Manufacturing sector of Iranian economy is slowly going
under the top tier government control, started with transfer of Iran Khodro, Seipa (car manufacturers)
to the Bonyads where they (Bonyads = charitable foundations owned by
clergies)† own 60% stake in of each Iran Khodro and Seipa.
By some accounts 43% of auto part manufacturing industry belongs to Bonyads. The building material manufacturing, cement factories, bricks and concrete block factories, to some degree, the metals are also owned by Bonyads. There are plans to bring the metal and steel industry under Bonyads total ownership.
This instance prove the move to that direction: The Shahid Investment Company a subsidiary of Bonyad-e Shahid, made a successful bid for Industrial development and Renovation Organization, The irony is that the government allocated fund to Bonyad-e Shahid for such purchase. The goal of the Top Tier government is to recycle the capital from public (government) to private ownership of clergies. The goal of privatization is not to make the Iranian Economy more efficient and effective and free but to weaken the government divestment and transfer the capital to clergyís holding companies.
The Iranian stock market was created to serve as an instrument for transferring the ownership of Iranian public owned capitals to clergy owning sector, where the Bonyads and clergy owned foundations legally buy the stocks of the public (government) holding companies stocks and eventually change the board of directors and transfer the companies to Bonyads.
Although some argue that the synergy created by this transformation will help the socio-economic development in
While this transformation is taking place, Bonyad-e Mostazafan (the poorís foundation) has increased its food import due to the impact of ownership change from the government own companies to the clergies owned charitable foundations to help mitigate the short fall of job loss and increase in poor families. The Bonyad-e Mostazafan was created to give hand out to loyal clergies followers and to make the poor dependant on the clergies, mosques and †also to create the impression among the poor that Islamic government helping its poor citizens.
Bonyade Astan Qods, one of the oldest foundations owns more then it can handle, such as Petrochemical companies, petrochemical industry is also dominated by Bonyads where the only chance to break away from oil dependence economy is seen, the charitable foundations has put their plans in motion to dominate the future
oil replacement commodities.
The only companies and business which are allowed to import cars, trucks, tractors, combines and agribusiness equipments are charitable foundations that owned by
supreme leader and his office, revolution guards corps and Basij militia.
The mining exploration, consultations and extractions are also awarded to revolution guardís corps owned foundations.
All the revenues from the charitable foundations business activities are distributed among the clerics who work for the office of supreme leader in different part of Tehran and other cities, revolution Guards corps high ranking staff such as majors, colonels, major generals and generals, the army generals, the navy and Air force
generals and Basij militia high ranking staff, in the mean time, some of the countryís budgets are also allocated to win votes among the citizens, and this funds are distributed to the poor who attend clerics arranged and managed religious activities. †
The business monopoly is the real problem with this economic
arrangement, where the business man can not compete with charitable foundations
either by law or
by sheer size of the charitable foundations facilities. As a result the whole economy is controlled by a class of military-mafia that no one will have a chance to compete and do business in
In the age of free market economy and free trade where the boundaries and tariffs among the regional countries have been demolished Iranian government still struggles with concept of fighting goods and services smuggling into Iran, which in this day and age is a shameful practice but to protect the charitable foundations interests and the interests of supreme leader, the revolution guards corps, the Basij Militia and other religious owned business, Iranian military and revolution guards corps are actively fighting the goods and services smuggling into the country. We should take note that the fight against the smuggling is not the fight against the drug
trafficking and drugs smuggling, the fight is against importing wheat, flour, sugar, fruits, cooking oil, rice, candy bars, breadsÖ without government permission and yet the government will not issue license for import of such products to citizens unless the citizen is well connected to the office of supreme leader and absolute guardianship of the clergy.