Economic growth is one of the most important purposes of developing countries. The growth and
development of different regions is one of the principal issues of economic theories regarding the
capacities in each province. Preparing national and regional development plans and analysis of
production trend and its structure in the majority of the activities of the province requires the
exact identification of potentials and the relative advantage and their combination in the
province. In this paper using the transfer-share method and spatial coefficient index (LQ), the
economic performance of southern provinces and the identification of advantageous and basic
parts of the province during 2004-2010, have been investigated. According to the results in
Khuzestan, the fishing, hotel and restaurant and the other public services sections and in
Booshehr the sections of water, electricity and gas supply, transportation, warehouse and
communication, education, hygiene and social services and other social, personal and housing
services and in Hormozgan province the sections of hotel and restaurant, education and other
public services and in Sistan and Baluchistan the sections of transportation, warehouse and
communication, education, hygiene, social service and other public services, have positive
regional effect (industrial structure) and suggests that these sections are in the potential
advantage area for growing. Indeed, it can be said that not only these sections are growing in
the country but also in view of southern provinces’ economy, they have grown more than the
total average of the country and the opportunities and facilities of these sections in order to
create value-added, have been more than other economic sections.Basic activities (export) of
southern provinces among the fifteen economic activities in 2010 include: in the sections of
agriculture, hunting and foresting, the Khuzestan province, in the section of fishing, the
provinces of Booshehr, Hormozgan and Sistan and Baluchistan, in the mining section, Khuzestan
and Booshehr provinces, in the industrial section, Booshehr and Hormozgan, in the section of
water, electricity and natural gas supply, Booshehr, Hormozgan and Sistan and Baluchistan
provinces, in the apartment section, Sistan and Baluchistan province, in hotel and restaurant
section, Hormozgan province, in transportation, warehouse and communication, Hormozgan
province and in the sections of public and mandatory affairs, education, hygiene and other
public services have basic activities.