Strengthening SMEs to Foster Export-Oriented Production

Amir Roshanbakhsh, Deputy for International Business Development at the Trade Promotion Organization of Iran (TPO), has underscored the pivotal role of small and medium-sized enterprises (SMEs) in boosting the nation’s non-oil exports, announcing TPO’s comprehensive strategy to support SMEs with a strong focus on export-oriented production.

According to Roshanbakhsh, SMEs are globally recognized as key drivers of economic growth. He noted:
"In leading economies such as the United States and China, a substantial portion of exports is generated by SMEs. These businesses typically manufacture goods with a high value-to-weight ratio, focusing on creating significant value-added products, which are essential for expanding global trade."

To leverage this potential, TPO has redesigned the national export chain framework, introducing a two-tier support mechanism. The first step involves a thorough Export Readiness Assessment (ERA) to identify companies with the necessary capacity and preparedness for export. Those that meet the criteria will then collaborate with Export Management Companies (EMCs), which specialize in enhancing export capabilities by offering services such as market research, sales development, distribution, and targeted marketing in international markets.

Roshanbakhsh emphasized that empowering SMEs through EMCs will not only expand Iran’s export footprint but also streamline the entire value chain of export development. He argued that financial incentives alone have proven insufficient in the past, noting:
"Whenever incentives were solely budgetary, our initiatives failed to deliver. But when our support was rooted in decisive action and structural solutions, tangible results followed."

The TPO deputy concluded that this strategy aims to create a sustainable export ecosystem by combining the agility of SMEs with the expertise of EMCs, ultimately enabling Iranian products to compete more effectively in global markets.