Tehran - Iran’s Central Rural Cooperative Organization has announced a sharp reduction in the export base price for onions - from $180 to $60 - in a move designed to ease export procedures and help absorb surplus domestic production.

 

Mohammadreza Talaei, Chairman of the Board and CEO of the organization, said the excess output had been anticipated due to strong agricultural performance during the current growing season. “Farmers achieved high yields this year, and the varieties cultivated were high-productivity strains,” he said, noting that favorable production conditions contributed to the surplus.

 

He identified the reduction in the foreign exchange base price (currency commitment value) as a key policy intervention. “The base price for onions had been set at $180. Following the minister’s approval, it was reduced to $60 and formally communicated to the Islamic Republic of Iran Customs Administration,” he said.

 

The official added that the adjustment has materially improved export conditions. “The impact of this policy is already visible in practice, as it has significantly facilitated onion exports,” he noted.

 

Addressing storage strategies, Talaei explained that surplus management is being handled through multiple channels. Farmers are storing part of their harvest in open-air facilities in cooler regions, while some producers are using refrigerated warehouses. Agricultural cooperatives are also participating in storage operations.

 

In addition, he said, the Central Rural Cooperative Organization has, for the first time, established a precautionary reserve to stabilize the market during peak demand periods, including the Nowruz holiday season and other high-consumption intervals managed through municipal market networks.

 

According to Talaei, the organization has stored approximately 17,000 to 18,000 tons of onions as part of this effort.