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Iranian Export Markets Lost to Regional Rivals

Iranian Export Markets Lost to Regional Rivals
Iranian Export Markets Lost to Regional Rivals

What is the reason behind the decline in Iran’s exports to Iraq, Afghanistan and other neighboring countries? Why did Pakistan decide to part ways with Iran in energy trade? What is Iran’s reaction to efforts made by Turkey and China to grab Iran’s export markets? All these questions are being asked in economic and general forums these days. Although it is being advertised that the government of Ebrahim Raisi has focused on economic diplomacy with neighboring countries, facts contradict this. Achievements, if any, should be manifested in numbers. Hamid Hosseini, an economic analyst, prefaced his article for the Persian daily Ta’adol with this note. A translation of the text follows: 
The export of certain commodities to Turkey, India and China shows insignificant improvements, but Iran has lost its position in exports to Iraq and Afghanistan. 
Eight-month [March 21-Nov. 21] trade statistics show Iran has registered a trade deficit of $5 billion; exports don’t exceed $4 billion a month. If the trend were to continue, Iran will register a 4.4% increase in exports in terms of value and a sharp decline in terms of weight. Increase in the value of exports is because of the rise in the prices of liquefied gas, petroleum products, petrochemicals and steel in the first half of the current fiscal year [started March 21] following the outbreak of war between Russia and Ukraine. Chances are that prices will decrease in H2 and Iran’s exports will follow suit. 

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