Iran is the largest producer of saffron in the world and in addition, the bulk of Iran’s saffron product is exported.
As with gold, the price of saffron is very expensive
Why saffron is expensive and what factors affect the saffron price?
What makes saffron so expensive?
Saffron price and saffron quality are two important factors. So, Saffron with bad quality leads to loss of real properties of saffron. Saffron especially Iranian saffron is widely used as a spice and as a coloring and flavoring agent in the preparation of foods and cosmetics. Iranian saffron, in addition to its quantitative, accounts for about 90% of global production, it is a very qualitative aspect. But what makes saffron so expensive?
In fact, from every 100 to 200 thousand saffron plants, about 5 kg of saffron flower is obtained. which weighs 5 kg of fresh saffron after drying to a kilogram. Furthermore, harvesting saffron requires a lot of physical labor to remove flowers from the ground and bring them to the final package. The yield of saffron is really low. With all these reasons, Saffron is one of the most expensive spice in the world. Saffron contains several chemical components that are really expensive: picocrocin, crocin and safranal. They are the three main components or compounds responsible for the taste, color and smell of saffron.
Effective factors on saffron price
Climate characteristics
Climate characteristics are one of the factors affecting the saffron price in the market. Saffron grows in warm regions. Saffron onion is susceptible to frost and thus, in the event of cold weather due to the damage to saffron onions, The supply of this product in the market will be reduced and, as a result, its price will increase on the market. As a result, Saffron demands dry and hot climatic conditions. In addition, the wind is a bad factor that has a damaging effect on saffron quality. According to the special climate of Iran, in which water is a limiting factor in agricultural development, saffron is a suitable herb to be cultivated in arid and semi-arid regions, like North Khorasan, Fars, Kerman, and Yazd provinces.
Global demand for saffron
Iran is the largest saffron producer in the world and, in addition, the major portion of Iranian saffron is exported. Therefore, considering the issue, the most important factors affecting the saffron price are as follows:
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International demand for saffron
Saffron is in many countries as a luxury product. In the event of global crises and reducing the purchasing power of foreign consumers, demand for this product and its price will be affected.
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Customs Tariff Importing Countries for Saffron
Due to the fact that most of Iranian saffron is exported, the import tariffs of the countries of destination will greatly affect the price and export of saffron.
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Supply competitors in the market:
In general, customs policies, exports, export awards, guaranteed purchases, and even taxes affect the market and saffron price for Iranian saffron in the long run.
Why Sunexport?
It is clear that Iranian saffron has high quality. We present real Iranian saffron with suitable price. Saffron price is a determining factor for customers. Surely, we have the same sensitivities for our family and friends for others.
For more information, please contact us.