Further studies should be conducted on the plan to avert negative impacts of knocking off zeros from the national currency.

Ministry of Economic Affairs and Finance denied reports published by some newspapers on lopping off three zeros from national currency.
The ministry’s Public Relations Office announced in a statement that the ministry has not made a decision on removing the zeros from the national currency, IRNA reported.
Preliminary expert studies indicate that the chances of the Majlis or the Cabinet approving the initiative are low.
The report which was published in newspapers quoted a lawmaker as saying that it is merely his verbal recommendation, the statement said, adding expert studies on the issue are continuing.
Once a new decision is reached, the Central Bank of Iran will inform the public, it concluded.
Tehran MP said on Monday the Economy Ministry has agreed with the elimination of three zeros from the national currency rial.
Gholamreza Mesbahi-Moqaddam, a member of the newly-established Money and Credit Commission, also told Fars news agency that the Economy Ministry in a letter has agreed with the proposal to remove three zeros from rial.
He noted that the ministry has also referred to issues that can prevent problems in future.
“Central Bank of Iran Governor Tahmasb Mazaheri has welcomed the Economy Ministry’s initiative and set up a working group to study conditions and consequences of implementing the project in four different areas,“ he said.

An agreement on the purchase of the basic technological and engineering know-how for light polyethylene factory of Andimeshk Petrochemcial Company was signed with the German company Basel on Monday.
According to IRNA, the agreement, worth $7 million, was signed by managing director of Andimeshk Petrochemcial Company, Ali Akbar Shokrian and technical director of Basel Company.
The factory, which will cover an area of 158 hectares, plans to produce 300,000 tons of light polyethylene.
Raw materials for the factory will be provided by an ethylene pipeline crossing the western part of the country.
Speaking in the signing ceremony, director of National Petrochemical Company for quality control affairs, Reza Afshin said that Iran’s petrochemical industries have made favorable progress in the past decade.
He referred to Mahshahr Port and Asalouyeh as the two main centers of petrochemical industries, adding that a number of producing units have been established in Mahshahr Port in Khuzestan province.
Afshin noted that large factories have been constructed in the Asalouyeh region, in Bushehr province as well, including Jam Petrochemcial Unit with an annual capacity of 1.36 million tons, which is the largest ethylene producing unit in the world.
He stated that ethylene production began in Array Sasol Petrochemical Complex in Asalouyeh one month ago.

Iran Khodro Company (IKCO) plans to export 250,000 vehicles in the next four years, managing director of giant car manufacturer said.
The target cannot be attained unless the progress of domestic auto parts manufacturers matches that of Iranian automakers in the international markets, Manouchehr Manteqi stated at the opening ceremony of the Second International Auto Parts Fair in Tehran on Tuesday.
He recalled that Iran’s auto industry was born in 1957 with assembling plants which were upgraded to manufacturing units in 1991.
Iran Khodro eventually managed to find a foothold in the international market in 2006 and the company is striving for a stronger presence in the global market by 2011, Manteqi told representatives of 410 domestic and 120 foreign firms participating in the exhibit.
Speaking at the same ceremony, chief of the other giant automaker Saipa noted that the company has four five-year plans to boost production and enter international markets.
“Domestic manufacturers supply 80 percent of the parts used in popular cars produced by Saipa, meaning that the target set in the first plan have materialized,“ Ahmad Qalehbani stated.
In second plan, the Saipa CEO said, the company plans to diversify its products to make a new brand of car every two years, adding that Tondar 90 will gradually replace Pride sedan by 2011. “The first car fully manufactured using domestic parts will hit the market next year.“
Meanwhile, chairman of Iran’s Auto Parts Manufacturers Association, Mohammad Baqer Rejal, said 52.7 percent of Tondar 90 parts are supplied by domestic manufacturers.
The French carmaker Peugeot approves quality of domestic auto part makers and the company has an office in the country for purchasing Iranian-made parts, he noted.
Twelve foreign countries are taking part in the exhibit which will wind up on December 21. The number of foreign participants has shown a 33 percent growth this year.

Lukoil Overseas, which operates Lukoil’s projects abroad, has resumed operations at the Anaran block in Iran after US sanctions hindered work at the block earlier this year, the Russian Industry and Energy Ministry said in a statement.
Operations at the Anaran oil block in western Iran came to a halt in October because of US sanctions banning third countries from investing more than $20 million in Iranian projects.
“The parties note with satisfaction that Lukoil, as represented by Lukoil Overseas, is continuing work at the Anaran block,“ the ministry said in a statement following a session of a working group on energy issues that is part of the standing Russian-Iranian commission on trade and economic cooperation.
The session was chaired by Russian Deputy Industry and Energy Minister Anatoly Yanovsky and Iranian Deputy Oil Minister Hossein Noghrehkar-Shirazi, Interfax reported.
The parties also assessed positively Lukoil Overseas’ research work at two other Iranian fields--Mogan and Lali.
In June 2006, the National Iranian Oil Company (NIOC) declared proven reserves at the Azar field in the Anaran block in western Iran to be commercial. In December last year, following the drilling of a second exploration well, the participants in the project discovered a new hydrocarbon field.
Previously, reserves at the block were estimated at two billion barrels of oil. The Anaran block consists of four structures: Azar, Changuleh-West, Dehloran and Musian.
Hydro has a 75 percent stake in the Changuleh-West project while Lukoil controls 25 percent.
Quoting NIOC officials, International Oil Daily said earlier this month that Hydro is planning to sign a contract on the technical servicing of two oil fields in Iran being explored at the Anaran block. Tehran has also expressed interest in deliveries of Russian equipment for the Iranian oil and gas industry.
Russia’s Gazprom has said that it is ready to cooperate with National Iranian Gas Company on the diagnostics, repair and use of gas equipment as well as raising the efficiency of gas transportation, improving energy saving resources and the modernization of Iran’s gas transportation network.

