Abstract
Governments and large corporations and major investors in many countries of the world worked together to develop projects for large-scale industries for its need to financial and human resources. Whereas, the private sector working to establish small industries. On the other hand, the small industries in Iraq has attracted the attention of many craftsmen, industrialists and investors because it has a high proportion of the volume of industrial projects or craft in all Iraqi provinces, especially in cities with concentrated population density as high as is the case in Baghdad, Mosul and Basra. The growth of the Iraqi economy and to initiate steps to shift from the State economy to a market economy, will increase the reliance on the spread of the private sector in the various governorates of Iraq, which leads to the establishment of new projects for small-scale industries and lead to the development of industrial sectors in Iraq. The search has been divided into four sections, Section I care about the definition of small-scale industries and show a concentrated historical overview on the subject. Section II: the reality of small-scale industries in Iraq, discusses the evolution of small-scale industries in Iraq. While the focus was in the third section on the problems that small industries faced in Iraq in the legislative, financial and economic. The conclusion includes the findings from the research material as well as providing a set of recommendations that serve the development of small industries in Iraq
