An Iranian MP has announced that Iran may face a shortage in wheat for bakeries as a large part of this year's harvest has been sold to livestock farmers.
Hamed Ghadermazi said: "Wheat farmers have been forced to sell their harvest to livestock farmers in order to make up for their expenses."
He added: "The government is offering farmers 420 toumans a kilo which is much lower than their costs."
He went on to add that each kilo costs wheat farmers 500 toumans, so they are opting for the relatively generous offer from livestock farmers of 470 toumans per kilo.
Wheat production in Iran has fallen due to consecutive droughts. According to Ghadermazi, while the wheat farmers' costs have risen by 15 percent, the price for wheat has remained the same.
He warned that the lack of rain coupled with the current situation may lead to a shortage of wheat for bakeries.
In 2004, Iran announced that it has become self-sufficient in providing for its domestic wheat market; however, two years later it once again had to rely on imports due to a lack of rain and shortcomings in the management of water containment.
Iran imports wheat from the U.S., Russia, Germany, Canada, Brazil and Australia.
... Payvand News - 07/29/12 ... --