TEHRAN- Memorandums of understanding worth five trillion rials (about $119 million) have been signed on indigenizing equipment and technology in steel industry of the country in the current Iranian calendar year (began on March 21, 2019), the head of Iranian Mines and Mining Industries Development and Renovation Organization (IMIDRO) announced.

Making the remarks in a meeting with the board members of Iranian Steel Producers Association on Sunday, Khodadad Gharibpour said promotion of indigenizing is one of the major orders of the country’s senior officials and in this due the steel producing companies should focus more on indigenizing and supplying their requirements through domestic production, IRNA reported.

In the past year some of the steel producers were facing problems for supply of raw materials, the official said adding that through cooperation with the state-run sector and related companies IMIDRO managed to remove their problems.

The official has previously announced that the annual production of crude steel in Iran is planned to rise three million tons to 28 million tons in the current Iranian calendar year (ends on March 19, 2020).

Such progress in this sector is mainly the result of “indigenizing” approach, which is seriously followed up in all industrial sectors of the country.

In fact, indigenizing the technology of manufacturing required products, equipment and machinery to attain self-reliance is the major economic approach of the country during the sanctions.

Industry, Mining and Trade Minister Reza Rahmani has said that the country has achieved a proper self-reliance in steel sector.

“This industry can be still developed and regarding the huge investment made in this sector during the past years, we will soon observe a good balance also in production chain of this metal in the country”, the minister has emphasized.

“Steel industry is one of the industries in which some good investment has been made and today it has become a production advantage”, Rahmani further underscored.

Indigenizing technology in steel sector today shields this sector from the sanctions, so it is atop agenda for the Ministry of Industry, Mining and Trade and its subsidiaries.

As IMIDRO head has said, “Today, we are witnessing a national will and determination for self-reliance and promotion of production and indigenizing should be in fact considered as a necessity in this regard”.

MA/MA