Tehran Times - Iran�s Industrial Development and Renovation Organization (IDRO) signed a memorandum of understanding with a consortium of seven domestic companies on production of 10 million tons of steel in Persian Gulf Mining and Metal Industries Special Economic Zone (PGSEZ) in the southern province of Hormozgan.

The MOU was signed at the place of IDRO on Tuesday in the presence of IDRO Head Khodadad Gharibpour, Hormozgan Province Governor General Fereydoun Hemmati, and the representatives of the companies in the mentioned consortium, IRNA reported.

�In addition to boosting the country�s annual steel output by 10 million tons, this project creates jobs for 10,000 people�, Gharibpour told IRIB on the sidelines of the signing ceremony.

He said the project is scheduled to be implementation during five years, and mentioned infrastructures such as ports, as well as existence of iron mines and being close to the international waters as some advantages of PGSEZ for implementation of steel projects.

Two weeks ago, Iranian Industry, Mining and Trade Minister Reza Rahmani said the country has achieved a proper self-reliance in steel industry.

Making the remarks in a meeting with the members of Iran Steel Association at the place of the ministry, the minister said, �This industry can be still developed and regarding the huge investment made in this sector during the past years, we will soon observe a good balance also in production chain of this product in the country.�

Steel industry is one of the industries in which some good investment has been made and today it has become a production advantage, Rahmani further underscored.

Iranian Deputy Industry, Mining and Trade Minister for Mining Affairs Jafar Sargini has announced that Iran�s annual steel production is planned to reach 45 million tons by the Iranian calendar year 1400 (March 2021-March 2022).

Referring to the sanctions, the official said, �All those who have imposed sanctions against Iran aim to destroy he country�s production capabilities; therefore, the Ministry of Industry, Mining and Trade prefer that the steel producers focus first on production and in this due development projects with the physical progress of over 70 percent will also help achieve this target.�

On June 15, the official had announced that the country�s annual crude steel production is planned to reach 30 million tons in the current Iranian calendar year (ends on March 19, 2020). He put Iran�s crude steel production at 25 million tons in the past year.

Sarqini had also announced that Iran will inaugurate steel projects with the capacity of at least 10 million tons during the current Iranian calendar year.

Meanwhile, in a press conference on June 8, the deputy minister said the ministry has taken necessary measures to maintain the country�s metal exports despite the U.S. sanctions.

�We have established a special working group in the ministry which is closely assessing the situation and making necessary arrangements to mitigate the impact of U.S. sanctions,� Sarqini told the Tehran Times in the press conference.

The official noted that it is expected for the exports from the country�s mining sector to, at least, reach the last year�s $8.5 billion by the end of the current Iranian calendar year.

�We won�t also have any problems regarding the supply for the domestic consumption in the current year,� he added.