TEHRAN – Manufacturing of mining machinery in Iran has increased 100 percent in the first six months of the current Iranian calendar year (March 21-September 22) as compared to the figure for the previous year’s same period, the Industry, Mining, and Trade minister said.

Reza Fatemi-Amin made the remarks in the opening ceremony of an industrial complex for the production of extra heavy tires for mining machinery in Kerman city, central Iran, IRIB reported on Thursday.

According to the official, over 670 million tons of minerals were produced in the country over the previous Iranian calendar year.

Iranian Industry Ministry has been following new programs for supporting domestic manufacturers of mining machinery in order to renovate the country’s mining machinery and equipment which are said to be in dire need of renovation and upgrading.

Back in July, the deputy, industry, mining, and trade minister for mines and mining industries said that there are more than 15,000 mining machines, which are over 20 years old, in the fleet of mining industries of the country, which need renovation and replacement.

Reza Mohtashami said that some of these machines can be renovated, but the rest should be replaced through imports and reconstruction.

Having 81 different types of minerals, Iran is one of the top 10 mineral-rich countries across the globe. In this regard, the Iranian government is pursuing several programs for promoting the mining sector as a major contributor to the country’s economic growth. But despite these programs, this sector is facing several challenges.

According to a report released in the past Iranian calendar year by the Research Center of the parliament, the challenges of the mining sector are 44 percent related to laws and the lack of a long and clear mining strategy, 33 percent are related to mismanagement and problems of miners, 13 percent to environmental and natural resources problems, and 10 percent are related to international problems.

Lack of machinery is also a major challenge in the mining sector.

A board member of the Iran Chamber of Commerce, Industries, Mines and Agriculture (ICCIMA) has said: “At present, due to the shortage of these machines, purchase prices have skyrocketed and, in addition, their rents have become very expensive. At these prices, it is not profitable for small and medium-sized mines to rent machinery and become active. Finally, the miner has the mine and the raw material, but it is not economical due to the expensive operation of the machinery”.

EF/MA