Agriculture exports reached $6 billion in the fiscal 2020-21, of which $3.2 billion constituted horticultural exports.
The announcement was made by Deputy Agriculture Minister Mohammad Mehdi Boroumandi on the sidelines of the Fourth International Exhibition of Horticulture, Greenhouses, Inputs, Machinery and Agricultural Tools, also known as iFarm.
The official noted that banana imports stood at $400 million in the period under review, IRNA reported.
The exhibition opened in Tehran on Nov. 2 and concluded on Nov. 5.
Latest Agriculture Ministry data show Iran exported 3.94 million tons of agricultural and food products worth $2.33 billion in the first six months of the current fiscal year (March 21-Sept. 22).
The figures indicate a 5.63% rise in tonnage but a 10.37% decline in value compared with last year’s corresponding period, the Agriculture Ministry’s website reported.
Pistachio topped the list of exports in terms of value by earning $426.15 million during the period.
Tomato was the second major agricultural export product in terms of value with $178.23 million, followed by watermelon with $168.47 million, dates with $85.57 million and apple with $84.5 million.
In terms of tonnage, watermelon topped the list with 723,760 tons, followed by tomato with 375,220 tons, potato with 339,610 tons and apple with 279,410 tons.
Imports in the six-month period stood at 14.99 million tons worth $8.52 billion, indicating a 24.29% and 69.77% growth in volume and value respectively year-on-year.
Feed corn had the biggest share in total imports in terms of value with $1.48 billion, followed by GM soybeans with $984.5 million, soymeal with $754.46 million, wheat with $748.47 million and rice with $617 million.
In terms of tonnage, feed corn topped imports with 4.4 million tons, followed by wheat with 2.25 million tons, barley with 2.03 million tons, GM soybeans with 1.49 million tons and soymeal with 1.37 million tons.
The export and import volumes suggest that Iran recorded an agrifood trade deficit of 11.05 million tons in tonnage and $6.19 billion in value during the first six months of the Iranian year.
According to Hamed Najafi-Alamdarlou, a faculty member of Tarbiat Modares University, Iran’s dependency on imports of agricultural essential goods in recent decades has led to the allocation of huge sums of foreign currency reserves to these imports.
“On the other hand, lack of optimal use of resources and price control of domestic products have increased the appeal for imports and reduced local farmers’ contribution to meeting local food needs,” he wrote for the Persian economic daily Donya-e-Eqtesad.
“As a result, trade deficit of agricultural products, which hovered around 9.4 million tons in the last decade increased to 14.2 million tons in the current decade. Last year [March 2019-20], imports of agricultural products hit the unprecedented mark of 24.5 million tons, registering a rise of 19.1% compared with the year before and a growth of 40% compared with the year ending March 2017.”
Najafi-Alamdarlou believes a change of policies regarding domestic production is vital, given the increase in the cost of imports.
“Dependency on imports of animal feed has turned into the livestock industry’s Achilles’ heel and it’s advisable to reduce the risks of the impacts of price fluctuations on local markets by promoting sustainable domestic production, improving productivity and reducing agricultural waste,” he added.
Iran’s agriculture sector is facing a threat of water shortage.
In a recent report, Iran Chamber of Commerce, Industries, Mines and Agriculture has warned agricultural officials of an imminent drought that would cripple the country’s agricultural activities and hamper economic growth in this sector in the current Iranian year (March 2021-22).
The ICCIMA report says precipitation levels have fallen drastically, Mehr News Agency reported.
The Majlis Research Center has released a list of Iranian provinces in critical state of water shortage: Isfahan, Hormozgan, Sistan-Baluchestan, Ardabil, Fars, Markazi and Khorasan Razavi.
Drought has inflicted losses worth 670 trillion rials ($2.4 billion) on Iran’s agriculture sector since the beginning of the current crop year, according to Mohammad Mousavi, an official with the Agriculture Ministry.
