Tuesday, 02 January 2024 12:17 GMT

Iranian official says enhancing business environment priority of free zones


(MENAFN) The new secretary of Iran’s Free Zones High Council, Reza Masrour, emphasized that enhancing the business environment should be the primary focus for the country's free commercial-industrial and special economic zones. During a recent meeting with economic operators from the Qeshm Free Zone, he outlined several key priorities, including the development of logistics, international transportation, and the expansion of international trade, all aimed at improving the overall business climate in these zones.

The establishment of free trade zones (FTZs) in Iran began in the Iranian calendar year 1368 (March 1989 - March 1990). This initiative was prompted by a significant decline in the nation’s oil revenue, which urged the government to seek alternative economic strategies, particularly the promotion of non-oil exports. The government recognized the need to diversify its economy and took steps to create environments conducive to trade and investment.

Iran's first two free trade zones were set up in the southern regions of the country. Kish Free Trade Zone was established in 1368 on Kish Island in the Persian Gulf, followed by the Qeshm Free Trade Zone the following year on Qeshm Island, located in the Strait of Hormuz. These zones were designed to facilitate international trade and attract foreign investment, laying the groundwork for further economic development.

Since the inception of the initial free trade zones, five additional zones have been established across Iran. These include Chabahar in southeastern Sistan-Baluchestan Province, Arvand in southwestern Khuzestan Province, Anzali in northern Gilan Province, and both Aras and Maku in northwestern provinces of East Azerbaijan and West Azerbaijan, respectively. The Iranian government has identified the expansion of existing free trade zones and the creation of new ones as a critical aspect of its economic strategy.

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