Iranian Rice Market: Navigating Supply Dynamics and Price Stabilization Efforts
Tehran – A comprehensive review of Iran’s rice market highlights the intricate dynamics of supply, pricing, and strategic policy measures aimed at ensuring market stability. According to industry expert Amir Aghajanian, a member of the Association of Rice Producers and Suppliers, recent market fluctuations are being actively addressed within the framework of national economic planning.
Import Policy and Market Adjustment
Aghajanian provided analysis on the market’s current state, noting that a 45-day post-harvest import restriction was implemented by authorities. This measure, while part of broader regulatory efforts, temporarily impacted the supply of foreign rice, contributing to subsequent price adjustments. The official price for Indian rice was set at 60,000 tomans per kilo, and Pakistani rice at 80,000 tomans. However, Aghajanian reported that Indian rice is currently either unavailable in shops or being sold above the official rate, while Pakistani rice is being distributed at prices ranging from 140,000 to 160,000 tomans per kilo.
Domestic Supply and Strategic Reserves
Shifting focus to the domestic Iranian rice market, Aghajanian conveyed a positive outlook on supply. He stated that approximately 80% of the current harvest is still held by farmers, who are currently hesitant to sell despite what he described as reasonable purchase prices. He further highlighted a significant development: after periods of scarcity in factories during the months of Ordibehesht and Khordad (April-June), which had previously led to price increases, factories are now reported to be fully stocked with rice, indicating a strong recovery in the supply chain.
Data Coordination for Future Planning
A key point of analysis presented by Aghajanian revolved around production statistics. He pointed to a discrepancy in last year’s harvest figures—2.7 million tons announced by the Ministry of Jihad versus 1.8 million tons from the Statistical Center—as a primary factor behind market volatility. This variance, he explained, impacted the planning of relevant ministries. To prevent future market turbulence, Aghajanian suggested that if market regulation is the goal, the importation of high-quality rice could be a strategic tool to ensure stability in the coming months.
Strengthening Market Oversight
Addressing recent comments by the Head of the General Inspection Office regarding violations in the rice sector, Aghajanian acknowledged that infractions can occur in any trade sector. He clarified that the majority of these violations are perpetrated by unlicensed intermediaries. He proposed a forward-looking solution: steering rice production towards brand development and establishing a regulated distribution chain managed exclusively by licensed entities. This systemic approach, he concluded, would significantly curb market violations and enhance overall sector governance.