Saffron market in KhorasanSaffron market in Khorasan

The saffron market in Khorasan: Khorasan Razavi, which produces 85% of the country’s saffron, continues to be the center of saffron cultivation and production. The first saffron harvests, known as the “early crop,” have already begun in the fields of this province. Favorable weather conditions and sufficient rainfall raise hopes for a significant increase in saffron production this year. Exporters and farmers are hopeful that the government will ensure a fair purchase agreement at a fixed price, stabilize the market, and exclude intermediaries. This plan has been successfully implemented in saffron-growing provinces by the Rural Cooperatives Organization in the past, and farmers now call for its continuation.

Good News for Saffron Producers

Saffron market in Khorasan: In an interview with the “Iran” newspaper, Gholamreza Miri, the head of the Iranian Saffron Exporters Union, shared: “We are in the early days of the saffron harvest season. Last agricultural year, environmental tensions reduced production in Khorasan Razavi. However, this year, despite the favorable rainfall, we expect a significant increase in production.”

Miri mentioned that 96 hectares in Khorasan Razavi have been dedicated to saffron cultivation this year. This area represents 85% of the country’s saffron production. In previous years, 92,000 hectares were cultivated, and 4,000 hectares are now growing saffron for the first time.

Saffron Market in Khorasan: Efforts for Permanent Saffron Purchase Agreements

Saffron market in Khorasan: Miri emphasized that around 300 tons of saffron are expected to be produced in Khorasan Razavi. He stated, “Farmers work hard for a year. Given the substantial foreign exchange earnings from saffron, we expect the government to establish a permanent saffron purchase agreement. This will prevent intermediaries from entering the market and allow farmers to sell their products at a fair price.”

He also stressed the importance of the government, in collaboration with experts and exporters, announcing the saffron price early in the season. This will ensure a safe margin for farmers and avoid price fluctuations.

Saffron Market in Khorasan: Improving Exporter Confidence and Supporting Farmers

Saffron market in Khorasan: Miri hopes local representatives’ efforts will lead to approval of a fair saffron purchase price of 90 million toman per kilogram. This price would benefit farmers and provide price stability for consumers. He pointed out that if the plan does not proceed, intermediaries will continue to buy saffron from farmers at low prices, hoard it, and cause price drops during the harvest season. This leaves farmers without profit.

If the government intervenes, intermediaries will not be able to buy saffron below the set price. Primary exporters will become the buyers, which protects farmers by setting a price floor. Exporters will also be able to focus on marketing and developing exports without concerns about fluctuating prices.

Cooperatives as Saffron Buyers from Producers

Miri added, “We suggest that Rural Cooperatives directly buy saffron from farmers and sell it to exporters at a fixed profit margin. This process should continue year-round to prevent price decreases and ensure smooth marketing activities by exporters.”

The Role of Saffron in Job Creation

Saffron market in Khorasan: Miri emphasized that saffron plays a key role in solving employment problems in Iran. “In Khorasan Razavi and Khorasan South, 700,000 households directly rely on saffron cultivation for their livelihood. Additionally, every 3 kilograms of saffron flowers cleaned create one temporary job. This means that for every 100 kilograms of saffron flowers harvested daily, 34 people will find work. The total harvest period creates significant employment opportunities in the country.”

Besides cultivation, saffron processing, exporting, and packaging also generate many jobs in the region.

Saffron Market in Khorasan: Economic and Export Potential of Saffron

Saffron stands out because it does not require foreign currency, unlike many other agricultural products. Its high added value benefits other sectors, such as printing and packaging, which also create jobs and generate income for the country.

In conclusion, saffron offers immense potential for job creation and foreign exchange earnings. It is an invaluable product for both the economy and the livelihoods of thousands of farmers and workers in Iran.