Updated Jan 10, 2023 16:40

Preserved Frozen Potato Market in Iran

Market Overview
The Iranian preserved frozen potato market declined modestly to $ in , reducing by -% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). In general, consumption saw a relatively flat trend pattern. Preserved frozen potato consumption peaked at $ in 2017; however, from 2018 to , consumption failed to regain momentum.

In value terms, preserved frozen potato production declined slightly to $ in estimated in export price. Over the period under review, production, however, showed a relatively flat trend pattern. The most prominent rate of growth was recorded in 2011 with an increase of % against the previous year. As a result, production reached the peak level of $. From 2012 to , production growth failed to regain momentum.


Consumption
In , consumption of frozen potatoes (prepared or preserved) in Iran was estimated at tons, increasing by % against the previous year's figure. The total consumption volume increased at an average annual rate of +% over the period from 2007 to ; the trend pattern remained consistent, with somewhat noticeable fluctuations being observed throughout the analyzed period. As a result, consumption attained the peak volume of tons. From 2018 to , the growth of the consumption failed to regain momentum.

The revenue of the preserved frozen potato market in Iran fell modestly to $ in , which is down by -% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). Over the period under review, consumption recorded a relatively flat trend pattern. Over the period under review, the market hit record highs at $ in 2017; however, from 2018 to , consumption stood at a somewhat lower figure.


Market Forecast
Driven by increasing demand for preserved frozen potato in Iran, the market is expected to continue an upward consumption trend over the next eight-year period. Market performance is forecast to retain its current trend pattern, expanding with an anticipated CAGR of +% for the period from to , which is projected to bring the market volume to tons by the end of .

In value terms, the market is forecast to increase with an anticipated CAGR of +% for the period from to , which is projected to bring the market value to $ (in nominal prices) by the end of .


Market Structure
Over the period under review, imports of preserved frozen potato in Iran were negligibly small compared to the production volumes. Therefore, the share of imports in the total market was practically nonexistent, both in volume and in value terms. This situation has remained constant over the period under review, which means that domestic producers entirely meet the domestic demand for preserved frozen potato. In , the share of imports in total consumption accounted for less than % in value terms and less than % in physical terms. The share of imports remained relatively constant over the period under review. In , the share of imports in total consumption accounted for less than % in value terms and less than % in physical terms. The share of imports decreased moderately (less than percentage point) over the period under review.


Trade Balance
Iran remains a net exporter of preserved frozen potato; in physical and value terms, exports consistently exceeded imports from 2007 to . In , there was a significant trade surplus of tons, which was equal to $. This tangible trade surplus reflects the fact that the market remains buoyed by domestic production, and the industry is highly incorporated into the global market, which is likely to continue in the medium term.