International Conference on Investment Opportunities in Iran’s Telecom Sector will create an opportunity to make foreign investors familiar with the telecommunication sector.
Expressing this, secretary of the gathering, Mehdi Rohaninejad said that based on coordination with Communication and Information Technology Ministry’s International Affairs Office, the secretariat has contacted several embassies in Tehran, according to a fax sent to Iran Daily by Teyf Group.
He continued that investors from countries such as Malaysia, China and Arab states are keen on participating in Iran’s telecommunication market. The gathering has been planned by Teyf Scientific-Analytic Group on January 16.
Those interested can refer to www.teyf.ir to obtain the latest information about the gathering.
Meanwhile, the international confab, organized by the group, will be attended by state mangers, policymakers, local and foreign investors as well as major players in Iran’s telecom sector. Teyf will provide a forum for identifying various investment capacities, opportunities and challenges in Iran’s telecom sector.
The one-day gathering is to be held in Khajeh Nasir Hall of Islamic Republic of Iran Broadcasting’s International Conference Center in Tehran.

Iran has brought 5,000 Proton Wajas.

First batch of taxis produced by foreign companies will join the transportation fleet from December 22, announced deputy head of Tehran Municipality for traffic affairs.
Jafar Tashakkori-Hashemi was quoted by ISNA as saying Tuesday that 5,000 taxis sold by Malaysia’s Proton Company to Iran will gradually begin transporting commuters in the megapolis of 12 million people.
He underlined that there would be no difference in the fares of Iranian- and Malaysian-made cabs, adding that all the Proton taxis are equipped with wireless radio services.
Iran has bought Proton Wajas to replace old taxis as part of the $200 million plan to renovate urban public transportation which was spearheaded by Zagross Khodro Car Industries Company, the sole assembler and distributor of Proton in Iran.
Proton Waja is marketed in Iran and a few other export markets as ’Impian’.
Proton company’s managing director, Syed Zainal Abidin Syed Mohamed Tahir said in November that the supply of 5,000 Proton Impian taxis took the partnership between Proton and Zagross Khodro to new heights.
Proton sales in Iran have reached 9,634 units since its entry in 2002. It would also raise prospects of higher exports by Proton following the government’s plan to increase the current taxi population from 70,000 to 100,000 units.

Disagreement about restrictions on saffron export has led to another chaos in the ’red gold’ market.
The differences between export-related organizations and Unions of Saffron Sellers emerged when Minister of Agricultural Jihad Mohammad Reza Eskandari announced restrictions on saffron export about one month ago.
He said that the major portion of saffron is being exported in bulk while only a meager part of the output are processed and packaged within the country.
Export-related organizations including Union of Saffron Exporters and Saffron Export Development Fund, supported the move while the Union of Saffron Sellers opposed the decision outright and warned about enforcing any restriction on the export of the precious spice, IRNA reported.
Chairman of Saffron Export Development Fund Ali Shariati-Moqaddam welcomed the move pointing out that the demand for saffron in the global market is higher than the amount produced in Iran in the year to March 2008.
“We are committed to fully tapping our export capability, using untapped potentials of packaging units and identifying domestic and global markets to help save the precious spice with the support of the government,“ he said.
“We pledge to purchase saffron from farmers at suitable price and export them in proper packages,“ he added.
Shariati-Moqaddam added that the logical requests of foreign customers who are willing to buy packaged saffron would also be met.
Meanwhile, in a letter, Union of Mashhad Saffron Sellers expressed its opposition to the government plan.
It referred to Article 113 of the Third Five-Year Economic Development Plan (2000-2005) and a note in the Article 33 of the Fourth Economic Plan (2005-2010), it said that enacting any restriction is against the law.
It added that Iran, which produces 94 percent of the saffron in the world, is capable of improving the quality of its products with the help of related bodies to gain a foothold in the international target markets as the prime exporter.
Referring to the objectives of five-year economic development plans which envisage promoting non-oil export and expanding markets, members of the union contended that imposing any restriction on packaging saffron would lead to losing more target markets, worrying producers and exporters and increasing smuggling.