Page 76 - IRANRptJul22

Longstanding plans to privatise Iran Air scrapped
Iran is offering major airlines overflight discounts to boost transit income
Longstanding plans to privatise flag carrier IranAir have reportedly been scrapped over concerns that the airline might be dogged by future financial problems under a non-state owner.
Iran’s Transportation Minister Mohammad Eslami was cited by Press TV as saying that the government decided to remove IranAir from its privatisation list following discussions between ministers that determined there was a risk of insolvency for the carrier after a few years of operations under private ownership.
“This company was available for privatisation for several years. However, the situation was not ripe for such a divestment because what would take place in practice could cause harm,” the minister said.
IranAir, founded just after WWII and known in Iran as Homa, is the largest airline in Iran. It operates both domestic and international routes.
The airline has faced financial difficulties in recent years caused by US sanctions that place new planes and parts out of its reach.
Eslami added that the transportation ministry was working on plans to carry out an overhaul of IranAir’s organisational structure to turn it into a major player in the global aviation industry.
Iran is offering overflight fee discounts to major airlines amid efforts by the government to boost transit income by increasing the number of flights through the country's airspace, Transportation Minister Mohammad Eslami has been cited as saying by Press TV.
A plan by Iran Airports and Air Navigation Company (IAC) to cut its overflight fees was approved by ministers, Eslami was reported as saying.
Xinhua news agency at the same time released a report quoting Eslami as stating that the government has been working with the Iranian armed forces to set up direct flight corridors to further assure foreign airlines of the safety of flying through Iranian airspace. A Ukrainian airliner was shot down by the Iranian military just outside Tehran in January 2020 in an apparent accident, with the loss of all on board.
The recent repairing of relations between Qatar and other Gulf Arab states, which were blockading the kingdom, will also likely reduce the number of transit flights taking routes over Iran. Tehran stepped in to provide Qatar with alternative airspace when the Arab states, led by Saudi Arabia, introduced their embargo on Qatar, which included a refusal to accommodate Qatari airlines including flagship Qatar Airways.
9.2.4 Agricultural corporate news
Iranian dairy giant Kalleh expected to open in Russia’s Astrakhan
Iran’s biggest dairy producer Kalleh has announced plans to build a dairy processing plant in the Astrakhan region of Russia, Tehran Bazaar News reported on March 1.
Kalleh owns swathes of commercial dairy farms across Iran and produces a wide array of dairy products, including ice cream.
The announcement reportedly came via Minister of Foreign Relations of the Astrakhan Region, Vladimir Golokov and Iranian Consul to the Astrakhan region, Mehdi Akuchekian, Russia DairyNews website reported.
It’s unknown whether the plan to invest in the region would be based on local sales or re-exports back to Iran, where an ongoing water crisis is often blamed, in part, on dairy, rice and other types of farming.
76 IRAN Country Report July 2022 www.intellinews.com