Iran hikes dairy prices, intensifying economic strain on public
An Iranian shopkeeper stocks fresh milk bottles on the refrigerated shelves of a Tehran supermarket. File Photo
Iranian Agriculture Minister Gholamreza Nouri has announced a 20% increase in raw milk prices, adding to the mounting challenges faced by the Iranian public amid persistent inflation and economic difficulties.
The 64-year-old leader of Hezbollah, Hassan Nasrallah, was killed Friday in an Israeli airstrike on southern Beirut, 42 years after he became the representative of Iran’s ruler, Ruhollah Khomeini, in Lebanon at the age of 21.
“His eminence Sayyed Hassan Nasrallah, Hezbollah’s secretary-general, has joined his fellow great martyrs whom he had led for 30 years from one victory to another,” Hezbollah said in a statement.
Nasrallah’s death occurs amidst an escalation in the nearly year-long conflict between Israel and Hezbollah that intensified in September after Israel indicated it could no longer tolerate insecurity in its border region with Lebanon.
Hezbollah has been launching rockets, missiles, and drones into northern Israel in support of Palestinians in Gaza and Hamas, which is an allied Iran-backed militant group. In response, Israel has intensified its airstrikes and conducted targeted killings of Hezbollah commanders while threatening a broader military operation.
The past ten days marked the deadliest period in Lebanon since the grueling month-long conflict between Israel and Hezbollah in 2006.
Initially, thousands of pagers and walkie-talkies used by Hezbollah members exploded across various locations in Lebanon, resulting in scores of fatalities and nearly 3,000 injuries. Lebanon attributed the explosions to Israel, although Israel did not confirm or deny involvement. Nasrallah vowed to retaliate but he was killed before he could implement any counterattack plan.
Nasrallah was born on August 31, 1960, in Lebanon. His father was a fruit vendor, and he was the eldest child in a family of 11. His birth and childhood were marked by the conflicts between Israel and Lebanon. In 1974, Musa Sadr and Mustafa Chamran, two Iranian supporters of Khomeini in Lebanon, initiated the Amal movement, and Nasrallah joined the movement in 1975 at the age of 15.
At 16, he went to Iraq. In 1979, coinciding with the Iranian Revolution, Nasrallah completed his preliminary religious studies in Najaf. This period coincided with pressure from Saddam's government on Shia clerics. Nasrallah returned from Najaf to Baalbek, Lebanon.
After the 1979 revolution in Iran, Nasrallah met with Khomeini in 1981. Khomeini granted him permission to engage in religious and civil affairs. At this time, Nasrallah was only 21 years old.
In 1982, amid the Iran-Iraq War, Hezbollah was formed with the planning and support of the Islamic Republic. Tehran's propaganda apparatus presented this group as one influenced by the Islamic Revolution of 1979 in Lebanon from the outset.
Nasrallah joined Hezbollah at its inception. In 1989, around the time Ali Khamenei was selected as Supreme Leader, he traveled to Iran to study at the Qom seminary.
From the establishment of Hezbollah until 1991, Sobhi Toufaily was the secretary-general of Hezbollah. In 1991, the executive council of Hezbollah removed him from his position and replaced him with Abbas al-Musawi, Nasrallah's former teacher.
Sobhi Toufayli (white turban) with Hassan Nasrallah (black turban)
Musawi was the secretary-general of Hezbollah for less than a year. In February 1992, he was killed in an Israeli helicopter attack. The 31-year-old Hassan Nasrallah succeeded him in Lebanon.
Immediately after his appointment, Nasrallah traveled to Tehran and met with Ali Akbar Velayati, the then-foreign minister of the Islamic Republic. During this meeting, Velayati emphasized that the relationship between the Islamic Republic and Hezbollah was “fraternal” and would continue.
At the beginning of his work as secretary-general, Nasrallah managed to position Hezbollah as a political entity. After Hezbollah's participation in elections, he traveled to Tehran to meet Khamenei and presented a report on his political activities in Lebanon. Khamenei praised his political success and called for greater support for Hezbollah.
Nasrallah's trips to Tehran continued. After the relatively moderate Mohammad Khatami's won Iran's presidential election in the 1997, the relationship between the Islamic Republic and Hezbollah remained strong. In October 1997, a few months after Khatami's presidency began, Nasrallah was among his first foreign guests. In a meeting on October 13, 1997, Khatami expressed condolences for the death of Hadi Nasrallah, Nasrallah's eldest son, emphasizing the Islamic Republic's comprehensive support for Hezbollah and calling it a “symbol of resistance.”
