June 23, 2020

Iran ends import subsidies on animal feed premixes

The Iranian government has stopped the payment of subsidies for the import of animal feed premixes used to prepare animal feed, Chairman of Iran Feed Industry Association Majid Movafeq Qadirly said, Financial Tribune reported.

The animal feed premixes include vitamins, minerals, trace elements and other nutritional additives.

It has instead called on importers to meet their foreign currency requirements from the export earnings of non-oil products (petrochemicals, steel and minerals) traded through the so-called secondary FX market where exchange rates are closer to the free market rates.

"Importers of corn, barley and soybean meal can receive subsidised US dollar at the rate of 42,000 rials. The government is giving the subsidies in driblets, though. Importers are taking risks and they don't see a bright future," Qadirly said.