Rastegar, head of the Iron and Steel and Metals Union of the city and Tehran province, referring to the annual production of 29 million tons of steel products in the country, said: “A sharp increase in the price of goods whose domestic consumer market is facing a production surplus of 11 million tons and can not be exported Economic events are rare in our country and have no rational justification.
Iran is one of the top 10 producers of steel industries in the world, so the development of this industry and solving its problems can be of great economic importance for our country, so that today even the per capita consumption of steel as an indicator to assess industrial It is a country.
The steel industry plays a very important role by being present in important production and industrial sectors of the country, so that now over 600 industries as downstream industries feed from the steel industry.
But this industry, like other important industries, is not immune to the bite of profiteers and the mafia, and sometimes in the absence of oversight, steel companies take advantage of market monopolies.
*** Daily increase in steel prices
The fact that the existing monopoly has been converted into rents and caused the price of steel to rise on a daily basis is not accepted by any economist.
Steel ingots are now abundant in steel mills; But its dripping distribution has caused various problems and this trend has led to an increase in prices on a daily basis.
The issue of supplying and selling steel raw materials is one of the most important problems that the owners of production units struggle with, and sometimes for various reasons, these materials reach the producer at a higher price.
After the non-supply of steel raw materials in the commodity exchange and the severe inflammation of prices, members of the Industrial Commission say that the Ministry of Silence is the main culprit in the problems of the steel chain; If there are not enough ingots in the commodity exchange, the parliament will deal with the perpetrators with all its might.
*** ۲۹ million tons of steel is produced annually in the country
For this reason, we will ask Hamid Reza Rastegar, the president of the Iron and Steel and Metals Union of the city and province of Tehran, for the latest problems in the steel industry.
He says: 29 million tons of steel is produced annually in the country, of which about 18 million tons for domestic consumption and 11 million tons of surplus steel production are exported to countries around the world.
Regarding the shortage of raw materials in the steel industry, he said: “Planning for this important industry requires that the interaction of effective circles in the production, distribution, export and pricing of steel products be stronger, that is, exactly” one group or committee of all groups. ” (Manufacturer, distributor, exporter and pricing) to be formed, but unfortunately this organization is not held or not, or if it is, it is not held with the presence of all groups and effective and active people in this field.
The head of the Iron, Steel and Metals Union of Tehran and the province added: “Therefore, when it is one-sided, that is, they are supposed to be the actors of an important industry of a group, we will definitely not achieve any result and we will always face many problems in this industry.” Was.
In another part of his speech, Rastegar stated: “Statistics show that the production of long steel sections in most products is more than the domestic consumption and export capacity of the country, because in recent years our country has been attacked by the oppressive threats of the United States and its allies.” Our exports have been very low and limited.
*** Increasing the price of steel industry has no rational justification
He further reminded: the sharp increase in the price of goods whose domestic consumption market is facing a surplus and can not be exported is one of the rare economic events in our country and has no logical justification.
However, the export of chain intermediates (steel ingots) while the downstream producers of the chain needed this product has been one of the reasons for the increased competition for ingots in recent months and as a result of rising commodity prices.
The head of the Iron, Steel and Metals Union of the city and province of Tehran acknowledged: “For this reason, those in charge should do their best to control prices to prevent the excessive price of this product in the country, for this purpose, the Ministry of Silence plans and Meetings with some groups Of course, I wonder how an important group like a distributor would do this planning without the presence of distributors.
*** Identifies and deals with profiteers who control the market
Rastegar added: “Naturally, as long as this procedure exists, the missing links and these profiteers will never be identified and they will not be able to control the market, and if they succeed in doing so, it will be temporary.”
He said: “Undoubtedly, the activists of this industry are facing various difficulties, so that recently the United States has sanctioned about 15 steel products that have special industrial applications and are used in important industries of the country, including military, agricultural and nuclear industries.” So if we do not have a plan in this industry, we will run into problems.
The head of the Iron and Steel and Metals Union of the city and province of Tehran stated: My suggestion is to move from quantitative to qualitative in the iron and steel industry, which is possible due to the capacity of universities and experts in the country, but with this Unfortunately, there is a confusion in the steel market that external factors are also involved in, and that is that they do not want this industry to develop and achieve the desired result.
