Why do prices rise and fall of saffron?

Why do prices rise and fall of saffron?

 

The head of Khorasan Razavi Saffron Exporters Association said the lack of liquidity often reduces from 150 to 200 dollars per kilogram of saffron in price, and that price volatility is the biggest problem that does not allow favorable to exporters.

Gholam Reza Miri in an interview with Iranian Students News Agency (ISNA), Khorasan region, said: insufficient liquidity for exporters to reduce the price of saffron, but may be returned after 10 days of the proceeds from exports increased liquidity saffron’s price go up.

He said: Despite the slippage, exporters can have long-term contract prices, at least one week and with this account because the funds can be competitive against foreign suppliers.

Miri said exports in the first four months of this year, an increase of 35 percent global market-we need to continue this process. In the first four months of this year, 43 tons of saffron worth $ 61 million were exported to other countries of Khorasan Razavi province.

He pointed out that the export of saffron in four months of this year compared to the same period last year, by weight, 35% and 32% growth in terms of value have been.

Miri export duties in the past referred to as one of the constraints on the export of saffron, said the cause was complications that saffron smuggled out of the country, but now that’s gone complications and obstacles of this seeing trafficking, there is .

He requested the National Agricultural Code of saffron as a problem by the assets inhibiting factors previously mentioned and added that the export of saffron farmers or refuse to provide their national codes or bar codes had not been forced to why exporters to pay 12% were punished.

Saffron Exporters Union Chairman stated that the current capacity of saffron is desirable in the export sector, added: However, weaknesses continue to exist, including the possession of small amounts of cash to exporters pointed out.

He shipping cost as a problem in the field of export saffron and said: saffron for air transport is done and its value to the dollar with respect to the volume of the package is free and the saffron, the cost of transporting and high quotes.

Miri said that in the past, the prize was given to exporters to pay an aid shipment, said the current request, but we do not export award for selling more saffron need to have prompt global marketing.

He said Iran saffron prestigious brands in the world and despite being the world’s first producers of saffron, saffron market Europe is in Spain. Should get a larger share of this market and we have applied this requires adequate protection of exporters.

Miri referring to the adoption of a comprehensive plan saffron as one of the biggest actions in support of this product, noted: Unfortunately, despite the passage of two years from the approval of Parliament is still not considered a budget for its implementation.

He added that a comprehensive plan is not a one-dimensional saffron and saffron to export it covers all stages of production and, if funding can be a good help to export the product and find a niche in the global markets.