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14 Million Euro Savings through Localization of Industrial Equipment at Sangan-Khorasan Steel Mining Industries Company (SSMIC)

According to the Public Relations of SSMIC, Seyed Hojjat Mir Asadi, the Director of Engineering and Localization at SSMIC, announced that last year, 1,750 technical documents were drafted, and 130 parts were localized. Additionally, foreign currency savings equivalent to 2 million euros were achieved through localization of parts and equipment. These achievements are part of a comprehensive plan to reduce reliance on imports and enhance domestic technology.

According to this report, the cumulative performance of this unit until the end of December 2024 indicates that over the past years, technical documents for more than 7,300 parts have been drafted. Additionally, 90 equipment items and 2,275 parts have been completely localized, bringing the total savings from localization, considering technical coefficients, to 14 million euros. These actions indicate significant growth and development in the country’s industrial localization capacity and increased support for domestic producers.

Mir Asadi added: In the technical field, localization and production of production line equipment such as crushers, ball mills and semi-autogenous mills with metal and rubber liners, slurry pumps, and other strategic equipment have been accomplished. Additionally, parts like various pulleys, drums, shafts, gearboxes, and belt cleaners have been localized for different sites within the material transfer systems.

Drafting 7,300 Technical Documents on the Path to Industrial Independence

Mir Asadi stated: We have also successfully produced and optimized fabric and membrane filters in filter presses, magnetic separators, roller screens, and feeders in the concentrate and pelletizing lines. These measures have played a significant role in improving production processes, reducing reliance on imports, and cutting foreign exchange costs. The localization trend shows that indices in this field have continuously increased in recent years, with the number of technical documents drafted rising from 750 in 2020 to 1,750 by the end of 2023.

130% Growth in Localization of SSMIC’s Parts Over the Past Four Years

Additionally, the number of localized parts has increased from 40 to 130, and foreign exchange savings without considering technical coefficients have risen from 600,000 dollars to 2 million euros. This exponential growth reflects principled policy-making and special attention to engineering, technology development, and ultimately the technical capabilities and knowledge of domestic manufacturers.

Mir Asadi further discussed the capacities and effective actions of this unit in the field of localization and stated: Recent successes in localization and factory engineering are valuable steps towards enhancing the country’s engineering capabilities and reducing dependence on imports. The plans for 2024 continue in this direction, focusing on reverse engineering, process optimization, and increasing the share of localization.

Industrial Self-Sufficiency Jihad of SSMIC: Localizing the Seven-Axis Liner Handler in the Country

He continued: SSMIC has localized the seven-axis liner handler in the country, achieving savings of 2.5 million euros. This initiative has reduced import dependency and strengthened production while playing a crucial role in developing industrial infrastructure and improving productivity in the steel industry and concentrate production.

Sangan-Khorasan Steel Mining Industries Company, as one of the largest producers of iron ore concentrate and pellets in Iran with an annual production capacity of 5 million tons, has implemented the seven-axis liner handler localization project to reduce import dependence and enhance domestic production capacity. This project aims to reduce costs, increase operational efficiency, reduce safety risks in production processes, and enhance internal technical knowledge. This specialized equipment, previously only imported from Australia and other countries, is now manufactured domestically for the first time using local technology.

In support of domestic production and based on the Supreme Leader’s directives, SSMIC has initiated extensive collaboration with domestic knowledge-based companies active in heavy machinery manufacturing. Due to the absence of a domestic sample of the seven-axis liner handler, the design, engineering, and construction process was completed with the help of a local company. According to company officials, this project was completed within six months of research and development.

Benefits of Localizing the Liner Handler

  • Cost Reduction
    • Reducing the cost of imported equipment and production stoppages.
  • Operational Efficiency Improvement
    • Enhancing production scheduling and optimizing the use of resources and labor.
  • Safety Risk Reduction
    • Significantly reducing accidents and injuries.
  • Technical Knowledge Enhancement
    • Developing the skills and capabilities of domestic engineers and specialists.
  • Increasing Final Production and 2.2 Million Euro Savings

Mir Asadi continued: The 2.5-million-euro savings is one of the notable achievements of this project. SSMIC, through this initiative, has succeeded in reducing dependency on foreign equipment and simultaneously improving production efficiency. This saving has positively impacted not only financially but also technically and strategically, enabling the company to move more effectively towards its production goals. This action, besides faster meeting the needs of the concentrate production line, also supports the development of domestic knowledge-based infrastructure. Localizing this equipment prevents significant foreign currency outflows and increases worker safety on the production line.

SSMIC will continue to support domestic production and the development of new technologies in the mineral industries. These achievements highlight the importance of localizing key equipment in the steel industry and emphasize the role of knowledge-based companies in this process.

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