In 2013, Arseh Sevom conducted research into the impact of sanctions on Iranian society. This information is relevant again in the wake of the United States’ unilateral pull out from the the Joint Comprehensive Plan of Action (JCPOA), known more commonly as the Iran deal. The US administration has stated that it will reinstate “severe sanctions.” Here is an overview of what we learned about the real effect of sanctions.

The State of the Iranian Family

What is true of war is true of the sanctions regime as well. The brunt of the suffering falls on women and children and the most vulnerable in society. They lose their incomes, their homes, their access to life-saving medication. Indicators show that when the economy falters, Iran’s women lose hard-won gains in education and are encouraged to marry younger.

Crazy inflation from 2002-2013

Currency flight and bad economic policy led to a decades long decline in the value of the Iranian rial. In 1979, 71.46 rials was equal to one US dollar. In 2103 the cost of $1 was closer to 30,000 rials. In 2018, the cost of $1 is more than 42,000 rials. Money can be abstract, though. That’s why we took a look at what the currency devaluation meant in terms of food, education, and healthcare.

In 2012, 50% of Iranians reported having insufficient funds for food and shelter. The price of rent had increased 517.3% from 2002-2012.

In 2002, a person could have purchased more than 800 bottles of milk for the price of one in 2012. By 2012, the price of dairy had risen by nearly 817%.

The price of vegetables and legumes had increased 2166.8% since 2002. The price of fruits and nuts had risen by 935.8%.

By 2013, the price of poultry and meat in Iran had gone up 842.1%. In 2002, a family in Iran could have purchased more than 800 chickens for the price of one in 2013.

From 2002-2012, the cost of an education increased 235.8%

Clothing and shoes went up 426.2%

[Source: Consumer Price Index Report – Iran[fa]. Iran Statistical Center. http://amar.ir]

Crushing unemployment and under-employment

Unemployment and under-employment have long been problems inside Iran. Sanctions targeting Iran’s auto industry only made the situation worse. More than 110 companies in the auto sector closed. This left at least 120,000 Iranians out of work. The sanctions also left 11,000 French nationals jobless.

If you think that’s bad…

Pollution resulting from sanctions against refined petroleum contributed to record-lows in air quality all over Iran. It might seem strange that one of the largest petroleum exporters in the world does not have the capacity to refine its own petroleum, but it’s true.  In 2010, a US amendment to the 1996 Iran Sanctions Act prevented Iran from importing refined petroleum.
That did not keep drivers off the road. Iran’s home-refined petroleum turned out to be a bit like its homemade vodka – stronger than it needed to be.

In 2009, Tehran saw 36 days of poor air quality and 1 day of dangerous air quality. In 2010, there were 95 days of poor air quality and 1 day of dangerous air quality. In 2011, the number of days of poor air quality increased more than 100% to 209 days. The number of dangerous air quality days went up 300% to 3.

In 2012, Ahwaz was the most polluted city in the world.  Sanadaj and Kermanshah also made the top 10 list. In 2017, Zabol in Iran is the city with the worst air quality in the world.

On one day in 2013, more than 3000 people were hospitalized in Ahwaz because of respiratory problems.

And speaking of respiratory problems, let’s see what happened in the healthcare sector as a result of sanctions.

Healthcare

On paper, institutions inside Iran should have been able to transfer money to pay for items that were not sanctioned. In practice, banks were (and are) not willing to risk doing business with Iran. As a result many suffer and die because of lack of access to needed medication. From mid-2012 to mid-2013 the cost of healthcare rose by 176%. Over the same time, the costs of radiology increased from 500-800%.

In 2013, Asthma inhalers had become so scarce, that pharmacists would only replace them when the old one was returned. In addition to asthma and COPD medication, several other drugs were in short supply.  This included insulin, some cancer treatments, drugs to treat Thalassemia, and the flu vaccine.

[Drugs in short supply: Progesterone, Amiodarone, Insulin, Albumin, Aminofilin, Furosemide, Desfarel and Deferoxamine, Seroflo, Atrovent, Seretide, Lomustine, Cytarabine, Doxorubicin, Fluorouracil.]