$1.4b in Iran's Non-Oil Trade Surplus With D-8 States
EghtesadOnline: Iran traded 16.45 million tons of non-oil commodities worth $8.47 billion with the member states of the D-8 Organization for Economic Cooperation in the last fiscal year (ended March 20, 2019) to register a 32.55% and 19.49% decline in tonnage and value respectively compared with the year before.
Latest data released by the Islamic Republic of Iran Customs Administration show Iran’s exports totaled 14.23 million tons worth $4.95 billion during the year, indicating a 33.33% and 18.57% decline in tonnage and value respectively year-on-year.
Imports stood at 2.22 million tons worth $3.51 billion, down 27.08% and 20.75% in tonnage and value respectively YOY.
As a result, Iran recorded a non-oil trade surplus of $1.44 billion with D-8 states, according to Financial Tribune.
The D-8 Organization for Economic Cooperation, also known as Developing-8, is an organization for development cooperation among the following countries: Bangladesh, Egypt, Nigeria, Indonesia, Iran, Malaysia, Pakistan and Turkey.
Its objectives are to improve member states' status in the global economy, diversify and create new opportunities in trade relations, enhance participation in decision-making at the international level and improve standards of living.
D-8 is a forum with no adverse impact on bilateral and multilateral commitments of the member countries, emanating from their membership in other regional or international organizations.
The combined population of the eight countries is about 1 billion or 60% of all Muslims, or close to 13% of the world's population and covers an area of 7.6 million square kilometers, which constitute 5% of the world’s land area.
Main Commodities, Trading Partners
Iran mainly exported liquefied natural gas, non-alloy semi-finished iron/steel products, bitumen, non-alloy zinc, liquefied propane and gas condensates to D-8 states.
In exchange, major commodities imported into Iran from D-8 nations included semi- and wholly-milled rice, cooking bananas, tobacco, palm oil, fibers and cotton.
In terms of total trade value, Turkey topped the list among D-8 countries with Iran trade standing at 8.15 million tons worth $4.98 billion, indicating a 49.54% and 30.61% decrease in tonnage and value respectively YOY.
Exports to Turkey amounted to 6.76 million tons worth $2.36 billion to register a 52.72% and 40.22% decline in tonnage and value respectively YOY.
Turkey was Iran’s top export destination among the countries under review and sixth in the world.
In return, Turkey exported 1.39 million tons of commodities worth $2.61 billion to Iran, down by 24.96% and 18.79% in tonnage and value respectively YOY.
Turkey was the top exporter of goods to Iran among D-8 states and third in the world after China and the UAE.
Major Iranian commodities exported to Turkey were liquefied natural gas, non-alloy zinc, aluminum, urea and bitumen.
In exchange, Turkey mainly exported cooking bananas, tobacco and fibers to Iran.
Pakistan was Iran’s second biggest trading partner among D-8 nations during the period, as two-way commercial exchanges stood at 3.1 million tons worth $1.57 billion, indicating a 23.19% and 20.23% increase in tonnage and value respectively YOY.
Iran exported 2.8 million tons worth $1.24 billion, up 30.1% and 35.77% in tonnage and value respectively YOY.
Pakistan was Iran’s second export destination among D-8 countries and eighth in the world during the 12-month period.
Iran’s exports to Pakistan included bitumen, hydrocarbon gas, low-density oils, liquefied propane, pod vegetables and pistachios.
Iran imported 298,438 tons worth $330.23 million, down by 17.83% and 16.06% in tonnage and value respectively YOY, which mainly constituted rice, sesame seeds, cans, pears and cows.
Pakistan was the third exporter of goods to Iran in the group and 22nd exporter to Iran in the world.
Indonesia was Iran’s third major trading partner among the states under review.
Mutual trade between Iran and Indonesia amounted to 2.24 million tons worth $917.86 million, down by 3.89% in tonnage and up by 0.52% in value YOY.
Iran’s exports reached 2.1 million tons worth $786.86 million to register a 5.78% and 21.27% increase in tonnage and value respectively YOY, while Indonesia’s exports to Iran were at 138,192 tons of commodities worth $131 million to Iran, down by 59.88% and 50.43% in tonnage and value respectively YOY.
Indonesia was Iran’s third export destination and the fourth exporter of goods to Iran among D-8 states. The country was Iran’s ninth export destination and 29th exporter to Iran in the world.
Non-alloy semi-finished iron/steel products, liquefied propane and bitumen were Iran’s main exports to Indonesia, while Indonesia exported paperboard paper, aluminum oxide, medium-density fibers, coconut and industrial alcohol to Iran.
Malaysia was the second exporter of goods, after Turkey, among D-8 nations and 19th in the world, as Iran imported 364,053 tons worth $395.51 million from Malaysia to register a 16.34% and 19.27% decline in tonnage and value respectively YOY.
Iran mainly imported palm oil, natural rubber, machinery and cocoa butter substitute from Malaysia.
Highest Growths, Declines in Trade
Trade with Pakistan ($1.57 billion) and Indonesia ($917.86 million) registered a growth of 2.23% and 0.52% respectively YOY, while trade with Nigeria ($8.97 million), Turkey ($4.98 billion) and Egypt ($220.82 million) witnessed the lowest declines of 55.41%, 30.61% and 14.53% respectively.
Iran’s exports to Pakistan ($1.24 billion), Indonesia ($786.86 million) and Malaysia ($246.93 million) saw a growth of 35.77%, 21.27% and 19.72% respectively YOY, while exports to Nigeria ($4.79 million), Turkey ($2.36 billion) and Egypt ($217.75 million) witnessed the lowest declines of 72.12%, 40.22% and 13.44% respectively.
Imports from Nigeria ($4.18 million) witnessed the highest rise of 42.14% YOY, while imports from Egypt ($3.06 million), Indonesia ($131 million) and Bangladesh ($31.82 million) witnessed the biggest declines of 54.92%, 50.43% and 39.69% respectively YOY.