Agriculture ministry’s roadmap for price control; from supporting production to tackling overpricing
TEHRAN- Akbar Fathi, Deputy for Planning and Economy of the Ministry of Agriculture, wrote in a note about the ministry's roadmap for controlling prices, from supporting production to dealing with overpricing, which was published in IRNA and appears below.
Appreciating the clear, responsible, and hope-inspiring message of the respected President in supporting the staff of the Ministry of Agriculture, which acknowledged with a realistic view the round-the-clock efforts of the forces of this organization from the remotest border villages to the capital, it must be emphasized that these words for the great family of Agriculture Ministry are not merely an administrative appreciation, but a spiritual support and an additional responsibility to continue serving the people and protecting the country's food security.
The President's emphasis on the need to use all capacities to control prices and support people's livelihoods shows that the issue of food security and market stability is one of the government's main priorities, and the Ministry of Agriculture considers itself duty-bound to move in this direction with all its might.
The reality is that the market for agricultural products and basic commodities is an interconnected system of production, supply, transportation, distribution, storage, and supervision, and any disruption in one of these links can affect the final price of goods and people's livelihoods. Therefore, the solution for controlling prices is not limited to sporadic crackdowns or short-term measures, but requires comprehensive planning, inter-sectoral coordination, and continuous management of the chain from production to consumption.
On this basis, the first and most important priority of the Ministry of Agriculture is the sustainability and continuity of production; because as long as production does not continue steadily and economically in the country, market stability will not be sustainable either. Along this path, the timely supply of inputs needed for the agricultural, livestock, and poultry sectors is being seriously pursued so that producers do not face problems in supplying animal feed, fertilizer, seeds, pesticides, and other requirements. Also, removing production obstacles, facilitating administrative processes, reducing unnecessary bureaucracy, and supporting the working capital of activists in this sector are among the measures that can lead to a reduction in production costs and ultimately a lower final price for the consumer.
Today, farmers, herders, and producers are the front line of securing the country's food security, and it is essential that they have confidence that production is economically viable for them. If the producer operates in stable conditions, the market will also move towards calm. For this reason, targeted support for production is considered the most important tool for sustainable price control.
In the next step, smart market regulation and creating a balance between supply and demand will be pursued with greater precision. The Ministry of Agriculture, by utilizing strategic reserves, continuously monitoring the market, and carefully planning to manage the flow of goods, will try to prevent sudden fluctuations. In situations where some provinces, especially metropolitan areas like Tehran, due to high consumption volumes, depend on the supply of goods from other provinces, extensive coordination is underway for the timely transfer of products and continuous supply of market needs so that temporary shortages do not cause price increases or market turmoil.
Another important axis is reforming and strengthening the distribution network and shortening the distance between producer and consumer. In many cases, price increases are more the result of numerous intermediaries and non-transparent distribution than of production shortages. Accordingly, the development of direct supply networks, the use of monitorable platforms, the strengthening of production and distribution cooperatives, and increasing the direct supply of agricultural products have been placed on the agenda. The shorter and more transparent the distribution path, the smaller the share of intermediation will be, and goods will reach the people at a fairer price.
Simultaneously, field supervision of the market and dealing with violations are being pursued more seriously. In this context, continuous cooperation and coordination have been established between the Ministry of Agriculture, the Ministry of Industry, Mining and Trade, the State Disciplinary Organization, the Chamber of Guilds, and other supervisory bodies so that the market is monitored daily and any hoarding, overpricing, disruption of the distribution network, and abuse of market conditions are met with legal and decisive action. Market stability will be sustainable when law-abiding economic actors are supported and violators have no opportunity to create turmoil in the market.
Alongside executive measures, information transparency also plays an important role in market management. Part of the market turmoil is caused by the dissemination of incomplete news, false information, or rumors that lead to emotional behavior in purchasing and distribution. Accurate and continuous information about the production status, reserves, the process of supplying goods, and market regulation plans can help increase public trust and reduce concerns.
Within this framework, on Wednesday, May 13th (23 Ordibehesht), through a letter signed by the respected Minister of Agriculture, the directives and emphases of the respected President regarding the need to control prices, ensure the stable supply of basic commodities, and intensify market supervision were communicated in the form of a directive to all Provincial Agriculture Departments. This directive emphasizes the mobilization of all provincial capacities, coordination with executive and supervisory bodies, and continuous monitoring of the market situation across the country so that necessary measures are implemented with greater speed and coherence.
