Why are there harsh and violent encounters with border citizens, which even lead to their death? Is the reason for such deterrent actions justified? Is being a kolbar a result of unemployment and if so, why isn’t there any effort to combat unemployment? To what extent has the implementation of suitcase trading and the establishment and expansion of border markets helped the economy of border regions and the people living in these areas?

These are some of the questions that we have asked Dr. Sharif Khosravi to answer.

Dr. Sharif Khosravi, the governor of Kangaavar county in Kermanshah province, is one of the border provinces in the west of the country; but we have sat down to talk with him more about his field of expertise, which is economics and economic sociology…

Mr. Sharif Khosravi, as you are aware, it seems that smuggling at the borders has led to the launch of a suitcase trade project by officials, and in other words, to monitor the movement of smugglers and border residents on both sides of the border with legal measures. If possible, please share your perspective on smuggling and such projects.

See, no matter what form it takes, whether it is smuggling or not, the history of trafficking has its roots in the economy of every land. Perhaps its origin can be traced back to 18th-19th century Europe, where we had the mercantilist school of thought and in a country like Spain, moving gold was punishable by severe penalties. They saw power in collecting precious metals like gold and this continued in different forms around the world.

“When people live on both sides of a border, they benefit from the differences in prices; now, if governments were wise, they would create a legal framework to benefit from their tax revenues. But if governments, for whatever reason, cannot control their borders, people will naturally overcome natural obstacles and risk legal consequences to take advantage of those price differences. Therefore, governments all over the world must eliminate attractive incentives. This issue is not just about the entry of goods into the country; we distribute cheap fuel among the people, while in Pakistan, for example, the price of this fuel is four times that of Iran, and also in Turkey, attractive incentives are created that we must increase our deterrent measures so that our resources do not run out and, in turn, smuggled goods do not enter the country. Keep in mind that for every billion dollars that enters the country through smuggling or even legally, we lose one hundred thousand job opportunities. We must take action. On the other hand, the government must

In general, for any action that the government takes, firstly it should control smuggling, secondly it should increase the income of villagers. As an economist, I agree with this, but it should be done in a way that there is no corruption involved. This means that if villagers are supposed to benefit from an advantage, they should all benefit equally and be beneficiaries.

As the second question, please explain how goods are smuggled into the country in various ways, considering that smuggling has different forms.

There is one type of smuggling that is done by individuals, another type is organized by groups, and the third type is done officially, which is accepted by every country as long as it does not harm their domestic production. Regarding individual smuggling, it is good if it is done under the supervision and assistance of the government to improve the economic situation of border residents. As for organized groups, the government must make every effort to combat them, as we have not been very successful in this area. According to our statistics, currently more than 90% of mobile phones in the market are smuggled.

“We must first start by raising awareness among the people and committing to domestic products. Secondly, our factories must truly produce high-quality goods and improve the quality of our domestic production. People do not want to pay money and receive low-quality products. On the other hand, the reality is that some institutions are to blame for this; just like in the previous government, we had the issue of Payam Airport where the welfare organization was importing some goods through this airport. We must deal with all institutions, organizations, and individuals who disregard the boundaries of the law without any leniency, although it is an extremely difficult task. Because these actions are considered by many economists, legal experts, and political leaders as economic corruption. If we take action against them, then we can only monitor the issue in a legal and controlled manner…”

What is the number of smuggled goods in the province?

Most household items and some food items such as tea are available, but since we have inspections, we haven’t seen anything else. There are also other food items such as oranges, but they don’t make it here. Of course, we also have sheep smuggling and overall livestock, but it’s hard to determine if it’s smuggling…

Many believe that smuggling goods is the cause of unemployment. What is your opinion on this matter?

At the level of poverty, yes, but what is at a larger scale and is said to make up 20% of the country’s gross domestic product, this volume cannot be attributed to unemployment; excessive greed, corruption, and rent-seeking are the actions of a group. A unemployed person does not know how to import mobile phones, obtain currency, or rent a ship.

