TEHRAN, Iran, Aug. 25
Trend:
Iran's saffron export has increased 17 percent in the first four months of the current Iranian year (started March 21, 2021), the head of the Saffron Association in Khorasan Razavi Province told Trend in an interview.
Iran has produced 450 tons of saffron in the last Iranian year (started March 20, 2020) and from this figure, it has exported 325 tons, said Gholamreza Miri.
"Low rainfall and drought are reasons for the decline of production. Farmers are not able to water their lands since the cost of irrigation is rising as drought increases. Irrigation of 6 square inches of land would cost $357 per hour while the price of saffron has not been determined yet so farmers would not risk their expenses," he stressed.
"It is traditional in the Khorasan region to pay for harvest expenses two months ahead but the price of saffron has not been announced yet. The government should announce the saffron price in a way that even with the increase of supply the price in the market would not fall," Miri noted.
The Ministry of Agriculture is the pricing authority and it can accept advice but usually, the body is the responsible organization for pricing, although the government is not guaranteeing the purchase of saffron it should announce the price to prevent price cuts.
In the past two years, the price of all products has been multiplied but the price of saffron has remained the same.
The official recommended the supply of saffron should be reduced to increase the price. In the past two months, the following policy has caused a 20 percent growth in price although it did not have profit for farmers.
Only 35 tons of saffron has been offered at Iran Mercantile Exchange, while the production is 400 tons, almost 75 percent of this figure is exported in the last Iranian year.