Iran's Non-Oil Trade With SCO Surpasses $27 Billion

EghtesadOnline: Iran traded 53.16 million tons of non-oil commodities worth $27.92 billion with member states of Shanghai Cooperation Organization, namely China, India, Pakistan, Russia, Uzbekistan, Kazakhstan, Kyrgyzstan and Tajikistan, in the last fiscal year that ended on March 20 to register a 6.35% and 7.67% decline in tonnage and value respectively compared with the year before.

News ID: ۷۴۷۷۸۴

07 July 2019

Latest data released by the Islamic Republic of Iran Customs Administration show Iran’s exports totaled 44.89 million tons worth $13.17 billion during the year to March 20, 2019, indicating a 6.8% and 2.31% decrease in tonnage and value respectively year-on-year.

Imports stood at 8.27 million tons worth $14.75 billion, down 3.86% and 11.98% in tonnage and value respectively YOY.

As a result, Iran recorded $1.58 billion in non-oil trade deficit with SCO states, Financial Tribune reported.

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

Since then, the organization has expanded its membership to eight countries, after India and Pakistan joined SCO as full members on 9 June 2017 at the summit in Astana, Kazakhstan. The Heads of State Council is the supreme decision-making body in SCO, which 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, film grade polyethylene, ethylene glycol, liquefied butane, urea and gas condensates to SCO states.

In exchange, major commodities imported into Iran from SCO nations included rice, auto parts, graphite electrodes used in furnaces, nuclear reactor parts, machinery, barley, sunflower oil and field corn.

In terms of total trade value, China topped the list among SCO states with Iran trade standing at 35.6 million tons worth $19.53 billion, down by 10.86% and 12.21% in tonnage and value respectively YOY.

Exports to China amounted to 32.16 million tons worth $9.21 billion to register an 8.43% decline in tonnage and a 2.28% growth in value YOY.

China was Iran’s top export destination among the countries under review as well as in worldwide during the period.

In return, China exported 3.43 million tons of commodities worth $10.31 billion to Iran, down by 28.56% and 22.07% in tonnage and value respectively YOY.

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

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

In exchange, China exported auto parts, graphite electrodes used in furnaces, machinery and LCD/LED screen modules to Iran.

India was Iran’s second biggest trading partner among SCO countries during the 12 months, as two-way commercial exchanges stood at 10.37 million tons worth $4.63 billion to register a 10.78% and 7.14% decrease in tonnage and value respectively YOY.

Iran exported 8.36 million tons of goods worth $2.04 billion to India, down 14.95% and 25.34% in tonnage and value respectively YOY.

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

Iran’s exports to India mainly included methanol, urea, ammonia and bitumen.

Iran imported 2.01 million tons of commodities worth $2.59 billion from India, up by 12.04% and 14.91% in tonnage and value respectively YOY, which mainly constituted semi- and wholly-milled rice, tea, graphite electrodes and oilcake.

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

Russia was Iran’s third major trading partner among SCO states.

Trade between Iran and Russia amounted to 2.67 million tons worth $1.62 billion, indicating a 41.48% and 59.13% rise in tonnage and value respectively YOY.

Iran’s exports reached 499,802 tons worth $280.53 million, down 4.98% and 4.07% in tonnage and value respectively YOY, while Russia’s exports to Iran were at 2.17 million tons worth $1.34 billion, up by 59.39% and 84.52% in tonnage and value respectively YOY.

Russia was Iran’s fourth export destination and third exporter of goods to Iran among SCO members. The country was Iran’s 14th export destination and eighth exporter to Iran in the world.

Kiwi, tomatoes, apples and pistachios were Iran’s main goods exported to Russia, while Russia exported mainly nuclear reactor parts, sunflower oil, field corn and barley to Iran.

Pakistan was Iran’s third export destination, after China and India, among SCO countries and eighth in the world, as Iran exported 2.8 million tons worth $1.24 billion to Pakistan during the period, up by 30.1% and 35.77% in tonnage and value respectively YOY.

Iran mainly exported bitumen, hydrocarbon gas, low-density oils, liquefied propane, pod vegetables and pistachios to Pakistan.

Highest Growths, Declines in Trade

Trade with Russia ($1.62 billion), Pakistan ($1.57 billion) and Uzbekistan ($187.94 million) saw growths of 59.13%, 20.23% and 16.58% respectively YOY, while trade with Tajikistan ($104.41 million), China ($19.53 billion) and Kazakhstan ($218.47 million) witnessed the lowest declines of 54.82%, 12.21% and 7.28% respectively.

Iran’s exports to Uzbekistan ($140.94 million), Pakistan ($1.24 billion) and China ($9.21 billion) rose by 40.84%, 35.77% and 2.28% respectively YOY, while exports to Tajikistan ($78.31 million), India ($2.04 billion) and Kazakhstan ($131.4 million) witnessed the lowest declines of 63.94%, 25.34% and 22.19% respectively.

Imports from Kyrgyzstan ($11.37 million), Tajikistan ($26.1 million) and Russia ($1.34 billion) witnessed the highest rises of 87.83%, 87.48% and 84.52% YOY respectively, while imports from Uzbekistan ($46.99 million), China ($10.31 billion) and Pakistan ($330.23 million) witnessed the highest declines of 23.12%, 22.07% and 16.06% respectively YOY.