sustainable development throughout the supply chain are important issues in Iran. Also, as Iran’s economy moves to- wards complete economic liberalisation, we will welcome an oil-free economy. For this reason, the government is planning to remove production subsidies and, as a result, feed production at animal farms will no longer make any economic sense, so it should be withdrawn without any additional incentives.”
Have you noticed any negative impact from the US sanctions on the industry? “We cannot say that the sanctions have not affected the in- dustry. They certainly affected the animal feed sector and have slowed down the pace of
growth.The average annual growth rate of the Iran feed industry is 11%. It is expected that 800 feed mills will be in operation in Iran by 2030, which is higher than the global average, but this number lags far behind our planned growth. Regarding modernisation and importing equipment, machinery and technology, it should be noted that the government currently gives subsidies to feed production units and also considerable subsidies are planned to be allocated to modernise 30 production units
with the use of more state-of-the-art technology every year. Meanwhile, with the participation of the National Iranian Standards Organisation and the Ministry of Agriculture Jihad, the decision has been made to prevent the import of ‘weak’ machinery and brands into Iran.”
Could you shed some light on how Iran is going to move to a liberalised economy in the feed industry? “As the Iranian economy moves from a petroleum economy to a free economy, all subsidies will be lifted, real currency prices will be truly real, and import tariffs will be cut. Export limitations in relation to animal feed will be dropped and government intervention in pricing of protein products will be abandoned. All these measures should make the role of animal feed mills in Iran’s economy stronger. Right now, all agricultural products in Iran are subsidised. All feedstuffs benefit from the governmental currency exchange rate for imports. The government is allocating funds to avoid a price hike because of the devaluation of the national currency. All these measures are aimed at reducing the price of protein products, including milk, eggs and meat so that their per cap- ita consumption does not go down and, despite the impact
▶ ALL ABOUT FEED | Volume 28, No. 2, 2020 7
The Iranian gov- ernment has plans to mod- ernise 30 pro- duction units every year.
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28