Unemployment has various reasons; including the weakness of economic infrastructure and operational weakness in the workforce. For example, if we want to repair an elevator, there is no workforce available, so it is natural for people who could have worked in this field to remain unemployed. Our institutions should train our workforce because there is a demand for skilled labor. In fact, the weakness lies with us, the authorities, and the institutions that are responsible for training the workforce, not with the people.

Mr. Doctor, what is the exact unemployment rate in Kermanshah County? Do you also have information about the unemployment rate in other parts of the province?

Our province, Kermanshah, has the highest unemployment rate in the country. Overall, the city of Kermanshah has a better employment rate compared to other cities in the province, but I disagree with the definition of unemployment; a definition provided by the International Labor Organization, which states that anyone who has worked for one hour a week in the week before the survey is considered employed. Well, this definition is wrong. This definition assumes that all service and insurance organizations cover the person’s livelihood. When we don’t have such a thing, in my opinion, the unemployment rate in Iran is even higher because this definition is not applicable in our country.

Can you explain a bit about how the fight against smuggling goods into the province and generally border areas in the west and northwest of the country is carried out? Is only punishment considered? In your opinion, are the methods used fundamentally deterrent?

No, these are not deterrents. Of course, strengthening hardware surveillance systems, such as border and road inspection police and inspection stations, is part of the job, but the main part is for responsible agencies to make it clear to the people what goods are being smuggled and what goods are legally entering the borders, and in fact, we must raise the price and cost for smugglers so that there is no attractiveness for smuggling. For example, if they see smuggled goods being distributed in the market, they should seriously confront their main sources and, for example, impose such a heavy penalty that it would have been more profitable for them to enter legally.

Kolbaran are a group of people who are forced to engage in this work. Dealing with kolbaran may discourage some of them from collaborating in the short term, but this path will continue.

In what cases are violent actions such as shooting used against smugglers? Do you consider these actions as part of the cost of stopping smugglers?

See, it’s not possible for a smuggler and his accomplice to just smoke a cigarette on the way, for example in February! Well, there should be a deterrent approach towards them. When a smuggler runs away, when they don’t pay attention to the police checkpoint, the police have the right to assume that maybe that person is carrying industrial drugs that harm the lives of the youth of this country. In my opinion, although I do not approve of taking someone’s life, that officer of the police force is not acting recklessly and is fulfilling their duty. We need to do something to increase the economic cost of smuggling. In other words, we need to limit the incentives for a smuggler to easily hire the services of a border resident and force them to do such work.

Does this mean that you separate smugglers from border crossers and believe that the border crossers are merely agents?

See, I don’t have precise information, but logic tells me that the porters themselves are not guilty and are people who have been forced into service for an organized group, and it is that group that is considered the main perpetrator of smuggling.

Even though we do not have a border market in Kangaavar, overall do you think these markets contribute to the country’s economy and especially help reduce unemployment rates in the province?

Well, it’s good. In any case, the price difference benefits the people. For example, we ourselves went to Javanrud, the population density there is very high – apparently, there is no other place in Iran with the same population density as Javanrud – and the reason why people live there is because of these border markets. These markets have created a market that attracts people to buy there and naturally creates income and keeps a large number of people there, reducing the influx to Kermanshah and other similar issues. Therefore, in my opinion, as long as it does not harm domestic production, strengthening it is appropriate.

How much of the income from these markets belongs to the economy cycle of Kermanshah province?

The amount of it is very high. If it wasn’t high, as I mentioned, the population density in Javanrud wouldn’t increase because the money and income would remain limited in that area; of course, it’s possible that, for example, a merchant from Tehran comes and opens a shop there, but still the structure of that money cycle will remain in that county.

What measures have you thought of for this city so that Kangaavar does not become a gateway for smuggled goods?

We are against smuggling goods because it harms domestic production and strengthens organized smuggling gangs. Naturally, because our country has also come to this conclusion, an inspection station has been established in Kangaavar. We have discoveries of smuggling every day. We are strict with those who have commercial intentions and the goods will be confiscated. But we do not interfere with the goods of travelers; for example, someone who buys an item to complete their daughter’s dowry or a tourist who buys a souvenir, we do not enforce strict measures.

Thank you for taking the time to be with us…