Iran's Non-Oil Trade Surplus With SCO Crosses $83m

EghtesadOnline: Iran traded 4.8 million tons of non-oil commodities worth $1.81 billion with the member states of Shanghai Cooperation Organization during the first Iranian month (March 21-April 20) to register a 43.84% growth in tonnage and 8.76% decline in value compared with last year’s corresponding month.

News ID: ۷۴۷۶۲۷

22 June 2019

Latest data released by the Islamic Republic of Iran Customs Administration show Iran’s exports totaled 4.08 million tons worth $949.26 million during the month to April 20, indicating a 39.62% rise in tonnage and a 10.72% decrease in value year-on-year.

Imports stood at 720,821 tons worth $865.51 million, up 73.47% in tonnage and down 6.52% in value YOY.

As a result, Iran recorded a non-oil trade surplus of $83.74 million with SCO states, according to Financial Tribune.

Shanghai Cooperation Organization is a Eurasian political, economic and security alliance, the creation of which was announced on 15 June 2001 in Shanghai, China, by the leaders of China, Kazakhstan, Kyrgyzstan, Russia, Tajikistan and Uzbekistan.

The charter to formally establish the organization was signed in June 2002 and entered into force on 19 September 2003. The organization has expanded its membership to eight countries when India and Pakistan joined SCO as full members on 9 June 2017 at a summit in Astana, Kazakhstan.

The Heads of State Council—the highest decision-making body in SCO—convenes once a year and adopts decisions and guidelines on all important matters of the organization.

Main Commodities, Trading Partners

Iran mainly exported liquefied propane, methanol, polyethylene film grade, ethylene glycol, polyethylene, iron concentrate and hydrocarbon gases to SCO states.

In exchange, major commodities imported into Iran from SCO nations included semi- and wholly-milled rice, auto parts, graphite electrodes, sugar, oilcake and field corn.

In terms of total trade value, China topped the list among SCO member states with Iran trade standing at 3.11 million tons worth $1.14 billion, up by 61.88% in tonnage and down 15.27% in value YOY.

Exports to China amounted to 2.93 million tons worth $711.19 million to register a 69.91% increase in tonnage and a 2.27% decrease in value YOY.

China was Iran’s top export destination among the countries under review, and in the world during the period.

In return, China exported 177,510 tons of commodities worth $434.01 million to Iran, down by 9.12% and 30.44% in tonnage and value respectively YOY.

China was also the top exporter of goods to Iran among SCO members, and in the world.

Major Iranian commodities exported to China were liquefied propane, methanol and film grade polyethylene.

In exchange, China mainly exported auto parts, graphite electrodes, chemicals, pipes, coal and coke to Iran.

India was Iran’s second biggest trading partner among SCO nations during the month, as two-way commercial exchanges stood at 1.09 million tons worth $440 million to register a 13.34% and 36.34% increase in tonnage and value respectively YOY.

Iran exported 747,511 tons of goods worth $116.72 million to India, down 15.93% and 46.78% in tonnage and value respectively YOY.

India was Iran’s second export destination among SCO members and seventh in the world during the period.

Iran’s exports to India mainly included methanol, ethylene glycol and bitumen.

Iran imported 350,348 tons of commodities worth $323.27 million from India, up by 340.98% and 212.65% in tonnage and value respectively YOY, which mainly constituted semi- and wholly-milled rice, sugar, oilcake, aluminum oxide, tea and graphite electrodes.

India was the second exporter of goods to Iran among the nations under review and fourth exporter to Iran in the world.

Pakistan was Iran’s third major trading partner among the states under review.

Mutual trade between Iran and Pakistan amounted to 229,735 tons worth $105.36 million, indicating a 10.53% and 22.27% increase in tonnage and value respectively YOY.

Iran’s exports reached 207,579 tons worth $75.87 million, up 9.42% and 13.3% in tonnage and value respectively YOY, while Pakistan’s exports to Iran were at 22,156 tons worth $29.48 million, up by 22.05% and 53.53% in tonnage and value respectively YOY.

Pakistan was Iran’s third export destination and the fourth exporter of goods to Iran among SCO states. The country was Iran’s eighth export destination and 13th exporter to Iran in the world.

Bitumen, hydrocarbon gas, low-density oils, liquefied propane and fruit juice were Iran’s main exports to Pakistan, while the latter exported semi- and wholly-milled rice, cow, sesame seeds, beef and cans to Iran.

Russia was third exporter to Iran, after China and India, among SCO countries and 10th in the world, as Iran imported 148,386 tons worth $62.12 million from Russia during the one-month period, up by 86.15% in tonnage and down by 62.44% in value YOY.

Iran mainly imported field corn, sunflower oil, barley and radio navigation devices from Russia.

Highest Growths, Declines in Trade

Trade with Uzbekistan ($22.27 million), India ($440 million) and Kyrgyzstan ($3.66 million) saw a growth of 194.94%, 36.34% and 34.15% respectively YOY, while trade with Tajikistan ($1.79 million), Kazakhstan ($8.62 million) and Russia ($87.84 million) witnessed the lowest declines of 63.05%, 56.67% and 54.61% respectively.

Iran’s exports to Uzbekistan ($11.39 million), Pakistan ($75.87 million) and Kyrgyzstan ($1.85 million) saw a growth of 165.25%, 13.3% and 8.54% respectively YOY, while exports to Tajikistan ($837,446), Kazakhstan ($5.66 million) and India ($116.72 million) witnessed the lowest declines of 79.61%, 48.57% and 46.78% respectively.

Imports from Uzbekistan ($10.88 million), India ($323.27 million) and Kyrgyzstan ($1.81 million) witnessed the highest rises of 234.09%, 212.65% and 76.78% YOY respectively, while imports from Kazakhstan ($2.96 million), Russia ($62.12 million) and China ($434.01 million) witnessed the highest declines of 66.68%, 62.44% and 30.44% respectively YOY.