On July 7, 2000, Nasrallah returned to Tehran again. During this visit, he also had a side event; at the invitation of Mustafa Moeen, the Minister of Science in the “reformist” government, he visited Tarbiat Modarres University.
Moeen presented honorary membership in the university's faculty to Nasrallah, saying, "It is the pride of our higher education system that we awarded our first honorary doctorate to Nelson Mandela and today we bestow honorary membership upon Sayyid Hassan Nasrallah."
Nasrallah's relationship with the Islamic Republic during Mahmoud Ahmadinejad's presidency remained strong and close, as it had been in the past. The year 2005 was a pivotal one for Nasrallah. Following the assassination of Lebanese Prime Minister Rafic Hariri, Hezbollah came under suspicion because Hariri had made efforts to limit the political and military power of Hezbollah.
Nevertheless, Hezbollah managed to succeed again in the parliamentary elections. After this victory, in June 2005, he traveled to Iran.
During his visit to Tehran, Nasrallah met with Khamenei. This was Nasrallah's last official trip to Tehran. Once, in 2021, reports emerged about his secret visit to Tehran, but this trip was never confirmed.
Hassan Nasrallah meeting Ali Khamenei in Tehran
After Nasrallah stopped appearing in public, he began to express Hezbollah's views through video speeches.
Reaction to the Green Movement
In 2010, a year after the Green Movement protests in Iran—where one of the slogans was "Neither Gaza, nor Lebanon, my life is for Iran"—videos of Nasrallah surfaced. In one of them, he emphasized the religious ideology of the Islamic Republic, stating, "In Iran today, there is no such thing as Persianization or Persian civilization. What exists in Iran is Islamic civilization. What exists in Iran is the religion of Muhammad."
Nasrallah continued by praising the leaders of the Islamic Republic, stating, "The founder of the Islamic Republic was an Arab father and the son of the Prophet of God, Muhammad, may God bless him and his family. Today, the leader of the Islamic Republic, Ali Khamenei, is the son of the Prophet of God."
In the second video, Nasrallah addressed the protests following the 2009 elections, stating, "Some dreamt of the end of the Islamic Revolution and the overthrow of the Islamic Republic, but these dreams are mere illusions. The Iran that many have exaggerated recent events about—I emphasize—remains strong. Its system, government, people, and elites are blessed with wise, courageous, compassionate, and capable leadership, under the historic guidance of Ali Khamenei."
Funding from Iran
In a speech in July 2016, during the peak of President Hassan Rouhani's government's efforts to re-establish relations with the West, Nasrallah pointed to financial support from the Islamic Republic, stating, "The budget, expenses, and weapons of Hezbollah come from the Islamic Republic."
He continued, "As long as Iran has money, it means we have money." These remarks by Nasrallah created difficulties for the Rouhani government at that time, both domestically and in terms of its image around the world.
On Mahsa Amini
About two weeks after the killing of Mahsa Aminifor mandatory hijab, Nasrallah reacted to the protests in a speech on September 30, 2022. He said, "Due to the ambiguous death of Mahsa Amini, Western countries have made a fuss, while Tehran has emphasized that it will conclude the investigations without any bias."
Nasrallah pointed to the explosion of a Shiite educational center in Afghanistan, saying, "More than 50 innocents were martyred, yet no one made the slightest noise, but regarding Mahsa Amini's death, this incident has been widely exploited."
Following the death of Hassan Nasrallah, the Secretary-General of Hezbollah in Lebanon, reactions have emerged both from within Iran and beyond.
Many social media users and viewers of Iran International expressed joy at his passing, with some even wishing the same fate for Supreme Leader Ali Khamenei, the autocratic ruler of Iran.
Khamenei announced a five-day period of public mourning for Nasrallah. However, videos sent to Iran International reveal a starkly different reaction from some Iranians, who were seen celebrating Nasrallah's death by distributing pastries in the streets and even raising toasts. In one video, a citizen handing out pastries mockingly addressed Khamenei, saying, 'It seems these people are very close to you. You’re hiding today, but what about tomorrow?'"
