A total of 5.26 million tons of essential goods were unloaded at Iranian ports during the first three months of the current Iranian year (March 21-June 21), latest data released by the Ports and Maritime Organization of Iran show.
Also known as necessity or basic goods, essential goods are products consumers will buy, regardless of changes in income levels.
Corn had the biggest share of the unloaded goods during the period with 2.43 million tons, registering a 22% rise compared with 1.99 million tons in the corresponding period of last year.
Wheat came next with 1.4 million tons, followed by soybean with 703,751 tons and barley with 405,455 tons, the news portal of the Ministry of Roads and Urban Development reported.
Other essential goods unloaded during the period included edible vegetable oil with 189,208 tons, sugar with 66,361 tons and rice with 16,142 tons.
The report added that a total of 198,052 trucks and 6,627 wagons transported essential goods from ports of entry to their destinations across the country during the period.
Imam Khomeini Port in the southern Khuzestan Province is the main port of entry for essential goods like wheat, corn and rice.
The lion’s share of the country’s demand for livestock feed raw material and grains are imported through this port.
Imam Khomeini is Iran’s second busiest port after Shahid Rajaee in Hormozgan Province. It boasts 40 wharfs, 140 kilometers of railroads within its premises and the latest loading and unloading facilities.
Removal of Subsidies on Essential Goods Imports
The government abolished the controversial practice of allocating cheap dollars at the parity rate of 42,000 rials, locally known as the Preferential Foreign Currency, to import essential goods, including corn, soymeal, unprocessed oil, oilseeds and barley, in addition to wheat, flour and medicine in May 2022.
The market value of the dollar is around 500,000 rials now.
“Until now, we have been paying to producers [read importers] but now the subsidies go to consumers. In fact, the Preferential Foreign Currency has not been ceased, rather the allocation method has changed,” President Ebrahim Raisi said in a televised speech on the eve of the introduction of the move in May.
In his speech, Raisi emphasized that the removal of cheap dollar allocation will not lead to a price rise in wheat, flour and medicine. However, the move has led to a dramatic rise in the prices of essential goods. In fact, the prices of all commodities and services have also risen suddenly in a ripple effect.
Ever since the removal of import subsidies, inflation has touched new highs.
According to the Statistical Center of Iran, it stood at 49.1%, a record high, in the second month of the current Iranian year (April 21-May 21). Food inflation was reportedly even higher in the same month: 75.7%.
SCI’s latest data show inflation registered the first decline in 12 months in the third month of the current year (May 22-June 21).
The average annualized inflation in the third month of the current Iranian year stood at 48.5%, down from 49.1% reported in the previous month, SCI said. Food inflation reached 71.3% in the same month.
Q1 Total Port Throughput
A total of 53.22 million tons of commodities were loaded and unloaded at Iran’s commercial ports during the first quarter of the current Iranian year (March 21-June 21), registering a 7% rise compared with the similar period of last year, new data released by the Ports and Maritime Organization of Iran show.
The total unloading volume stood at 17.96 million tons, including 6.56 million tons of oil and 11.4 million tons of non-oil goods, the news portal of the Ministry of Roads and Urban Development reported.
The total loading volume stood at 35.26 million tons, registering a 3% year-on-year rise, including 17.88 million tons of oil products and 17.37 million tons of non-oil goods.
The report noted that the loading volume of non-oil goods saw a 21% rise.
Container throughput stood at 646,211 TEUs during the period, indicating a 5% increase when compared with 615,517 TEUs in the corresponding period of last year.
The 22 ports under study include Iran’s southern ports of Abadan, Imam Khomeini, Bushehr, Khorramshahr, Genaveh, Bandar Lengeh, Chavibdeh, Arvandkenar, Charak and Dayyer located on the shores of the Persian Gulf, Shahid Rajaee, Shahid Bahonar, Shahid Haqqani, Qeshm and Tiab at the mouth of the Strait of Hormuz, Jask and Chabahar on the coasts of the Sea of Oman and the northern ports of Fereydounkenar, Noshahr, Astara, Amirabad and Anzali on the Caspian Sea shoreline.
Shahid Rajaee, located in the southern Hormozgan Province, is Iran’s biggest commercial port. The namesake special economic zone accounts for the highest share of all goods exported from and imported to Iran.
The economic zone, which has a loading/unloading capacity of 100 million tons per year, accounts for over half of Iran's trade and about two-thirds of total freight transit through the country.
The bulk of Iran's containers are handled at Shahid Rajaee Port Complex.
With 18 gantry cranes and 40 berths, it is the most advanced container port of Iran.
Launched in 1985, the port has expanded every year and is presently connected to 80 ports worldwide.
The significance of this port lies in its large capacity, including its location in the Persian Gulf, container terminal, fuel bunkering, access to 24 kilometers of railroads and round-the-clock truck transportation.
