Iran plans to more than double steel production in 2025

Iran intends to double its steel production in 2025 and significantly increase its export volumes, following the lifting of international sanctions. Iran's Ministry of Mines and Trade has already planned ambitious projects related to steel and aluminum production, gold and copper mining, according to the ministry's report.

Iran's steel production is slated to increase to 55 million tonnes by 2025 from 22 million tonnes this year. The design capacity will allow to increase the export of steel products up to 12 million tons per year. Last year, Iran's exports amounted to 2.5 million tons. Steel products have been shipped to Italy, Spain, the United Arab Emirates, Iraq, Thailand and the UK, according to the ministry. Negotiations are underway with Japanese companies to invest in the Makran steel plant, which has the potential to produce 3 million tonnes of steel. The Iranian free trade zone Chabahar has a rail link capable of supplying iron ore from Iran, along with Turkmenistan, Kazakhstan and Afghanistan. Steel companies in India and South Korea are also considering investing in Chabahar.

German, French and Dutch delegations have visited Iran over the past few weeks. The country also has $ 29 billion in investment in the mining sector, which has generated a lot of interest from European and Asian companies. In addition, a two-day steel industry opportunity workshop is tentatively scheduled for September on Kish Island in the Persian Gulf. International companies want to invest in the Iranian industry, but are waiting for complete certainty regarding the removal of sanctions.

Iran has 3,000 active mines, which are mostly privately owned. These mines have the capacity to provide 9 percent of global production of gypsum, 2 percent of molybdenum and nitrogen, according to a 2010 report from the US Geological Survey.

Oil companies such as British Petroleum (BP) and Royal Dutch Shell have expressed interest in developing Iran's crude oil reserves, the fourth largest in the world, the ministry said in a report. The sanctions against Iran's oil industry are to be lifted at the end of November 2015, Petroleum Minister Bijan Namdar Zanganeh said.

The Iranian Ministry of Industry and Trade emphasizes that the sanctions imposed on Iran have hurt the Iranian people, as well as slowed down steel production and impaired development in other areas, but investing in Iran when the sanctions are completely lifted is a win-win.