tons by March 2006, adding that 230,000 hectares have been brought under high-yielding rice cultivation.
The official further noted that rice production is expected to total 2.2 million tons from 630,000 hectares in the period.
He said Iran needs to import 300,000 tons of rice this year, rejecting reports that imports will total 800,000 tons.
Some 25-30 percent of the country’s rice production is wasted in the processing stage.
There are over 3,000 rice processing factories in the country. Most of them are old and malfunctioning.
A modern rice processing factory will be set up in the northwestern city of Gonbad-e Kavoos. Experts say construction of modern factories will help lower wastage in rice production and reduce imports.

MP: Fixed Price LawPolitically-Motivated
Serves Privileged Strata
TEHRAN, Sept. 30--A parliamentarian criticized the fixed price law as a politically-motivated initiative, stressing that the move lacked scientific grounds.
Hossein Afarideh, a member of the Majlis Energy Commission, told ISNA that the initiative was a major disaster for the national economy, adding that it only benefited the wealthy sections of the society.
“Public funds could be spend on development and employment projects rather than on helping the well-to-do enjoy a higher share of subsidies,“ he said, adding that those who believed that the initiative would help bring down the prices were deeply mistaken.
He said the parliamentary decision to keep prices of goods and services unchanged in the current year has led to a hike in prices of certain products, most notably fruits.
“Prices have to come down through proper management and greater domestic production,“ he said, adding that the initiative runs contrary to the ideals of the new administration.
Some lawmakers have criticized the parliament’s fixed price decision in recent weeks.
Reza Abdollahi, who heads the Majlis Plan, Budget and Audit Commission, said this week that the Ahmadinejad administration has to put forward a bill to the Parliament seeking to withdraw two billion dollars from the Foreign Exchange Reserve Fund for gasoline imports as a result of the fixed price initiative.
“When prices remain unchanged, consumption will subsequently go up,“ he said, adding that the initiative does not serve the best interests of poorly-paid strata of the society.
He further noted that the fixed price law has led to a huge waste of resources, stressing that competitive prices must return to market.
Mohammad Shahi-Arablou, who heads the Majlis Economic Commission, said the government’s budget deficit is expected to increase by 30 trillion rials until March, blaming the huge shortfall on Parliament’s decision to set fixed prices for goods and services.
However, Asghar Geranmayeh-Pour, another parliamentarian, said the initiative has had positive results, stressing that it has nothing to do with the government’s budget deficit.

More Power Exports to Iraq Planned
TEHRAN, Sept. 30--Iran will increase its power exports to Iraq from the current 100 megawatts to 150 megawatts, said a power industry official here on Friday, adding that Nakhichevan was the top regional power importer from Iran last year.
Massoud Hojjat, deputy head of Tavanir Power Generation, Transmission and Distribution Company, told ISNA that Iran exported 1,725 megawatts of electricity to regional countries last year, adding that 619 megawatts were exported to Nakhichevan.
He further said that Iran has plans to export power to Pakistan.
“But given the fact that power export negotiations with Pakistan are expected to take a long time to achieve concrete results, we will not be able to export power to that country earlier than next winter,“ he said, adding that Iran also exports power plant construction equipment and power industry technical and engineering services to regional states.
The official said Iran usually imports power in summer time, adding that electricity imports reached 700 megawatts this summer, when the country exported only 250 megawatts.
Experts say inadequate financial resources have created serious challenges for the power industry, blaming low utility charges for the dilemma.
The Energy Ministry announced earlier that it will seek to reduce power consumption under President Mahmoud Ahmadinejad’s administration, criticizing the 10-percent hike in electricity use in the current year as quite illogical.
The ministry has said it will also try to rectify utility charges in cooperation with the Parliament as part of efforts to discourage excessive consumption.
Nominal power generation capacity of power plants stands at almost 33,000 megawatts.
Six power plants, which are under construction, will become operational by 2007.

Oil Industry Will Continue
Khatami Era Policies
Will Rely More on Domestic Expertise
TEHRAN, Sept. 30--The Oil Ministry caretaker said here on Friday that positive steps were taken to improve the oil industry in the past eight years, stressing that the ministry will continue the same policies under the government of President Mahmoud Ahmadinejad.
According to ILNA, Kazem Vaziri-Hamaneh further said at the Seminar on Data Control and Telecommunications in Oil Industry that the ministry will give top priority to human resource development, stressing that the oil industry has to reduce reliance on foreign-made machinery.
“It is not possible to indigenize the oil industry by importing technology and machinery,“ he said, adding that the industry should be able to rely on domestic expertise.
He said investing in oil industry is tantamount to putting money in the entire national economy, adding that the oil industry has never faced recession even under most difficult circumstances during the 1980-1988 war with Saddam Hussein’s Iraq.
Former oil minister Bijan Namdar-Zanganeh told the same seminar Wednesday that Iran needs to invest some $170 billion in its hydrocarbon industry over the next two five-year development plans to achieve its 10-year oil and gas production targets.
He said the former Khatami administration’s long-term oil industry development schemes can turn Iran into the top regional country in terms of technology and economic and industrial interaction with the world.
He said the country needs to be able to produce seven million barrels of crude oil per day and export $20 billion worth of petrochemicals per annum in the next 10 years.

Lebanese Premier, Haddad-Adel Discuss Cooperation
BEIRUT, Lebanon, Sept. 30--Visiting Majlis Speaker of Iran Gholam-Ali Haddad-Adel here Thursday voiced Tehran’s readiness to provide Beirut with necessary economic facilities and technical know-how in its reconstruction drive, IRNA reported.
In a meeting with Lebanese Prime Minister Fuad Siniora, Haddad-Adel said that Iran can contribute to Lebanon’s reconstruction projects given its rich expertise and experience from the eight-year war (1980-88), imposed by former Iraqi Baathist regime.
Haddad-Adel said he is in Lebanon to declare the Iranian nation’s interest in restoration of peace and stability in the country, adding, “We wish a stable and peaceful Lebanon as well as establishing best kind of relations with Islamic states.“
The Lebanese premier welcomed the visit by Iranian Majlis speaker and his entourage under current sensitive conditions in Lebanon and said his country is looking forward while being solemn in its resolve to upholding independence.
Meanwhile, in another meeting here Thursday, Haddad-Adel and Lebanese Foreign Minister Fawzi Salloukh discussed domestic developments in Lebanon and ongoing situation in the Middle East region, particularly in Iraq and Palestine.
The two sides stressed the need for the international community and Arab and Muslim states to adopt serious steps towards restoration of the Palestinians’ rights and providing them with the opportunity to decide their fate.
The Lebanese minister, for his part, said Iran’s interest in having a close watch on the ongoing developments in Lebanon and its contribution to the country’s progress as well as expansion of mutual relations in all fields would be a big asset for the Lebanese nation.

Minister Wants Advanced R&D
TEHRAN, Sept. 30--Minister of Industries and Mines Alireza Tahmasebi said the Ahmadinejad administration will try to boost research and development (R&D) activities as part of efforts to modernize industries.
According to Fars news agency, the minister said at a meeting with the heads of R&D centers that the former Khatami administration failed to improve the R&D sector.
“The former government had drawn up a number of research schemes but failed to implement them properly,“ he said, adding that R&D units lack coordination in Iran.
He further noted that the industrial sector does not make use of the findings of research projects at universities, which is why the R&D sector has not improved remarkably.
Tahmasebi said that R&D development is a prerequisite to entry into global markets, stressing that it will help improve quality of Iranian products and boost exports.
He called on Iran’s Standard and Industrial Research Institute to exercise greater supervision over the quality of domestically-produced goods.