The tariff on the import of different kinds of paper has increased in current year a case of which is pertained to photocopy paper; although the increase in tariff on import seems to increase the price of paper in current year, the secretary of the union of manufacturers of paper and cardboard believes that the increase of tariff not only does not increase the price but also may decrease the price.
Seyed Taher Shobeiri in an interview with ISNA about raising tariff on import of different kinds of paper in 1395 (2016) stated, "Some of these tariffs have been recently imposed and the others are on agenda."
He added, "The main reason for this policy has been the policy of protectionism, and if we look deeply into this issue, we realize that it will ultimately impact on the progress of the domestic production.
Regarding the reason of increasing tariff on photocopy paper that main domestic requirement in this section is supplied through imports, the secretary of the union of manufacturers of paper and cardboard reiterated, "Suitable investment is made for packaging of photocopy paper in our country so that paper can be imported in roll and presented on the market after cutting and packing.
Stating that whatever procedure is done on a product is to preserve the surplus value in the country, Shobeiri added, "There are companies that have high capability and talent in cutting and packing paper in our country. There is no reason to import packed paper to our country and send the surplus value in the form of foreign currencies overseas."
Referring to the elimination of transportation, cutting, packaging, and boxes when paper is imported in rolls, he continued, "When the tariff goes up, surplus value is tried to be preserved which is ultimately in favor of both consumers and producers."
Stating when the packed paper is imported to the country, all the surplus value is transferred to the country of origin, the secretary of the union of manufacturers of paper and cardboard said, "Therefore, if we will be able to reduce the quantity of imported packed paper and naturally its import will come done, the prices not only does not increase but also it may somewhat impact on the cost price of the office paper and reduce their market price."
Shobeiri added, "Moreover, the important issue in this respect is the matter of desirability, and consumers select what kind of paper to use. Therefore, it will relate to the domestic manufacturers' alertness on the production of the kinds of paper which should have the enough quality and standard to meet consumers' requirements so that they may not be willing to use foreign papers.
He also pointed to the actions taken by China to prevent the reduction of their export coefficient and said, "With regard to that fact that the China's economical circumstances in declining in terms of export coefficient, this country has decreased their currency rate to have export attractions for the countries of destination. Thus, the countries of destination should take precautionary measures to prevent damages and losses on their domestic industries. One of these measures is the tariff system."
Concerning the increase in the tariffs on other kinds of imported paper, the secretary of the union of manufacturers of paper and cardboard continued, " The method of calculating tariff on other types of paper is to assess the domestic production capacity of paper and the consumption of paper inside the country based of which the supportive tariff is determined to support domestic production.
As Shobeiri pointed out, "At the moment, Iranian industries have the capacity of production amounting to 70 to 80 percent of the requirements of our country while new mills are being added to current factories. Therefore, there is no reason to open the country's borders very easily for the import of these goods."