Illegal imports account for 63% of Iran’s cosmetics market
Baku, Azerbaijan, July 1
Over 63 percent of cosmetic products, produced in Iran are imported illegally, Mohammad Kiani, an Iranian cosmetic products’ producer said.
He added that legally imported cosmetic products have a 30 percent share in the market, Tasmim news agency reported July 1.
Kiani also put the share of home-made cosmetic products from the Iranian market at 30 percent.
Meanwhile the production capacity of Iranian cosmetic producers is 2.2 times more than the market demand, he said.
Iran’s overall cosmetics and healthcare products’ consumption stands at 180,000 tons per year, Mehdi Sadeqi Niaraki, the director general of the Foodstuff, Pharmaceutical and Toiletries Industries Office under the Ministry of Industries, Mining and Trade, said.
The official added that domestic production meets only 50,000 - 60,000 tons of the demand for cosmetics and healthcare products.
He also said that Iran exports $385 million worth of cosmetics and healthcare products per year.
Iran’s customs administration has recently increased the import tariff for cosmetics by 10 percent.
It is while Iran’s legal imports of cosmetic and healthcare products have witnessed a significant fall in the current year. According to the country’s customs administration data, Iran has imported 980 tons of various cosmetic and healthcare products during the first month of the current fiscal year (March 20-April 21), 67 percent less year-on-year.
The value of the imported products accounted to $11 million, which was 14 percent less compared to the same month of the preceding year.
Some estimates put the value of the smuggled cosmetic products into Iran at $1 billion per year.
Iran’s semi-official Fars news agency reported in 2015 that the country takes in 30 percent of the Middle East's cosmetic products imports, which amounts to $2.1 billion a year.