Iran Dried fruit Exporters Association (IDFEA) reportedly stated that the pistachio production is expected to increase more than usual in the current Iranian calendar year compared to the previous year also USDA expects the production volume will recover to 205,000 tons.
Only in 2018-2019, its production was hampered by water shortages witnessing a sharp fall of 75% in the yield. Since then, the production trend has increased, which has been marketed as a relief to local producers & exporters.
Pistachios are one of the essential Agro products in Iran, and its trade in the international market has added billions to the countries earnings.
Nevertheless, the Export recovery remains a challenge; an indirect reason would be the withdrawal of the USA from the Joint Comprehensive Plan of Action (JCPOA), followed by the resumption of sanction of Iran and the USA being a big competition of Iran in terms of production & export.
The US sanctions (USA is imposing new sanctions and export control measures on 27 entities and individuals connected to Iran's nuclear weapons program.) on Iran are not directly applied to Iran's pistachio exports. Still, these exports have been affected due to the restrictions imposed on the Iranian Merchants' use of International Financial & Credit tools.
China is the world's largest importer of Pistachios. Its demand is booming since 2018; thus, its imports from the US had been increasing since then, even in the ongoing trade war that has imposed 45% tariffs on raw pistachios & 30% on roasted ones.
On the other hand, its imports from Iran have also been increasing, but the trade value is not good enough for the loss that Iran is experiencing in the global market from the sanctions.
Thus, the production in the country is undoubtedly increasing, but it seems like a tough road ahead for its international exports as USA never fails to give a tough competition to the country.