Iran said it would test a rocket launcher that was designed to send the Islamic Republic's first home-made research satellite into orbit by March 2009, state media reported.
The ability to launch satellites into orbit could indicate an advance in Iran's missile technology that might alarm some Western powers wary of Tehran's nuclear ambitions.
"We need to have an active and influential presence in space," President Mahmoud Ahmadinejad said in a televised ceremony ahead of the launch.
State television showed live footage of a rocket standing on a launched in desert terrain. But state media gave few details about the launch vehicle.
State television said the satellite, called Omid (Hope), would be launched in the next Iranian year, which ends in March 2009.
Iran often announces advances in its missile technology. In November it said it had built a new missile with a range of 2,000 kilometres, a step analysts at the time said could add more power to Iran's conventional arsenal.
Western experts say Iran rarely gives enough details to determine how significant its technology advances are. They say much of Iran's technology is based on modifications to equipment supplied by others including China and North Korea.
Western capitals fear Iran is seeking to master technology so it can build nuclear weapons. Iran insists its plans are peaceful and it wants to be able to generate electricity from nuclear power plants.
