A new assessment by Iran’s Statistics Center shows that more than one-third of food items consumed by Iranian households experienced a price increase of 40% to 103% in January this year compared to the same month last year.
The highest price surges were observed in legumes and fruits. According to this report, published on the website of the Statistics Center, the price of potatoes has more than doubled compared to January of the previous year.
Recently, following weeks of turmoil in the potato market, the government approved the import of 50,000 tons of this food product. However, domestic media reports indicate that instead of providing the preferential exchange rate of 285,000 rials per dollar, the government allocated dollars at a rate of 660,000 rials per dollar to importers.
The Rise in Food Prices in Iran Exacerbates Household Economic Hardships
The Statistics Center has recorded the price of one kilogram of potatoes in January as 320,000 rials, while market data shows that the current price is 480,000 rials. The free market exchange rate for the U.S. dollar is around 850,000 rials, and the minimum wage for a worker with two children is approximately $130 per month.
The price of potatoes increased by 20% in January compared to December 2024, and in just the first two weeks of February, the price surged by 50%.
After potatoes, the highest inflation rates were recorded for products such as split peas, bell peppers, carrots, lemons, lentils, cucumbers, and eggplants.
More importantly, out of 53 selected food items, only six experienced price increases below 10%, while the rest faced rampant inflation.
It is worth noting that the prices used in calculating food inflation are typically optimistic and lower than actual market figures, meaning the real price increases are likely much higher than the estimates provided by the Statistics Center.
For example, inflation estimates from Iranian regime’s Central Bank are consistently higher than those from the Statistics Center.
Meanwhile, Ali Ehsan Zafari, chairman of the Dairy Products Union, announced on Saturday, February 1, that rising prices have led people to gradually eliminate these products from their diet, causing the dairy industry to lose its prosperity.
On Saturday, the state-run ISNA news agency reported that dairy prices have increased significantly for the umpteenth time in the past three months.
The Statistics Center has estimated inflation for various dairy products to be between 27% and 43%.
In January 2024, food expenses for a four-person household accounted for nearly 58% of the minimum wage.
