Over 400% Surge in Working Capital for Feed Importers After Currency Reform

Today, to buy a 70,000-ton ship of soybean meal, about 4,000 billion Tomans of capital is needed. Also, a 20-ton shipment, which used to cost about 350 million Tomans, has now reached a figure of nearly 1.5 billion Tomans; an increase of more than 400 percent. In such a situation, it is not realistic to expect continued imports from suppliers.

Government’s $5 billion debt to importers with a currency of 28,500 Tomans

About 5 billion dollars in foreign exchange claims of importers have not been settled at the rate of 28,500 Tomans since December last year until January this year, and this has practically destroyed the working capital of the private sector. This situation cannot continue, and if left unattended, the entire production chain will face serious damage.