Iran's state purchasing agency the Government Trading Corporation of Iran (GTC) is tendering to buy 60,000 tonnes of Brazilian raw cane sugar in another sign that the country aims to boost stocks, European traders said on Thursday. Last week, trade sources said private importers in Iran had bought up to 250,000 tonnes of Brazilian raw sugar in the first purchases for months.
Traders said the GTC tender was for April 15-May 15 shipment and would close on March 14. Delivery was to Bandar Imam Khomeini or Bandar Abbas ports - two of the country's major cargo terminals. "This is the first we have seen from state buyer GTC this year and they appear to be boosting stocks," one trade source said.
Traders said before last week's purchases the last time Iranian buyers tapped the international market was in the third quarter of last year. Iran's annual raw sugar imports have averaged around 900,000 tonnes. The country's new year celebrations in March are a time of increased sugar consumption. Trade sources said the purchases were also likely to have been made to ensure there were sufficient stocks before the presidential election in May.
They said that private importers could still purchase further cargoes after Iran issued import permits for 400,000 tonnes of raw sugar earlier this year. International sanctions were lifted on Iran over a year ago after a nuclear deal was signed with world powers but Tehran continues to struggle with accessing international banking, which has affected its ability reap the full trade benefits. Last month, Ayatollah Ali Khamenei said Iran's President Hassan Rouhani must do more to improve the economy, in rare public criticism by the supreme leader.
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