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New Market Research Report: Iran Freight Transport Report Q3 2013

Fast Market Research recommends "Iran Freight Transport Report Q3 2013" from Business Monitor International, now available


Boston, MA -- (SBWIRE) -- 08/14/2013 -- Our outlook for the Iranian freight transport sector is gloomy for 2013, on the back of the continued issues presented by Western sanctions, imposed in a bit to halt the Islamic Republic's controversial nuclear development programme. We forecast that air freight volumes and container volumes at the premier port, Bandar Abbas, will fall just as the country's real GDP will endure a second consecutive year of contraction. We envisage road and rail freight volumes remaining positive, however, aided by Iran's transit role between East and West.

Headline Industry Data

- 2013 port of Bandar Abbas throughput is forecast to contract by 18.0%, but will average growth of 0.6% per annum to 2017.
- 2013 road freight volumes forecast to grow by 1.7% and are projected to average 5.6% over the forecast period to 2017.
- 2013 rail freight tonnes-km is forecast to grow by 1.2%, and is projected to average 2.1% growth per annum over the forecast period to 2017.
- 2013 air freight tonnes-km is forecast to contract by 3.2% and to average growth of 3.0% a year to 2017.
- 2013 total trade is forecast to experience a real contraction of 16.5% in 2013, followed by a return to growth of 8.0% in 2014, and averaging 1.8% to 2017.

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Key Industry Trends

Transit Trade Increasingly Important For Empty Coffers: BMI believes that transit trade and port development will become increasingly important to Iran in the coming years as a source of foreign income, given the increasingly stringent sanctions being placed upon the country as a result of its alleged nuclear weapons development programme. Investment by India in a port at Chabahar is the latest instance of this. Shahid Rajaie Port To Expand Cotton Capacity: The Iranian Port of Shahid Rajaie, or Bandar Abbas, is set to become the biggest cotton transit terminal for Central Asia, following the establishment of a private sector loading and offloading unit. The authorities have completed 3km of railroads and work on the remaining 3km is 40% complete, according to Ali Estiri, the head of the Ports and Shipping Office in Hormuzgan province.

New Port Opens At Astara: A new multi-purpose port has opened at Astara in the province of Gilan, Iran. The facility will handle commodities which are being transported from Kazakhstan and Turkmenistan to the Black Sea and Georgia. The overall cost of the port is estimated at US$85.6mn.

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