In other messages shared with Iran International, Iranians directed scorn towards Khamenei and Hezbollah. "You took from the mouths of Iranians and gave to Hezbollah. Now, with the death of Nasrallah, your dreams have been shattered," said one citizen. Another remarked, "Nasrallah was just a puppet; the head of this octopus is in Iran."
A different one addressing Khamenei, mentioning all his prominent allies who have been assassinated in recent years: "Take a look—Nasrallah, Haniyeh, Qasem Soleimani, Raisi, Zahedi. What else do you want? What happened? How much of your bluster is only for the people? You only know how to bully your own people... Soon, your turn will come too." Another added, "Not only was your Nasrallah killed, but billions of dollars of the Iranian people’s money were wasted. Khamenei, I foresee a day when they will come for you as well."
Political commentator Ali-Hossein Ghazizadeh told Iran International, "History has shown that anyone who tries to save Hamas not only fails, but also risks being pulled into collapse alongside it."
Morteza Kazemian, another commentator, noted that Nasrallah’s death marks a new era for the Islamic Republic, where it must either “abandon its ambitions or adopt a pragmatic stance regarding Israel.”
Meanwhile, in central Tehran, a group of pro-government protesters gathered, carrying posters of Nasrallah and Palestinian flags, chanting slogans like “Death to Nasrallah's enemy.” Some demonstrators also warned of Israel's destruction, with one protester saying, "We have heard the message clearly (the killing of Nasrallah). Israel will be destroyed, Israel is finished for sure, the oppressor Israel will go."
A banner displayed on a building read in English, Farsi, and Hebrew, “We will seek revenge. You can't imagine where or when." Another protester remarked, "It is certainly the fault of Islamic countries because, as the Supreme Leader said today in his message, this rabid dog is taking advantage. If we don't attack, it will want to invade all Islamic countries. Hopefully, with the help of God, we will unite, and we'll see Israel's destruction very soon."
University professor Majid Nasiri, speaking to AFP during the protest, said that “Through the martyrdom of Sayyed Hassan Nasrallah, I sensed we were getting closer to the destruction of the Zionist regime because more martyrdom makes people of the world more aware and more hateful towards the Zionist regime.”
Another protester, Mahboubeh Ansari, told reporters, "I am here to slap Israel in the face and say we are here to support Palestine, we support Sayyed Hassan Nasrallah."
Videos released on social media also show that a group of government supporters gathered in front of Ferdowsi University of Mashhad, chanting slogans. Using loudspeakers, they repeated the words of Ayatollah Khomeini: "Shed the blood, and our nation will become more awakened."
A group of Shia seminary students also staged a rally in Qom, symbolically wearing shrouds as a display of their readiness for martyrdom in response to Nasrallah's death.
In a message to Iran International, one individual sarcastically urged Khamenei to send those who have registered to fight against Israel sooner, so "we can have even more joy."
Another citizen condemned Nasrallah as a “terrorist” and expressed hope that a similar event would occur in Tehran, “bringing happiness to many.”
Additionally, Syrians were also seen celebrating the death of Nasrallah, with videos circulating online showing people in Syria distributing sweets on Friday night.
Iran confirmed that Brigadier General Abbas Nilforoushan, the deputy commander of the Revolutionary Guard for operations, was killed alongside Hezbollah leader Hassan Nasrallah in Israeli airstrikes in Beirut on Friday.
The Head of the Judicial Organization of the Armed Forces of Iran confirmed Nilforoushan’s death on Saturday, saying: "We consider the pursuit of justice for this martyr to be the right of the Islamic Republic of Iran under international legal conventions."
Born in Isfahan in 1966, Nilforoushan began his military activities in the 1980s joining the Basij and later the IRGC, holding various positions including Deputy Commander of the IRGC Ground Forces for Operations.
Iranian media outlet Student News Network (SNN) described Nilforoushan as a “key figure” with extensive battlefield experience who played a crucial role in supporting the “Resistance Axis, including Hezbollah in Lebanon and Palestinian resistance groups,” helping to strengthen their capabilities against Israel.
Following the assassination of IRGC General Mohammad Reza Zahedi in an Israeli attack on the Iranian consulate in Damascus in April, Nilforoushan “assumed command of the Lebanon front,” according to the Tehran-based Fararu website.
