Iran: Port Services Offered at Cheaper Exchange Rates

EghtesadOnline: All Iranian exporters and importers can now employ cheaper foreign currency rates used in the government's system for registering trade when using maritime and port services.

News ID: ۷۴۶۱۲۷

21 October 2018

"By reviewing the rates of port services, which had begun in the organization about three weeks ago to manage the impacts of currency fluctuations on maritime and port services, a new tariff was finally agreed upon last week," Mohammad Ali Hassanzadeh, the deputy head of Ports and Maritime Organization, was quoted as saying by the official website of the organization on Wednesday.

According to the new agreement, all traders wishing to use maritime and port services will be able to do so at the maximum exchange rate of 80,000 rials to the US dollar, which is the same rate used in the Nima system of the government.

Nima, launched in late April, is an online foreign exchange system to address the country's currency needs and boost transparency. It requires all traders to register their trade and provides currencies to importers, banks and exchange shops, Financial Tribune reported.

The online system was created to organize foreign currency yields and expenses at a time when the country is battling a currency crisis spurred by psychological effects related to the US unilateral withdrawal from Iran's nuclear deal with world powers and the reimposition of sanctions against Iran in addition to local structural deficiencies in the economy.

According to Hassanzadeh, any trader who has so far paid tariffs based on rates higher than 80,000 rials to the US dollar will receive the difference.

He noted that the same rate will be used for Iranian ships, adding that as the organization had not implemented new tariffs for container shipment terminals, owners of shipments and ships faced problems due to rial's slide in recent months.

In case of foreign ships, the official said they must pay up in US dollars or if unable to do so send the rial equivalent to certified exchange shops.

"Even if the rate of the US dollar increases in Nima, we will maintain the 80,000-rial rate to boost the economy," he said.

Hassanzadeh said that under the current circumstances, the organization cannot not focus on turning profits and will solely focus on maintaining maritime and port services.