Iran Nuclear Program
In November 2011 the International Atomic Energy Agency reported that it had “serious concerns regarding possible military dimensions to Iran’s nuclear program”. Iran’s Central Bank was sanctioned and the European Union has imposed an embargo on Iranian oil. Right after Iranian President Mr. Mahmoud Ahmadinejad announced that he will close the Strait of Hormuz if EU persists on its planned oil embargo. Iranian people get into trouble because 50 to 70 percent of the government’s revenue comes from oil and petrochemical exports and any foreign financial institutions doing business with Iran will be penalized.
Many people believe that sanctions failed. It brought food shortages, hoarding and dying up of investment. For example “it pushed the price of chicken up 30 percent over the past week alone, compared to $2 before sanctions were imposed by western governments as a cause of Iran’s continuing nuclear program. The Iranian government has attempted to offer discounted chicken, which creates lines of up to 14 hours in some Iranian cities. It is a fact that the main agricultural crops of Iran are sugar, oil seeds and tea. According to Mr. Ahmadinejad’s speech in the Iranian Parliament, the commerce ministry was asked to increase the imports of the basic commodities including sugar so that if Iran is sanctioned, they will not face serious problems, then “the tariff of sugar went down sharply. The result is instead of 500,000 tons of import, they had 2,481,000 tons of sugar imported into the country. Consequently, among 32 sugar companies, eight of them are shut down then the rest instead of working for 5 months in a year they only work for 40 days in a year. “The agriculture of sugar beet totally got destroyed and they have planted potatoes instead. The result is that agriculturists have many potatoes now so this problem made Mr. Ahmadinejad to buy
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