Nilforoushan was killed in an Israeli attack on a meeting between Nasrallah, top Hezbollah members, and IRGC commanders. In a statement about Nasrallah's death, Khamenei said that the meeting was focused on designing a military plan to counter the recent wave of Israeli attacks in Lebanon.
'Sanctioned for suppressing protests'
Nilforoushan was sanctioned by the United States in October 2022 in a round of sanctions targeting Iranian officials involved in the crackdown on nationwide protests, which erupted after the death of Mahsa Amini while in police custody for allegedly violating the Islamic Republic’s mandatory hijab laws.
In a statement, the US Treasury notedthat Nilforoushan “played a critical role in arresting protest leaders during previous protests” and described him as an experienced IRGC commander who had also served as a military adviser during the Syrian Civil War.
Amid Iran’s nationwide protests, Nilforoushan took to social media with a message that appeared to blame the US for stoking unrest, saying: "Listen, Mr. Biden, this is not a country that can be overthrown by media operations. To bring down Iran, you would have to pass through a sea of blood, and you do not have the capability to cross it."
Iran's Parliament has blocked the resignation of a lawmaker set to join Masoud Pezeshkian’s cabinet as deputy, sparking speculation over whether Pezeshkian will fight to keep the Sunni lawmaker in his ranks.
Abdolkarim Hosseinzadeh would have been the first Sunni cabinet member in the history of the Shia-majority Islamic Republic if the hardline-dominated parliament had let him leave.
Iran's Sunnis say they have been systematically blocked in the past forty-five years from holding higher government positions due to their religion.
Hosseinzadeh submitted his resignation to the Parliament on September 25 while Pezeshkian was in New York to attend the UN General Assembly. The resignation was put to vote on the same day. 129 of the 247 lawmakers present at the session, voted against the resignation, and five abstained.
This was the first time the Parliament ever objected to a resignation for joining the government.
In an interview with CNN’s Christine Amanpour Thursday before leaving New York, Mohammad-Javad Zarif, Pezeshkian’s Strategic Affairs Deputy, referred to the appointment of a Sunni, and four women, to the cabinet as one of the biggest achievements of the Pezeshkian administration. However, Zarif did not mention Parliament’s vote.
In a meeting with expatriate Iranians in New York on Thursday Pezeshkian also said the appointment of two Sunni Kurds, one as a deputy and the other as a province governor, was an unprecedented initiative his government had taken but made no reference to the Parliament’s objection.
“The issue surrounding Abdolkarim Hosseinzadeh’s role in the cabinet is expected to be resolved upon the President’s return to Tehran, following his remarks to expats in New York, where he emphasized that Hosseinzadeh is viewed as a deputy president,” the conservative Tabnak news website reported Thursday.
Lawmakers opposing the resignation did not raise Hosseinzadeh’s religion during the debate, instead arguing that their decision was aimed at ensuring his constituents wouldn’t lose their representative.
Pezeshkian appointed the reformist Hosseinzadeh who has three times been elected to the Parliament from a predominantly Sunni, Kurdish constituency in West Azarbaijan Province as his Rural Development, Deprived Areas, and Nomads deputy in late August.
Some lawmakers and activists have criticized the Parliament’s decision and even urged Hosseinzadeh to submit another resignation letter or suggested that Pezeshkian appoint another Sunni lawmaker in his place.
In his Friday sermon in Zahedan, capital of the province of Sistan-Baluchestan, Mowlavi Abdolhamid, a leading Sunni cleric, criticized the Parliament’s objection to Hosseinzadeh’s resignation and barring his way to entering Pezeshkian’s cabinet although resignation of other lawmakers to join the cabinet had always been accepted before.
Abdolhamid who wields much influence among the large Sunni, Baluchi population of the province and other Sunni-populated regions has repeatedly criticized the government for discrimination against Sunnis.
Ali-Akbar Ranjbarzadeh, a member of the Parliament’s presiding board, pointed out in an interview with the Iranian Labour News Agency (ILNA) Friday that in similar circumstances three years ago, the Parliament had accepted the resignation of hardliner Amir-Hossein Ghazizadeh-Hashemi when Ebrahim Raisi appointed him as his deputy.
“The Parliament was subservient to the administration during Raisi's time. Were you worrying about people’s votes? No! Your problem is something else!” journalist Mohammad-Hassan Najmi protested in a tweet while reminding that not one but three lawmakers were allowed to join Raisi’s cabinet.
