Iran's Trade With Neighbors Tops $28 Billion in Seven Months

EghtesadOnline: Iran’s trade with 15 neighboring countries stood at 61 million tons worth $28.32 billion in the current fiscal year’s first seven months (March 21-Oct. 22), according to the latest data released by the Islamic Republic of Iran’s Customs Administration.

News ID: ۷۸۷۲۸۷

13 November 2021

Total exports to these countries stood at 47.89 million tons worth $14.78 billion.

Iraq with 19.74 million tons worth $5.48 billion was the biggest export destination. It was followed by Turkey with 11 million tons worth $3.4 billion, the UAE with 6.6 million tons worth $2.59 billion, Afghanistan with 2.79 million tons worth $1.13 million and Pakistan with 1.59 million tons worth $655.15 million.

Total imports from neighboring countries during the period hit 13.58 million tons worth $13.54 billion.

Shipments mainly came from the UAE with 6.87 million tons worth $8.6 billion, Turkey with 2.5 million tons worth $2.86 billion, Russia with 1.86 million tons worth $852.82 million, Iraq with 1.35 million tons worth $63.33 million and Oman with 641,225 tons worth $303.92 million.

Iran’s 15 neighboring countries are Iraq, Turkey, Afghanistan, Pakistan, Russia, Oman, Azerbaijan, Turkmenistan, Kuwait, Qatar, Kazakhstan, Armenia, the UAE, Bahrain and Saudi Arabia.

Iran traded 98.7 million tons of non-oil goods worth $54.8 billion with other countries during the seven months under review to register an increase of 16.5% in weight and 43% in value compared with the corresponding period of last year.

According to Mehdi Mirashrafi, the head of the Islamic Republic of Iran Customs Administration, exports stood at 75.2 million tons worth $27.1 billion, which shows a year-on-year growth rate of 15% and 47% in weight and value respectively.

“Iran’s imports hit 23.5 million tons worth $27.7 billion, registering an increase of 21% in weight and 38% in value compared with last year’s same period. Essential goods, machinery, industrial parts, raw materials and intermediate goods accounted for the lion’s share of imports,” he was quoted as saying by the news portal of IRICA.

Also known as necessity goods, essential goods are products consumers will buy, regardless of changes in income levels.

The main export destination was China with 16.9 million tons of goods worth $7.7 billion.

Top exports mainly included natural gas, methanol, polyethylene, semi-finished steel products, liquefied polyethylene, steel ingots, rebar, urea, copper cathode and bitumen.

“Essential goods accounted for 16.6 million tons worth $11 billion of total imports, which indicate an increase of 71% in weight and 40% in value YOY. Subsidized foreign currency at the rate of 42,000 rials per US dollar were allocated to imports of 14.4 million tons of essential goods worth $8.8 billion, registering a rise of 61% in weight and 32% in value YOY,” the IRICA chief said.

The main exporter to Iran was the UAE.

Cellphones, animal corn, wheat, soybeans, sunflower oil, soymeal, barley, rice, sugar and palm oil were the main imports during the period.

“A total of 6.94 million tons of foreign commodities were transported through Iran during the period, indicating an 81% year-on-year rise,” Mirashrafi added.

Iran’s 15 neighboring countries accounted for about half of its total non-oil trade in the last Iranian year that ended on March 20, 2021.

Iran traded $36.45 billion worth of non-oil goods with its neighboring countries in the last Iranian year (ended March 20, 2021).

Non-oil trade with neighbors posted a decline, compared with the preceding year’s $40 billion.

Iran’s exports to its neighbors totaled $20.35 billion in the fiscal 2021-22, indicating a $4 billion decrease in value year-on-year.

Imports amounted to $16.09 billion during the period under review, unchanged compared with the same period of last year.

The UAE was Iran’s leading trade partner among neighboring states last year, with $14.4 billion worth of non-oil exchanges.

Following the UAE in the list of Iran’s trade partners among neighboring countries were Iraq with $7.58 billion, followed by Turkey with $6.9 billion, Afghanistan with $2.31 billion and Russia with $1.53 billion.

Pakistan and Oman followed with $1.17 billion and $871 million, respectively.

Iranian goods and commodities worth $7.44 billion were exported to Iraq, to put the country on top of the list of Iran’s export destinations among neighboring states.

The UAE, Turkey and Afghanistan came next with $4.66 billion, $2.53 billion and $2.3 billion, respectively.

The UAE, with $9.75 billion, accounted for the largest share of Iran’s imports from neighboring countries during the period. Turkey followed with $4.39 billion worth of goods to Iran. Russia with more than $1.03 billion worth of goods exported to Iran came next.

Iran’s total foreign non-oil trade stood at 145.7 million tons worth $73 billion in the last fiscal year (March 2020-21).