Iran traded around 150 million tons of goods worth $102 billion (excluding crude oil exports) during the first 11 months of the current fiscal year (March 21, 2022-Feb. 19), according to the Islamic Republic of Iran Customs Administration.
Trade volume and value showed a surplus of 77.7 million tons and $4.9 billion respectively.
Iran’s exports, excluding crude oil, reached 111.3 million tons worth $48.8 billion during the period, registering a 1.16% fall in terms of weight, but a 12.22% rise in value year-on-year, according to Mohammad Rezvani-Far, the head of IRICA.
The average value of each ton of exported products stood at $439 during the period, registering a 13.54% rise compared with $386 in the previous year’s corresponding period.
A total of $21.7 billion of petrochemicals were exported during the period, which accounted for 40.25% of the total exports’ weight and 44.49% of total exports’ value, IRNA reported.
The main exported product were liquefied propane with $6.8 billion, which accounted for 13% and 97% of the total exports’ weight and value, respectively.
China with $13.6 billion was Iran’s main export destination during the period, followed by Iraq with $9.4 billion, Turkey with $6.9 billion, the UAE with $5.3 billion and India with $1.9 billion.
Rezvani-Far noted that these five countries accounted for 73.45% and 75.79% of the total exports’ weight and value, respectively.
Imports stood at 33.6 million worth $53.7 billion during the 11 months under review, registering an 8.61% decline in terms of weight, but a 15.28% rise in value compared with the corresponding period of last year.
The average value of each ton of imported products during the period hit $1,597, registering a 26.14% increase compared with $1,266 in the same period of last year.
A total of 22.6 million tons of essential goods worth $17.8 billion were imported during the period to register a 16.42% decrease in terms of weight, but a 6.33% increase in terms of value YOY.
The essential goods accounted for 67.13% and 33.8% of the total imports’ weight and value, respectively.
Also known as necessity or basic goods, essential goods refer to products consumers will buy, regardless of changes in income levels.
Corn, rice, soybeans, wheat, sunflower oil, barley and soymeal were the main imports during the period, together accounting for 56.51% and 20.67% of the total import’s weight and value respectively.
Import of cellphones stood at $2.6 billion to account for 4.85% of the total imports value.
The UAE with $16.5 billion was the main exporter to Iran during the period. China with $14.2 billion, Turkey with $5.6 billion, India with $2.6 billion and Germany with $1.8 billion came next. These five countries accounted for 65.18% and 75.77% of the total import’s weight and value, respectively.
The IRICA chief concluded that 12 million tons of foreign goods were transited from Iran during the period to register a 5.22% YOY rise.
March 2021-22 Year in Review
Iran’s foreign trade, excluding crude oil exports, stood at 162 million tons worth $100 billion in the last Iranian year (March 2021-22), registering a 38% rise in value compared with the year before, according to Alireza Moqaddesi, the former head of the Islamic Republic of Iran Customs Administration.
“Exports stood at 122 million tons worth $48 billion, registering a 41% increase in value compared with the previous year. Iran’s top five export destinations were China, Iraq, Turkey, the UAE and Afghanistan,” he added.
Moqaddesi noted that imports hit 40 million tons worth $52 billion during the same period, registering a 21% and 36% growth in weight and value respectively.
The UAE, China, Turkey, Germany and Russia were the main exporters.
“The imports mainly included essential goods, raw materials and production line machinery,” he added.
Iran’s import of essential goods in the fiscal 2021-22 included corn, unrefined vegetable oil, pharmaceuticals and medical equipment, wheat, oilseeds, soymeal, barley, rice, sugar, heavy vehicle tires, fertilizer, pesticide and insecticide, veterinarian medicine, red meat, chicken, eggs, pulses and tea.
Restricted Trade Portfolio
According to Majid Reza Hariri, chairman of the Iran-China Chamber of Commerce, the lion’s share of Iran’s foreign trade is with five countries, namely China, the UAE, Iraq, Turkey and Afghanistan.
“A limited number of trading partners is not a good idea for a country whose export destinations are limited. Each of these countries could become a risk if and when they get a bigger share of Iran’s trade and dominate,” he told the Persian daily Ta’adol.
“We are likely to get into trouble for whatever reason, including political issues, with these countries, each which account for more than 15% of our trade. All said, market diversity is a must for import and export. Now that Iran is under sanctions and cannot forge ties with Europe and the US, we need to concentrate on other markets, namely Southeast Asia, South Asia, Central Asia, Africa and Latin America.”