“Not to accept [the resignation] of a Sunni person was not decent ... After all, he represented hope to the Sunni population and could bear a very positive message to them,” he said.
The parliament's opposition conveys to the Iranian Sunni community that they will continue to be blocked from higher management positions and impede Pezeshkian from carrying out his campaign promises of creating a “national unity” government, the reformist Ham-Mihan newspaper wrote Thursday.
Reformist lawyer and activist Minoo Khaleghi and some others have argued that based on an interpretation of the Constitution by the Guardian Council in 1981, which has not been annulled in later years, acceptance of a government position by a lawmaker can automatically be considered as resignation and no official resignation is required.
Iran's currency, the rial, has dropped 3.3% in value since last week, when Israel launched strikes against Hezbollah in Lebanon, raising concerns about a broader conflict involving the Islamic Republic.
The rial was trading at 612,000 to the US dollar on Saturday, compared with 592,000 on September 20, when Hezbollah began to suffer mass casualties as a result of exploding pagers and walkie-talkies. As Israeli air strikes intensified in Lebanon earlier this week and culminated in the reported killing of Hezbollah leader, Hassan Nasrallah, the rial dipped further.
Since 2018, when the US withdrew from the JCPOA nuclear deal and imposed sanctions on Iran’s oil exports and international banking, the rial has lost 15 times its value. In the past three years alone, it has depreciated by 50%.
This sharp devaluation has coincided with soaring inflation, now hovering between 40-50%, pushing tens of millions of Iranians into poverty and creating a potentially volatile public mood.
The Iranian government has been quietly signaling an interest in new negotiations with the West this month to reduce sanctions, but so far, the US and its European allies maintain that only a genuine change in behavior will lead to talks."
The new price, set at 18,000 tomans per kilogram ($0.30), follows a directive from First Vice President Mohammad Reza Aref and comes amid rising inflation and escalating living costs for Iranian households.
The Market Regulation Headquarters approved the price hike last week, raising the price from 15,000 tomans ($0.25) to 18,000 tomans ($0.30), although the decision was delayed by a week. This increase has sparked concerns across the dairy industry, particularly about its impact on related products.
Unlike in the US or the EU, where market forces and industry decisions primarily drive milk prices, in Iran, the government, through officials like the Minister of Agriculture, directly intervenes to set and adjust prices, reflecting the state's significant role in managing essential goods within the economy.
With the minimum wage in Iran at around $120 per month, many families, particularly those with children, are finding it increasingly difficult to afford basic living expenses, as much of their income is consumed by rent and other necessities.
Ali Ehsan Zafari, Chairman of the Dairy Products Union, emphasized that the most significant price increases will affect products like cheese, while the price of milk itself will see a more modest rise. Zafari also noted that overall dairy product prices are expected to increase by around 25%, further exacerbating an already declining trend in dairy consumption.
According to Mohammad Reza Bani Taba, spokesperson for the Iranian Dairy Products Industry Association, Iran’s per capita dairy consumption has dropped to less than 70 kilograms annually. This is a sharp decline from the period before 2010, when per capita dairy consumption in Iran ranged between 100 and 130 kilograms.
As milk prices rise, further declines are expected, with potentially severe consequences for both the livestock and dairy sectors. Zafari warned that continued price increases could drive further reductions in dairy consumption, putting additional strain on the already struggling industries.
Farmers have also voiced their dissatisfaction, arguing that the last price adjustment in May 2023 was insufficient to cover their rising costs. Mojtaba Ali, CEO of the National Cooperative Union of Iranian Dairy Farmers, stressed that the price should have been increased earlier in the year to better reflect the escalating expenses faced by farmers.
Farmers, he noted, have suffered financial losses for the past seven months due to low milk prices, despite the inflationary pressures that have affected the agricultural sector.
Meanwhile, the cost of basic goods like bread has surged sharply. The Tehran Traditional Bakers Union reports that the price of lavash has risen by 40%, while the cost of sangak has increased by 66%. The Ministry of Interior has approved these hikes, which add to the financial strain on Iranian households. With one in three Iranians now living below the poverty line, many families are struggling to make ends meet.
As the new school year begins, parents are facing additional financial pressures, with stationery prices rising by 35% and school bus fees increasing by 45%.