Iran’s Pencil Productions Reduce Due to Exchange Rate Volatility

Iran's Pencil Productions Reduce Due to Exchange Rate Volatility

According to statistics confirmed by Jahanbakhsh Behzadi Kia, the total production of pencil in Iran has been decreased dramatically because of the high fluctuation in foreign currency rates.

Jahanbakhsh Behzadi Kia, Manager of Pars Slat (ASYA Newspaper Pencil) and Secretary of the Manufacturers Association, believes the recent fluctuations in foreign currency rates had disastrous effects on pencil’s producers. “Five factory have been closed and the other companies continue with 30 to 35 percent of factory capacity is in operation. Between 60 to 65 percent of raw material needed for producing pencils should be imported from foreigner countries and exchange rate volatility has made many troubles for companies.”

He also said that because of the international restrictions the imports of pencil from China have been dropped. “From 6 months ago the total imports of pencils from other countries specially China have been diminished notably.” Jahanbakhsh Behzadi Kia warns of the pencil price in future. “Currently the price of pencil is 60% more than its price in last year. If the situation continues the price of pencil will be increased in future too.”

Islamic Republic of Iran is currently experiencing hard sanctions due to its disputed nuclear program. The new series of sanctions restrict Iran from trading with other countries.

Leave a Reply

© 2006-2016 Mideast Time.