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Domestic Economy

Agrifood Exports Dip by 12% as Imports Increase by 74 Percent

Iran exported 4.62 million tons of agricultural and food products worth $2.79 billion during the seven months to Oct. 22 to register a 2.18% rise in tonnage but a 12.58% decline in value year-on-year.

Agrifood exports from Iran are on the decline, as imports have risen significantly, the latest data released by the Agriculture Ministry show.

Iran exported 4.62 million tons of agricultural and food products worth $2.79 billion during the current fiscal year’s first seven months (March 21-Oct. 22).

The figures indicate a 2.18% rise in tonnage but a 12.58% decline in value compared with last year’s corresponding period.

Pistachio topped the list of exports in terms of value by earning $533.93 million during the period.

Tomato was the second major agricultural export product in terms of value with $205.9 million, followed by watermelon with $175.48 million, dates with $117.05 million and apple with $104.59 million.

In terms of tonnage, watermelon topped the list with 751,740 tons, followed by tomato with 435,490 tons, potato with 410,510 tons and apple with 353,520 tons and onion, shallot and garlic with 190,180 tons.

Agronomical products accounted for 3.11 million tons worth $1.07 billion of total exports, up 4.49% in terms of tonnage and down 12% in terms of value year-on-year. 

Horticultural exports amounted to 1.11 million tons worth $1.29 billion, up 7.51% in terms of tonnage and down 5.98% in value YOY respectively.

Exports of livestock and poultry products reached 340,410 tons worth $307,410 million, down 24.41% in tonnage and 33.11% in value YOY.

The veterinary sector exported 609 tons of products worth $5.67 million, up 43% and 30.85% in weight and value YOY respectively.

The fisheries sector exported 57,830 tons worth $102.42 million, posting a rise of 0.29% in total volume and a fall of 14.46% in value respectively YOY.

Exports from the forest and rangeland sector hit 8,710 tons worth $12.71 million, down 23.46% and 29.6% in tonnage and value respectively YOY.

Iran exported 8.83 million tons of agricultural and food products worth 

$6.21 billion during the last fiscal year (ended March 2021).

Meanwhile, imports accounted for 18.29 million tons worth $10.22 billion during the period, indicating a 32.02% and 74.42% growth in volume and value respectively year-on-year.

Feed corn had the biggest share of imports in terms of value with $1.81 billion, followed by wheat with $1.14 billion, GM soybeans with $1.07 billion, sunflower oil with $999.35 million and soymeal with $884.89 million.

In terms of tonnage, feed corn topped imports with 5.32 million tons, followed by wheat with 3.42 million tons, barley with 2.32 million tons, GM soybeans with 1.63 million tons and soymeal with 1.6 million tons.

Agronomical products accounted for 17.37 million tons worth $8.67 billion of total imports, up 31.66% and 82.52% in tonnage and value respectively YOY.

Horticultural products stood at 812,820 tons worth $1.02 billion, up 47.53% and 60.12% in tonnage and value respectively YOY.

Imports of livestock and poultry products hit 73,620 tons worth $246.59 million, up 13.15% in tonnage but down 15.5% in value respectively YOY.

The veterinary sector imported 3,556 tons worth $230.28 million, up 189.78% and 97.73% in tonnage and value respectively YOY.

Imports by the fisheries sector amounted to 7,060 tons worth $18.57 million, down 52.83% and 43.03% in tonnage and value YOY.

The forest and rangeland sector’s imports totaled 19,160 tons worth $32.81 million, down 25.9% in tonnage but up 7.83% in value YOY.

The export and import volumes indicate that Iran recorded an agrifood trade deficit of 13.67 million tons in tonnage and $7.43 billion in value during the first seven 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. 

“On the other hand, the 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 Donya-e-Eqtesad.

Najafi believes a change of policies regarding domestic production seems vital, given the rising 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 risk of the impacts of price fluctuations on local markets by promoting sustainable domestic production, improving productivity and reducing agricultural waste,” he said.