Iran’s Exports Guarantee Fund warns of country’s commodity shortage

Business Materials 12 December 2012 15:10 (UTC +04:00)

Azerbaijan, Baku, Dec. 12/ Trend G.Mehdi/

The Exports Guarantee Fund of Iran has warned of a probable commodity shortage in the country if the current trend of exports continues.

The fund's managing director Kazem Doust-Hosseini said that imports have decreased considerably and exports have grown by 17 per cent during the first eight months of the current Iranian year.

If the current situation continues the country may face the shortage of certain goods, he noted.

The recent surge in foreign currency prices has enticed many exporters to export goods which had not been previously economically justified to be exported, he said.

During the past year the rial lost 100 per cent of its value against dollar. In other words, due to the intensified sanctions and the fall in Forex incomes, maintaining the rial at a higher rate against the dollar which was a severe blow to the export sector of the Iranian economy, has been tackled to some extent.

The Central Bank has set the official rate of the dollar at 12,260 rials, while the street rate is currently at 30,100 rials and the Forex Centre of Iran offers the dollar at 24,580 rials.

Iran's trade turnover in the first eight months of the current Iranian calendar year which began on March 20, amounted to $65.5 billion.

Exports stood at $28 billion dollars, while imports surpassed $37.4 billion in the eight month period.