• Domestic Economy

    Onion Exports Cross 240K Tons Worth $34 Million

    A total of 246,000 tons of onions worth $34 million were exported from Iran during the first seven months of the current Iranian year (March 21-Oct. 22), according to the head of the Agriculture Ministry’s Export Department.

    Exports stood at 162,000 tons worth $27.2 million in the same period of last Iranian year (March 2021-22).

    “The export volume stood at 101,000 tons worth $14 million in the seventh month of the year [Sept. 23-Oct. 22]. Part of this export was due to the increase in Pakistan's demand,” Moharram Soltani was also quoted as saying by IRNA.

    Noting that exports in the seventh month of last year stood at 71,000 tons, he said, “Recent floods in Pakistan have increased the export of vegetable, including onions, to this country.”

    More than 3 million tons of onions are expected to be produced on 61,707 hectares in the current fiscal year (ending March 2023) across the country, according to another Agriculture Ministry official.

    “During the first half of the year [March 21-Sept. 22], more than 1.4 million tons of onions were produced in Iran, and we expect 1.6 million tons more to be produced by the yearend [in March 2023],” Hossein Asghari was also quoted as saying by IRNA.

    The official noted that onions are cultivated in 30 out of 31 Iranian provinces.

    “Kerman with 600,000 tons, Fars with 500,000 tons, Hormozgan with 350,000 tons, Isfahan with 350,000 tons and Kermanshah with 200,000 tons are the top five producers of onions in Iran,” he added.

    Asghari said last year’s production stood at more than 3.4 million tons, adding that the reason for the decline in yields is drought and water scarcity.

    “We exported close to 157,000 tons to Pakistan and Iraq during the first six months of the current year. Last year’s overall exports stood at 410,000 tons worth $85.3 million,” he added. 

    Recently, the Agriculture Ministry imposed export tariffs on three agricultural products to boost domestic supplies in the local market and bring down their rising prices.

    The crops entitled to the new measure include potatoes, tomatoes and onions, on which 70%, 100% and 120% of export duty were levied respectively.

    As IRIB News reported, the new tariffs were implemented on Oct. 13 and will remain in effect until Nov. 21.

    Meanwhile, certain provinces (major producers) have been exempt from the massive export duties.

    According to Soltani, the duty is at 50% for main onion producing provinces, including Kerman and Fars.

    Likewise, export duties for tomatoes grown in Bushehr have been exempted from the new measure such that 30% of the province’s monthly farm-grown tomatoes (excluding greenhouse grown crops) are entitled to a fixed export duty of 60,000 rials per kilogram.

    The Statistical Center of Iran’s latest data on Consumer Price Index shows food inflation stood at an annualized rate of 61.8% in the eighth month of the current Iranian year (Oct. 23-Nov. 21).

    With a major coefficient of 26.64%, “food and beverages”, one of the 12 groups of goods and services surveyed by SCI, registered 1.3% and 68.4% in month-on-month and year-on-year inflation respectively.