Foreign Exchange Oil Allocation: Market Challenges

Without a doubt, the currency problems and the very long waiting period for foreign exchange allocation are the most important challenges of the industry today. Currently, the waiting period for payment of foreign exchange claims by crude oil importers, including delays in Nikoo payments, has reached 9 months, and this long period has prevented factories and other crude oil importers from using some of the orders they have.

The estimated and forecasted harvest of this year’s grains was about 400,000 tons, based on which the import coefficients for crude oil, meal, and seeds were determined, but with the decrease in harvest, there is practically not enough domestic grain to purchase, and the Ministry of Agriculture-Jihad has made arrangements in this regard. Based on the current coefficients, a domestic grain buyer can import 27 kg of foreign grain or 6 kg of palm oil or 10 kg of meal or 12 kg of crude sunflower oil from Eurasian countries and 7 kg from other sources for every kilo of domestic grain purchased.