Measuring the complexity of Iranian non-oil exports

Increase in the complexity of non-oil export to achieve higher economic growth rate is very significant. There has not been any research and study regarding the measurement of complexity of non-oil trade index within the country and the only research is done by Harvard university researchers and MTI which the results are not consistent with the export division facts in Iran and international organizations studies. In this study, it is attempted to first calculate the amount of complexity of country’s non-oil export and analyze it comparing to its global trend and then to identify key drivers of non-oil export complexities in the country. To do this the statistics of non-oil export from 146 countries with three digits SITC code s detachments during 1996-2014 has been taken into consideration. The finding were not consistent with research studies of world economic complexities atlas and clearly express the fact that during recent years the amount of non-oil export complexities has increased by 3.5 percent annually. The other point is that almost 90 percent of export complexity annual growth rate is based on process industries development (With Medium technology). This refers to the fact quantitative increase in non-oil export is due to Industries reliant on normal comparative advantage. Decent understanding of changes, helps managers and governmental authorities to set appropriate policies to increase the complexity of reliant export on comparative advantage such as having educated work force.