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Home International Customs

Iran’s dairy exports to hit $1B

byCT Report
21/10/2017
in International Customs
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TEHRAN: Iran is one of the top milk producers and has ambitious plans to grab a bigger share of the global milk and dairy market. In an interview with Financial Tribune, Deputy Agriculture Minister Hassan Rokni estimated that Iran’s dairy exports will hit a record high of $1 billion by the end of the current Iranian year (March 20, 2018). Mr Rokni noted that Iran exports 20 types of processed dairy products to 30 countries. Europe, Central Asia, Persian Gulf region, Iraq, Afghanistan, and Russia are among its export destinations. “Iran exported 850,000 tons of dairy products in the last fiscal year (March 2016-17). Exports of milk and related dairy products are projected to reach 1 million tons this year,” he said. Mr Rokni said latest statistics show Iran exported 500,000 tons of dairy products during the five months to 22 August.

According to Kaveh Zargaran, chairman of Agriculture Commission of Tehran Chamber of Commerce, Industries, Mines and Agriculture, Iran’s dairy exports earned close to $500 million during the six months to 22 September, IRNA reported. Mr Rokni said figures on milk powder exports during the five months to August 22 show the country had a monthly export average of 100,000 tons. “Iran’s dairy industry is highly significant in that it has a noticeable share in generating wealth via exports as well as sustainable jobs in the country,” he said. According to Food and Agriculture Organization (FAO) of the United Nations, milk and dairy products account for about 14 per cent of global agricultural trade. Dairy products had the biggest share in Iran’s food exports last year and earned $773 million, registering a 10 per cent and 25 per cent growth in volume and value respectively compared to the year before. According to Mr Zargaran, exported products included yogurt that topped the list with $218 million, followed by cheese with $187 million, milk powder with $129 million and cream and ice cream with $120 million. Meanwhile, 56,000 tons of dairy products worth $251 million were imported during the same period, a majority of which pertained to 46,000 tons of butter worth $184 million and 7,000 tons of infant formula worth $50 million. The above figures indicate that Iran’s dairy trade saw a surplus of $523 million last year.

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Iran’s exports in food and processing industries witnessed a 9.3 per cent and 23.4 per cent rise in value and volume respectively. These exports rose to 923,000 tons worth $1.4 billion during the six months to 22 September from 748,000 tons worth $1.28 billion in the corresponding period of last year, IRNA reported. Iran’s non-oil exports, mostly petrochemicals ($7 billion), gas condensates ($3.52 billion), polyethylene ($750 million), liquefied propane ($686 million), light crude oil, excluding gasoline ($638 million), and methanol ($593 million) during the same period hit 58.63 million tons worth $20.54 billion, indicating a 3.2 per cent decline year-on-year, the Islamic Republic of Iran Customs Administration announced. Mr Rokni put last year’s milk production at 9.6 million tons, saying the figure is expected to reach 10 million tons in the current year (March 2017-18). “Many of Iran’s milk production units have higher production average than the ones in Europe,” he said.

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