Iran’s state grains agency has made an offer to barter some 200,000 tonnes of Iranian-produced new crop durum wheat for at least 250,000 tonnes of imported milling wheat, European traders said on Monday. Offers for the barter deal must be submitted to the agency Government Trading Corporation of Iran (GTC) by October 7, traders said.
“This is the first time I have seen such a barter offer from Iran,” one European trader said. “This would be a difficult deal with financial sanctions still in place despite the nuclear deal, but it could be a sign Iran is moving back into the wheat import market.” Traders said the GTC is offering to barter eight 25,000 tonne consignments of durum for at least 1.25 times the volume of milling wheat. Iran imposed import duties on private sector purchases of wheat and barley in July but then cancelled them in September.
Iran will not import wheat this year due to a satisfactory crop from local farmers and a good harvest, the country’s deputy agriculture minister said on August 26. Iran was never barred from buying food under Western sanctions over its disputed nuclear programme, but EU and US sanctions have made trade more difficult by hindering payments and ocean shipping.