Iraqi Federation of Industries: Its Formation, Bylaw, and the Roles and Services of its Members

By Mustafa Muayad - Head of Baghdad office in Salt & Associates - m.ridha@saltandassociates.com - 00964 78 050 10222

The Iraqi Federation of Industries is an independent organization concerned with economic development. It was established in 1956 to be one of the first organizations representing the industrial sector in Iraq. The first law regulating the work of this organization is law No. 35 of 1956 which was amended and repealed by several amendments and laws, including Law No. 44 of 1989 which was repealed as well, and the latest Law No. 34 of 2002, which is the current valid law.

The Federation of Iraqi Industries performs several tasks, including the preparation of economic and technical feasibility studies for industrial projects when it is requested to do so, conducting surveys and qualitative studies specialized in the industrial activities, and providing expertise to specialized devices to achieve the development of industry. It also develops studies and proposals related to the protection of the national industry, the export and marketing conditions of its products, and the establishment of industrial joint-stock companies in line with the State’s plans to enhance the industrial foundation.

It also sponsors the industrial zones in Iraq and coordinates with the competent entities to deliver the necessary services to these areas and to sponsor the handicraft industries.

In addition, it plays a role in contributing to the development of technical specifications for national products, cooperation in their implementation, holding local and Pan-Arab industrial and international conferences and seminars, participating in them. It also cooperates with the economic and professional union associations and organizations and the Arab and international chambers of commerce and industry and counterparts in order to work on the development of industrial production. It also issues certificates of origin for the Iraqi industrial products, issuing the statements related thereto and supporting them in a way that helps to export of these products.

Also, it provides consultations in the examination of products for industrial manufacturers, and coordinates with private sector inspection and quality control laboratories and other parties in the field of quality control services for private sector projects.

The function of the Federation of Iraqi Industries is to settle disputes that arise between the owners of industrial projects, or with others,  as a referee or participant in the arbitration upon the request of the concerned parties.

As for the services and privileges offered by the Federation of Iraqi Industries to those who belong to it, they are presented to those who have membership of the Federation. Members of the Federation have the right to participate in all tenders and bids of Ministries, entities not associated with a ministry, and the provinces, using the membership card of the Union. The Federation also grants bank loans for big,  medium-size and small industrial projects and through the Industrial Bank and al-Rafidain Bank as well as the private banks. The Federation of Iraqi Industries is the only entity responsible for reserving and registering the trade name of industrial projects.

The Federation grants a certificate of membership to the industrial projects belonging to it to address the embassies to facilitate the travel procedures. It also provides the industrialist who is a member in it with a letter to facilitate the transfer of his/her own product inside and outside Baghdad. If the project is stopped, the Federation provide its members with a letter to the General Taxation Commission. It also provides its members with letters to the Ministry of Labor and Social Affairs to prove the location of the work. The industrialists will also be provided with a letter of recruitment of foreign workers and experts into Iraq. Finally, when the industrialist belonging to the Federation wants to export its product to outside Iraq, it provides him/her with a certificate of origin.

The procedures for joining the Iraqi Federation of Industries is not complicated,  and it accepts membership of Iraqi, Pan- Arab and foreign companies as long as their activities fall within the categories of industrial activities.

 

Attorney Hussein Najim Abdullah