Analysis by PMOI/MEK
Iran, November 30, 2020—A broken economy and the intensifying Covid-19 outbreak is putting immense pressure on the impoverished Iranian society. According to the state-run media on November 28, the consumption of chicken has decreased by 70 percent. Many people can only afford to buy the usually disposed parts of chicken, such as the legs, gizzard, and liver.
“With the rising price of chicken in the last twenty days, the consumption of chicken legs, gizzard, and liver has increased threefold,” said Mehdi Youssef Khani, head of the Poultry and Fish Traders Association in an interview with the state-run ILNA news agency. “Buying chicken is beyond the purchasing power of a high percentage of the population,” Khani added.
The people are facing a wave of skyrocketing prices of the most basic goods. This is while the cabinet of regime president Hassan Rouhani constantly claims being in control of rising costs. In his recent remarks, regime supreme leader Ali Khamenei acknowledged the intense pressure on the people. “The people's livelihoods are really in a dire situation,” Khamenei said.
A glimpse at the widespread rising of prices
But while Khamenei and Rouhani both mentioned the rise of prices, why are prices of goods still running an ascending course?
The state-run Tasnim news agency reported on November 22 the rise of the milk price, ten kinds of dairy products, butter, four oil products, and four meat products.
“While we expected the government to take measures to decrease the price of goods, it is issuing permissions to raise prices of basic goods and is setting a competition between vendors. Especially in this economic situation to decrease the pressure on the poor, the officials seek competitoin in the market with prices hike,” Tasnim wrote.
On November 22, the state-run Channel 2 television network quoted Mohammad Reza Bani Taba, spokesperson of the Dairy Industry Association, as announcing a 50-percent increase in the price of milk.
In addition to official announcements, the regime also unofficially increases prices. On one hand, the regime needs to increase the price of goods to cover its budget deficit at the expense of the people. But on the other hand, it is extremely worried about the resurgence of nationwide protest such as the uprising that took place when it raised the price of gasoline in November 2019. Therefore, the regime increases prices secretly and without any official announcement.
This has been the regime’s tactic for many years, using such tactics to raise the price of electricity, water, and gas. And now, it has set its sights on the price of bread. Last month, the regime increased the price of flour and reduced the quota of bakeries to justify increasing the price of bread across the country.
Three weeks ago, Khamenei said in remarks that there is no justification for the increase in prices. But he is only shedding crocodile tears and his only concern for the current situation is to prevent the explosion of public outrage.
If Khamenei is really concerned about the people’s livelihoods, why isn’t he taking any measures to lift the pressure off the people? It is no secret that Khamenei oversees a vast economic empire that is worth hundreds of billions of dollars and has control over various sectors across Iran. Yet, every government body that is directly or indirectly overseen by Khamenei is involved in raising the prices of goods and services and making life more miserable for the people. One example is the “market regulation task force,” which is supposed to control prices but increased the costs of 20 basic goods in one day. The effect of government corruption can be seen in other sectors such as housing and agriculture, where government-owned firms are making huge profits at the expense of the impoverished and hardworking segments of the society.
The only valuable argument for these insane skyrocketing prices of basic goods is that the regime has a corrupt and broken economy in hands of looting officials in power. The real problem lays in the mullahs’ establishment. As long as they are in power, people’s misery and suffering will continue.
