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Saffron: illegal smuggling is not the only problem

May 6, 2021 at 11:30 AM , Der AUDITOR
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TEHRAN. Although Iran successfully stepped up saffron exports, much is left to be desired. Exports hit more than 322 mt in March 2020 through to March 2021, despite the sanctions. Performance may have, however, been much better. Suppliers emphasise that illegal smuggling activities are not the only problem, but that packaging is key to drive up sales.

Bulk exports are a problem

Issue is that smuggling, lack of proper packaging and bulk exports weigh on turnover. Bulk exports referring to shipments in packages exceeding 30 grams in fact accounted for 54% of exports between 20 March 2020 and 20 March 2021. Problem here is that such deliveries are frequently repackaged and sold at higher prices after being shipped from Iran. Suppliers here consequently lose out on higher profits. Average export prices ranged at USD 565/kg in 2020/2021, which is sharply down on the average export price of USD 1,100/kg in 2019/2020. B

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