Trade at the Iran Mercantile Exchange picked up in the last calendar month ending Sep.22 thanks to large scale cement offers.
Goods weighing 8.06 million tons were traded in the spot market up 70% compared with the previous month.
Commodities sold were worth 533 trillion rials ($1.97 billion), indicating 49% increase compared to the month before, according to the IME website.
IME is a commodities exchange in Tehran founded in 2006 to host deals in farm, industrial and petrochemical products in the spot and futures markets.
Industrial and mineral products were the major items sold weighing 6.018 million tons worth 264 trillion rials ($977 million).
Cement topped the list with 4.64 million tons, almost double from 2.433 million tons sold a month earlier. The amount was substantially higher than the volume two months ago when 252,000 tons cement was sold.
Increase in cement deals is apparently related to obligations imposed by the government on cement producers to offer their products only via the IME. In late August, the Industries Ministry obliged cement factories across the country to sell their products through the IME and none else.
Steel was the second major traded commodity with 1.05 million tons followed by iron ore 250,000 tons. Other traded commodities included 16,820 tons zinc, 28,010 tons aluminum, 31,000 tons sponge iron, 19,180 tons copper,720 tons molybdenum concentrate, 400 tons coke, 84 tons precious metals concentrate and 108 kilograms of gold ingots.
Trade also increased on the petrochemical and petroleum floor where more than 2.04 million tons of goods worth 261 trillion rials ($966m) were sold to domestic and foreign buyers.
According to IME data, trade in this sector included 521,024 tons of bitumen, 417,787 tons polymer, 163,169 tons petrochemicals, 17,029 tons base oil and 643,000 tons vacuum bottom. Other items were 34,645 tons of sulfur, 194,000 tons lube cut and 1,610 tons moisture insulation materials.
Saffron traders bought 860 kg of the expensive spice. The IME side market handled 39,190 tons of goods in the period that included miscellaneous goods.
IME has become more attractive in recent months as the government has encouraged manufacturers to offer goods at this market. Earlier in the month, Mohammad-Sadeq Mofateh, a deputy for the Industries Ministry said the ministry is determined to expand the scale and scope of trade at the IME.
“The ministry has a vision to offer [more] goods via the IME. Apart from diversifying goods, conditions will be created for major buyers to enter the market,” he was quoted as saying by the Securities and Exchange News Agency.
Petrochemicals, metal, mineral and agricultural products are already listed at the major exchange. Cement was offered in the recent past and other key items, namely cars and real estate are expected to be added.