*** Officials reach the second best industry in the country
Rastegar added: “The steel industry has brought more and more currency than the petrochemical industry, which shows that steel is the second most important industry in the country after the oil industry.”
Therefore, our officials must be more careful in dealing with this industry.
Regarding the legal process of the production system to the consumption of steel industries, he said: “If we follow the legal path of distribution, it means that the producer produces and the distributors know when and how much the producer needs raw materials and where and by what.” Some people have to be prepared, the work process will be favorable, then after production, we have to pay attention to the legal channels of product distribution, and finally we have to pay attention to the pricing system, for which a committee must be formed from the whole group, but unfortunately That this law exists in the country and we are also in charge of distribution, but the opposite is done.
*** Factories should not distribute steel products themselves
The head of the Iron and Steel and Metals Union of the city and province of Tehran said: “Unfortunately, many steel mills have steel products distribution agents in the market on their own and outside the distribution network, and are not accountable anywhere. They price and heat the market and cause There is a wave of high prices and shortages, so it must be dealt with as soon as possible and the process must be corrected.
Rastegar stated that due to the current situation, the stock exchange cannot control the market of steel industries, and acknowledged: “We do not approve the type of distribution of all steel companies because these manufacturing companies sometimes go to steel sheet quota factories to develop domestic production.” But these companies and factories take more quotas from their consumption and do the distribution themselves and cause a lot of price fluctuations in the market. These people are mainly tax evaders and are money launderers, so the distribution system must be reformed and organized.
*** Steel pricing by distributors
“Distributors should also be among the decision-makers in the steel industry,” he said.
The head of the Iron, Steel and Metals Union of the city and province of Tehran stated: “Some people benefit from the 18 million tons of steel consumed in the domestic market, so we have announced this readiness to the government, officials and the Islamic Consultative Assembly to solve this problem.” But the authorities are not indebted to these words and no one has accepted our invitation.
Rastegar said: “The Ministry of Industry also agrees that producers should distribute, while this is a major issue for us, and non-compliance with this has led to widespread rents in the distribution system of steel products.”
*** The price of ingots in the stock market has bubbles and is not real
He added: “The price of stock exchange indices in all countries of the world is based on supply and demand, but in the current situation, the stock exchange has become a knot for steel industry activists and has moved away from its original nature. Our country has special conditions and all groups must Take steps to help boost production and economic prosperity in the country, even though there are rents in the steel industry and profits go only in the pockets of certain people.
Regarding the increase in the price of steel ingots in the commodity exchange and also the dramatic increase in the price of this product in the open market, the union activist said: “The price at which ingots are currently sold in the commodity exchange and the open market is not the real price of this product.” The base price of ingots in the commodity exchange, which is about 6 thousand tomans per kilogram, is the real price of this product, but the competition for purchase, due to the lack of supply, brings the price of this product to about 9 thousand tomans.
Rastegar added: “This significant increase in prices in each supply shows that there is no plan to control prices in the country, so it can be said that none of the steel chain products are sold at real prices and there is a significant bubble in their transaction prices.” has it.
*** Turbulent control of the steel market
He continued: “The devaluation of the national currency has caused people to enter this field in a planned manner and change the price, and in the meantime earn huge and unusual profits. Naturally, fighting these people has a very positive effect on controlling the turbulent steel market.” Will follow.
The head of the Iron and Steel and Metals Union of the city and province of Tehran acknowledged: “Because of the high prices, many distributors have suffered a lot and have not been able to buy products for distribution and have lost about 30 to 50 percent of their capital.”
Rastegar emphasized that the price of iron and steel should not be tied to the exchange rate in the country, saying: “When we have a surplus of production, the price of steel industry should not increase, so this shows that there are hands behind the scenes that They do not want the distribution system to be developed in the country, so that some factories distribute steel at several prices and do not issue invoices, or the invoice and production money are different.
Regarding the protest of climbing units, he also pointed to the reduction of steel ingots supply days from two days to one day in the country: the distribution of ingots takes place in the stock exchange and the main figures that happen in terms of weight and quantity are in the stock exchange, ie if the stock exchange Stopping or canceling the supply of ingots will have a situational effect on our market and will affect the cost prices.
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