Today, the entire Ministry Agriculture team, from experts stationed in villages and production centers to managerial staff and the respected Minister of Agriculture, stand alongside the people and producers, striving with all their capacity to maintain market stability, ensure food security, and reduce pressure on household livelihoods. We believe that with empathy, inter-agency coordination, support for domestic production, and continuous market supervision, we can manage conditions in such a way that the dear people of Iran endure the least possible pressure, and greater stability and calm prevail in the market for basic goods.
Government's supportive policy for domestic production continues: agriculture minister
The Minister of Agriculture stated that the government's supportive policy for domestic production and producers continues.
According to the Mehr News Agency, quoting the Ministry of Agriculture, Gholamreza Nouri, Minister of Agriculture, spoke on Saturday (May 16) at a brainstorming session with members of the Government's Information Council held at the Ministry of Agriculture. Referring to the experience of managing the basic commodities market during crisis periods, he said: "In certain periods, including wartime conditions and tense times, a set of decisions and management methods were adopted that can also be used in non-wartime periods today."
Stating that during the recent war, the President supported executive bodies with appropriate authority and field presence, he added: "During that same period, several meetings and direct presence of officials in the ministry and among operational colleagues helped improve coordination in market management."
The Minister of Agriculture emphasized: "Of course, the strategic directives of the late Leader of the Revolution regarding the necessity of 'working twice as hard in the field of basic commodities' played an important role in planning and preparing the agricultural sector for crisis conditions."
Referring to the forecasts and decisions made before the occurrence of some crises, he stated: "A series of planning meetings were held afterward, the effects of which were observable in the supply and distribution of basic commodities during critical conditions."
Nouri noted that the government has faced numerous challenges in various areas since the beginning of its term, saying: "In the field of basic commodities, there are various experiences from past periods; including the return of sanctions after the US withdrawal from the JCPOA, which caused tensions such as long queues in the chicken market in Tehran."
He stated: "At certain times, significant pressure was exerted on the market due to limitations in the supply of inputs, economic events, or social crises. However, in the current period, despite the persistence of some challenges, the supply situation of commodities has been managed with greater stability; to the extent that at certain times in Mazandaran province, despite massive population displacement, no noticeable commodity shortage was reported."
The Minister of Agriculture said that market calm is not the result of one individual or one institution's efforts: "Market stability is the result of synergy between institutions, cooperation among various sectors, and the government's intelligent and jihadi approach to managing the country."
He added: "The major part of ensuring food security rests on the shoulders of producers, farmers, livestock breeders, poultry farmers, villagers, and nomads, and the government's role is mainly that of macro-regulation."
Referring to the agricultural sector's movement toward knowledge-based and data-driven agriculture, Nouri said: "One of the main approaches is reforming the statistical system and making decisions based on accurate data, so that it is clear how much production exists, where, and with what needs; without accurate statistics, effective management in the agricultural sector is impossible."
Pointing to some structural reforms in the Ministry of Agriculture, he stated: "In recent years, efforts have been made to settle old accounts and debts and to carry out financial transparency in various sectors so that resource management becomes more precise."
The Minister of Agriculture referred to the implementation of the law resolving land use conflicts and said: "Under this law, approximately two million hectares of land have been released from natural resources in favor of farmers, and this process continues in some provinces."
He pointed to the development of "agricultural diplomacy" and "offshore farming" and added: "For the first time, some offshore agricultural products, including oil and barley, have been imported into the country, and several joint committees have been held with various countries."
Nouri noted the continuation of the government's supportive policy for domestic production and producers and said: "By establishing transparent supply and sales systems, farmers' products such as saffron are offered at appropriate prices without unnecessary intermediaries, and direct income returns to the producer."
He stated: "By reforming support policies, the incentive for production in the oilseed sector has increased, and pricing has been done in favor of farmers based on market mechanisms and cooperatives."
The Minister of Agriculture referred to the formulation of the "National Document for Justice-Oriented Development in the Agricultural Sector" and said: "This document is being implemented with the participation of universities and scientific institutions, and the issue of justice in appointments, distribution of inputs, and policies is being seriously pursued."
Referring to the development of monitoring systems and input distribution, he added: "The distribution of fertilizer and other inputs is carried out precisely and in a controlled manner across the country, and geographical distance has no effect on the level of access."
MA
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