The role of the downstream mining industry in the economy
Minerals Director General of the Ministry of Industry, Mining and Commerce: The more downstream the mining sector is and the higher the value added material, the more valuable it becomes.
According to the International Stone Exhibition of Iran, the downstream industries that produce the surplus value are more important than the mines, which can be said to be several times the value of the mines in the country.
The main resources extracted from the mine are the upstream industries, called the downstream industries, which produce higher processed and value added products. Manufacturers should try not to forget the downstream units, because if the processing units are not properly paid attention to the very low rates of purchased commodities and minerals and the miners in the component and economy of the country as a whole.
So expect producers to pay more for downstream. While we were not capable enough in the past and were not paying attention to the mine and as a result we were sending raw materials overseas, today we are concerned about the conversion of highly valuable mineral resources. Keep in mind that upstream industries will be in trouble if the industries are not downstream.
These industries provide a high value added than raw materials. The more downstream the mining sector is and the higher the value added materials, the more value added.
For example, raw materials that are sold in iron ore at a certain rate, if processed and converted into rebar, have multiple equity added value and are sold at a higher rate. The downstream industries also play an important role in boosting employment, as employment is at the forefront of the problem.
* Seifollah Amiri, Director of Mining, Ministry of Industry, Mining and Trade
