Saffron: Iranian ‘red gold’ prices soar abroad as rial slips

28-11-2018
AFP @afp
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Tags: saffron Khorasan sanctions rial food spices
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Women in Iran are busy harvesting the world's most expensive spice: saffron.

 

About 90 percent of its global production is grown in Iran’s northern Khorasan province, where the delicate flower sprouts for just 10 days a year. But its harvest is now in jeopardy.

 

“The drought starts south of Khorasan province like in the city of Ghaen and is spreading towards the north. This means that in the future we might not have any more saffron," farmer Amin Rezaee, told AFP.

 

Some farmers have no choice but to invest in more sophisticated irrigation systems if they want to survive, but Iran’s banking sector is reluctant to lend to small businesses.

 

It has led to ‘Made in Iran’ efforts, but poor marketing means the country doesn't always receive the credit it deserves as the home of the "red gold."

 

“Some countries like Spain, which is an EU member, have a long history in saffron marketing and we are grateful because they have helped introduce saffron to the world," said Ali Shariati, CEO of Novin Saffron.

 

Saffron currently sells at about $700 per kilo in Iraq — and four times higher abroad because of Iran's struggling economy.

 

"Because of the devaluation of the Iranian rial, we are selling saffron to our international buyers at a lower price in euros. But it has become so much more expensive for Iranians who buy it in rial," said saffron seller Mohamad Jafari.

 

China’s increasing interest in saffron has boosted international sales, while foodstuffs are protected under US sanctions.

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