Economic consequences of America's "Iron Gate" plan against Iran Conord: With the new restrictions, the pressure on customs will increase up to 14 times.
Morteza Konward, member of the Board of Directors of the Alborz Chamber of Commerce and member of the Board of Representatives of the Iran Chamber of Commerce:
"The Iron Gate project, by blocking land routes, will simultaneously harm the country's import, export, production and employment process. The inability to export goods causes a decrease in foreign exchange earnings and the inability to return foreign exchange according to government regulations and causes manufacturers to face fines and legal crises.
"In the past, about 75 percent of the commercial exchanges in the country were carried out from the southern ports, but with the transfer of this heavy cargo to the northern and western customs, the pressure was created up to 4 times. If the new land restrictions are tightened, the pressure on the current uncomfortable borders will increase up to 14 times.
Alternative corridors and the existing rail network will never have the capacity and infrastructure to accommodate this volume of transactions. Moving cargo from mixed sources such as Turkey increased the cost of transporting goods up to three times and greatly weakened the competitiveness of Iranian goods in international markets.
Industries dependent on imported materials and factories whose inputs have been reduced due to the war damage of petrochemicals suffer the greatest damage. The severe shortage of polyethylene and polypropylene types and their expensive supply directly increases the cost of the manufactured items and faces a severe supply shortage.
The crisis of the polymeric raw materials is not limited only to plastic containers, but also disrupts the backbone of the packaging industry in Israel. Now the production chain of food and pharmaceutical products faced a stoppage of production lines and a significant increase in price due to the paucity of packaging items and imported additives.
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