Once again: sanctions and tomato paste in Iran!

tomato paste

Following the fall in tomato prices, many people intend to make tomato paste at home. Consumers complain that following the fall in tomato prices, the packed tomato paste sold at supermarkets had no change in the price and therefore it makes more sense to make it at home.

One kilogram of tomato can be purchased for 6,000 to 10,000 rials. A survey shows that total costs for making one kilogram of tomato paste would cost about 50,000 rials (around 50 USD cents). While the price for a can of 800gr tomato paste costs from 160,000 to 220,000 rials.

A year ago, with return of the US sanctions, many farmers rushed to border markets to sell their tomatoes for foreign currency to Iraqi costumers. This led to a shortage in local tomato market and shot prices very high. Consequently, tomato paste manufacturers increased their prices.

Hoping to repeat the same scenario, many Iranian farmers cultivated tomatoes this year and increased their production. However, in the meantime the Iraqi government imposed an import tax on Iranian foods. This caused a turbulence once again at domestic market and over-supply pushed prices for tomato down. So far, however, tomato paste manufacturers have not modified their prices, perhaps hoping that the over-supply will not last very long.