WANA (Jan 25) – The internet shutdown following civil unrest in Iran has triggered a systemic crisis within the “Art-Industry” of fashion. According to academic and industry expert Siamak Nazemi, the blackout has paralysed the sector across three critical fronts: production, marketing, and public trust, leaving the future of the industry in a state of serious ambiguity.

 

The Production Crisis

The modern apparel industry relies heavily on specialised design and manufacturing software that requires internet connectivity.

 

Two-Week Stagnation: Software access has been cut for over 14 days, leading to a significant drop in output.

 

Inefficient Alternatives: Forcing factories to revert to traditional, manual methods is not economically viable due to the time-intensive nature of those processes.

 

Marketing and Digital Presence

Nazemi highlighted the massive scale of the digital fashion economy:

 

Dominance of Apparel: Data from the Ministry of Industry (MIMT) indicates that 75% of all brands and online shops operating on social media are in the clothing sector.

 

Lost Assets: Years of investment in SEO (Search Engine Optimisation) and audience building have been wiped out. Nazemi warns that regaining lost digital visibility and consumer trust is a difficult, uphill battle.

 

 

Economic Impact and Job Losses

The human cost of the shutdown is substantial:

Employment at Risk: Approximately one million people are directly employed in Iran’s fashion and textile industry.

 

Social Fallout: Prolonged disruptions could lead to mass layoffs, placing a heavy burden on the Social Security Organization for unemployment benefits and fueling further social dissatisfaction.

 

The “Golden Opportunity”: The industry is losing its most profitable window. Typically, 40% of annual sales occur in the final months of the Iranian year (leading up to Nowruz/New Year). Because production starts in autumn, the current disruption will result in a massive shortage and lost revenue during the March peak.

 

Educational “Disaster”

The impact extends to the next generation of designers:

 

Inaccessible Materials: Most university coursework and study materials are hosted on platforms like Telegram. Without access, students cannot prepare for exams.

 

Platform Failure: Nazemi noted that domestic Iranian platforms have proven incapable of hosting stable online classes, severely degrading the quality of education.

 

 

Accumulation of Unresolved Issues

Nazemi critiqued the government’s focus on “temporary painkillers” and the failure to address structural problems:

 

Ineffective Measures: Tax exemptions, tax discounts, and special loan repayment terms are viewed only as temporary fixes that fail to solve the root crisis.

 

The “List” of Ignored Problems: For over a year, activists have provided authorities with a list of specific hurdles that remain unaddressed:

  • Challenges in securing foreign currency for raw materials.
  • Difficulties in importing raw materials and machinery.
  • A significant decline in working capital and competitive power.

 

Shift in Priorities: He noted that the challenges are now purely economic and industrial, rendering the “Fashion and Costume Regulation Working Group”,—which focuses more on cultural coordination—largely unable to help with the current crisis.

Clothes with fake prints of clothing brands on them are displayed in a store in Tehran, Iran, September 9, 2024. Majid Asgaripour/WANA (West Asia News Agency)