IR credit grrengrocer CC Kamyar Adl Tajrish Tehran

A greengrocer's shop in the Tajrish district of Tehran (Photo: Kamyar Adl, Creative Commons)

The likely prospect of Iran coming in from the political cold following last year's appointment of a more moderate president, Hassan Rouhani, and the apparent confluence of its own geo-political aims with those of the western world means that the temperature could soon be rising as far as commercial prospects in the country's fruit and vegetable business are concerned.

The journey from pariah to partner might be a long one, but commentators within investment circles are already turning their attention to the potential opportunities Iran might offer in industries including fresh produce and grocery.

As a potential supplier, Iran is like a coiled spring. '[It is] the largest fruit grower in the Middle East-North African region and a top ten provider of agricultural products in the world,' writes Fraser Dennis of the Persian Opportunities Group, an organisation focused on exploiting commercial opportunities in the country when economic sanctions are relaxed.

'Despite suffering from very low productive efficiency, the country remains the largest producer of pomegranates and pistachios in the world, second in dates, third in cherries and figs and top ten in oranges, grapes and many other fruits.'

Among the fresh produce companies thought to have already made significant investments in Iran are prominent industry players in the Middle East fresh produce trade such as Unifrutti, Fresh Fruits Company and Fresh Del Monte, although these and other companies tend to be particularly tight-lipped when it comes to discussing their activities in the country.

With a population of 80m largely dominated by young, well-educated workers, Iran could well develop a large appetite for international consumer goods as and when trade restrictions fall.

Alongside state-owned retail chain Etka and other Iranian operators Refah and Shahrvand, the Carrefour-owned Hyperstar Market chain is reportedly preparing to expand, while Migros Turk has long been rumoured to be considering a move into Tehran.

'It is still too soon to expect great changes,' says one importer, 'but it seems that provisions are being made to facilitate customs and trade. The fact that the US and Iran are set to take part in negotiations that could potentially end US-led sanctions makes people hopeful of a better economic future.'