Two billion dollars in Iraq go to Iranian technical and engineering services companies
Shafaq News/ The Secretary of the Iranian Construction Companies Union, Erj Kalabtongi, disclosed on Saturday that Iranian technical and engineering services export firms had secured approximately two billion dollars of the Iraqi market between 2009 and 2015
Kalabtongi emphasized the need for private sector companies to implement robust strategies to target a 20 billion dollar share in Iraq, “especially in light of imminent Turkish investments totaling 27 billion dollars.”
According to reports from the ISNA news agency, Iran boasts 56,500 accredited engineering companies, with 53,000 specializing in contracting and 3,500 in engineering consulting. These companies employ around 2.6 million individuals and play an active role in construction and building projects.
The Secretary highlighted that “technical and engineering services exports from Iran totaled around 34 billion dollars across 911 projects from 1994 to 2021. Iranian contractors gained a foothold in the Iraqi market in 2015, securing two billion dollars through successful tender bids. This success underscores the potential for Iranian companies to outperform regional competitors with strategic coordination.”
Iranian technical and engineering services export firms operate in various countries, with Iraq being a key market between 2012 and 2016. Despite signing contracts worth four billion dollars in Iraq, Iranian companies faced setbacks following the emergence of ISIS in 2016.
Kalabtongi noted that “38 private sector companies secured 57 projects in Iraq during this period, with significant investments in southern Iraq, Sulaymaniyah, and Erbil.”
Notably, the Ministry of Construction and Housing, and Municipalities in Iraq attracted substantial investments totaling approximately 452 million dollars.
In the global context, Iran ranked among the top 250 contractors worldwide in 2020, alongside China and Turkiye. Kalabtongi highlighted “Turkiye as a formidable regional competitor, exporting around 425 billion dollars in technical and engineering services during the same period that Iran exported 34 billion dollars.”
Turkiye's heavy reliance on technical and engineering services exports, constituting about 30% of its economy, underscores the sector's crucial role in driving economic growth in the country.
