Page 65 - IRANRptOct22

Value of Iran’s mobile phone imports drops by fifth amid rumours of blocked shipments
and more than 11mn fixed lines.
The figures also showed that the number of registered SIM cards in Iran stood at 208mn. Biggest mobile operator MCI had 75.5mn active SIM cards. Second largest MTN Irancell had more than 60.7mn active SIM cards and third largest Rightel nearly 5.3mn.
CRA’s information also showed that fourth generation (4G) internet coverage had expanded to nearly 36,000 base transceiver stations (BTSs) sites in Iran, while 3G internet was available via 40,000 BTS sites and 2G via around 45,000 BTS sites.
The value of mobile phone imports into Iran dropped 19.1% y/y to $970mn in the first four Persian calendar months (March 21-July 22), according to the country’s trade association of mobile phone importers (CPMA).
There is rife speculation on the market that officials are limiting imports of high-end smartphones. Given South Korea’s compliance with US sanctions 0n Iran—which to Tehran’s irritation has resulted in the freezing of tens of billions of dollars owed to Iran for oil imports in Seoul bank accounts—there are hardliners in the Islamic Republic who appear to have persuaded the government to squeeze the market share of South Korean electronics giants such as Samsung. Rumours that restrictions are also applied to imports of technology from American big-hitters including Apple Inc have long been in circulation. Such import-throttling moves would also assist officials driving for more industrial localisation and related import replacement market strategies, while they would also be in line with pressure to take a cautious approach to expending Iran’s FX revenues on what can be deemed non-essential goods. The statistical data also showed that in the assessed period, short of 4mn mobile phones were imported into Iran versus more than 6mn in the same four-month period a year ago. Nearly 6% of the exports were mobile phones that cost more than $600.
Authorities have not publicly acknowledged the existence of the rumoured limitations on imports, but mobile importers in the country of 85mn have pointed to difficulties they have encountered in obtaining government-subsidised FX to pay for cargoes.
9.1.8 Healthcare sector news
Prices of essential drugs ‘quadruple in Iran amid move to cut major subsidy’
Prices of some essential drugs have reportedly more than quadrupled in Iran amid plans announced by the cash-strapped government to end a major subsidy.
Skyrocketing prices of pharmaceuticals were likely to surge further when the government officially withdraws the subsidy, a prospect that has triggered alarm and anger in Iran, RFE/RL reported.
In 2018, then-president Hassan Rouhani brought in the subsidy to provide billions in subsidised dollars for Iranian manufacturers to import shipments of essential food and medicine. The objective was to control prices even though the Iranian rial was severely depreciated in the wake of the US reinstating swingeing sanctions against Tehran. There is now anxiety that the ending of the subsidy will cause Iranian drug companies to hike prices.
"Medication is not something you can live without," a Tehran resident who did not want to be named told RFE/RL's Radio Farda. "Many people may not be able to afford medicine anymore. But they will be forced to buy them at any price just to save their lives."
65 IRAN Country Report October 2022 www.intellinews.com