Iran Confectionery Exports Fall Amid Industrial Oil Shortage
Mr. Farhad Tajik, Member of the Board of Directors of the Iran Biscuit, Confectionery and Chocolate Union
The industry’s biggest challenge is the sharp fluctuations in exchange rates and the lack of supply of imported raw materials due to the lack of foreign exchange allocation or the lack of confirmation of order registration. This is despite the fact that 97% of flour product formulations include “flour, sugar, and oil,” and now their supply has become difficult.
In addition, the guaranteed purchase price for basic commodities such as wheat has always been a challenge, in such a way that the guaranteed purchase price of wheat above the world price has caused the loss of competitiveness in world markets; this is despite the fact that heavy investments have been made in this field. For example, in 2014, the export of the biscuit, confectionery and chocolate industry was about $900 million; this year it will not even reach $200 million.
