Iran Mobile Phone Market Worth $438m

EghtesadOnline: In the last fiscal that ended in March 2018, Iran’s mobile phone market was worth 17.72 trillion rials. At that time the greenback on average fetched 40,450 rials, which means the local cellphone market almost a year ago was worth $438 million.

News ID: ۷۴۶۴۸۰

14 January 2019

According to data released by the Tehran Chamber of Commerce, in the past fiscal mobile phones worth $529 million were imported.

The main source of imports was the United Arab Emirates with 73% share followed by China with 17% and South Korea 9%.

Data provided by the Islamic Republic of Iran Customs Administration shows in fiscal 2017-18 more than 3.22 million mobile phones worth $518.2 million were imported. The average price of a handset was put at $160, Financial Tribune reported.

Data provided by Statistical Center of Iran shows on average households annually spend 732,000 rials ($18) for purchasing handsets. There are 24.1 million households in the country. Purchasing mobile phones has a 0.3% share in the annual household expenditure.

Every Iranian on average spends 222,000 rials ($5.5) on buying a new handset every year. As per available information the population is 81 million.

Data provided by the Islamic Republic of Iran Customs Administration shows that in fiscal 2017-18, close to 3.22 million mobile phones worth $518 million were imported. Average price of the handsets then was $160

Urban vs. Rural

Those living in urban areas spend more money on mobile phones compared to the rural folks. City dwellers spent 15.27 trillion rials ($377.5 million) on mobile phones in the last fiscal.

In annual terms each household in urban areas annually spends 843,000 rials ($20.8) for purchasing a handset. In other words, buying handsets has a 0.31% share in annual household spending in the big cities. There are 18.1 million urban households in Iran.

Each individual living in cities on average spends 258,000 rials ($6.3) for buying a new cellphone. An estimated 60 million people live in urban areas.

In rural areas, mobile phones worth 2.45 trillion rials ($60.56 million) were sold during the past fiscal that ended in March 2018.

Each household’s average annual spending on mobile phones declines to 404,000 rials ($9.9) in rural areas. In other words, buying handsets has a 0.26% share in annual rural household spending.

In these areas, on average each individual spends 118,000 rials ($2.9) for buying a handset every year.

Data provided by the Central Bank of Iran indicates that by March 2018, there was at least one cellphone in 96.6% of households. A decade earlier the mobile phone penetration rate was 80.9%.

Households in urban areas spent an average of 330 million rials ($8,146) in the last fiscal (March 2017-18), the Statistical Center of Iran says. The average yrarly expenditure of rural households was 178 million rials ($4,419).

(The USD in this report is converted at its average worth in fiscal 2017-18, which was 40,450 rials)