Transportation expenses of urban households have tripled in the last seven years from 12 million rials ($48) in the Iranian year ending March 2013 to 37 million rials ($148) in the year ending March 2019, the Ministry of Cooperatives, Labor and Social Welfare reported.
However, in the year ending March 2020, transportation expenses reduced by 0.8% compared with the previous year to reach 36.7 million rials ($146.8).
The average transportation expenses for rural households increased from 8 million rials ($32) in the year ending March 2013 to 25 million rials ($100) in the year ending March 2020, suggesting a threefold rise over the period.
The share of transportation expenses from the overall households’ expenses in urban areas was on the rise from the year ending March 2014 to March 2018 and declined from the year ending March 2018 to March 2020. The sharpest decline was 1.7% year-on-year registered in the year ending March 2020.
The share of transportation costs from the rural households’ expenses has been on an upward trend over the years under review. However, fluctuations have been common, such that it reduced by 0.6% in the year ending March 2020 compared with the preceding year.
In urban areas, the share of transportation expenses from the overall households’ expenses have been on the rise from the first income decile (those with the lowest income) to the 10th income decile (those with the highest income).
The biggest share of transportation expenses was registered for seventh and ninth deciles with 8.9% and the lowest shares were registered for first decile with 5.5% and 10th decile with 6.2% in the year ending March 2020. The sharpest year-on-year decline in the share of transportation expenses in the year ending March 2020 was posted by 10th decile with 3.7%.
The same trend (the rise in transportation share in accordance with income decile) is true for rural areas. In the year ending March 2020, the biggest transportation share from the overall expenses of a rural household was registered for 10th decile with 11.1% and ninth decile with 10.1% and the lowest share was posted by first decile with 4%. The share decreased for all income deciles, except for fourth and 10th deciles in the year ending March 2020 compared with the previous year.
Urban Households
The share of transportation expenses from overall expenses decreased by 0.2% in the year ending March 2020 compared with the year ending March 2019 to reach 1.6%.
Transportation expenses refer to the costs of transportation by rail, road, air and sea.
The share of personal transportation equipment expenses increased by 0.1% in the year ending March 2020 compared with the year before, which can be blamed on the rise in the prices of gasoline, spare parts, tires and maintenance and repair services costs.
In the year ending March 2020, expenses associated with buying vehicle decreased by 50.4%, but transportation expenses increased by 5.7% and personal transportation equipment expenses increased by 24.6% compared with the year before.
The share of buying vehicle expenses from the overall expenses of urban households decreased for all income deciles, except for the first decile in the year ending March 2020 compared with the year before.
The share of personal transportation equipment expenses increased for all income deciles, except for first and 10th deciles in the year ending March 2020 compared with the year before. The share of personal transportation equipment expenses was the highest for fifth decile with 4.6% and sixth and seventh deciles with 4.3%, whereas the share was lowest for first decile with 2.5% and 10th decile with 3.2%.
In the year ending March 2020, the share of transportation expenses from households’ overall expenses decreased for all deciles, except for sixth and eighth deciles compared with the year before.
The share of transportation expenses for urban households was the highest in the provinces of Yazd with 12.9%, Lorestan with 11.1% and Zanjan with 11.1% while it was the lowest for Gilan with 5.3%, Ardabil with 6% and Kermanshah with 6.4%.
The share of transportation expenses decreased in the year ending 2020 in all provinces, except for seven provinces compared with the year ending March 2019. The sharpest declines were registered for East Azarbaijan, Gilan, Qazvin and Fars provinces.
Rural Households
The share of transportation expenses from overall expenses decreased by 0.2% from 2.4% in the year ending March 2019 to 2.2% in the year ending March 2020.
The share of personal transportation equipment expenses increased by 0.4% in the year ending March 2020 compared with the year before to reach 4.7%.
Expenses associated with buying vehicles decreased by 21.8% while expenses associated with transportation expenses and personal transportation equipment expenses increased by 8.4% and 34.2% in the year ending March 2020 compared with the year before.
The 10th income decile with 3.1% and ninth and eighth income deciles with 1.6% had the highest share of buying vehicle expenses from the overall expenses of rural households while the second income decile with 0.3% had the smallest share of buying vehicle from overall household expenses in the year ending March 2020.
The aforementioned share for the first decile has been negative in the years ending March 2019 and March 2020, suggesting that they earned income from selling their vehicles.
The share of buying vehicle expenses declined for rural households in the year ending March 2020, such that the rise in vehicle prices over recent years has led to a decline in buying vehicle expenses for all rural income deciles, except for 10th decile.
The highest share of personal transportation equipment expenses in the year under review was registered for the 10th decile with 5.2%, ninth decile with 5.4% and seventh decile with 5.1% whereas the lowest share was posted by the first decile with 1% and second decile with 3%.
The share of personal transportation equipment expenses from overall expenses increased for all deciles, except for the first decile compared with the year before.
The share of transportation expenses from overall expenses was the highest for first and second deciles with 3.1% and third decile with 2.6% whereas the share of these expenses was the lowest for 10th decile with 1.6%, ninth decile with 1.9% and eighth decile with 2%.
The share of transportation expenses from the overall expenses of rural household declined for all rural households in the year ending March 2020.
The share of transportation expenses for rural households was the highest in provinces of Kerman with 13.1%, Zanjan with 13% and Bushehr with 12.8% and lowest for Tehran with 6.6%, Ilam with 6.5% and Sistan-Baluchestan with 6.2%.
The share of transportation expenses decreased in the year ending 2020 in all provinces, except for 10 provinces compared with the year ending March 2019. The sharpest of declines were registered by Tehran, Kermanshah, Hamedan and Bushehr.
