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Iranian media report sharp product price increases despite no official hikes, with some dairy producers quietly raising prices in recent months. Industry officials cite a needed 35% rise due to production costs.

Data sent by viewers to Iran International show the price jumps, with the cost of a packet of cheese or a tub of yogurt in some areas exceeding the entire daily budget of a household. The average monthly wage in Iran is roughly $150 at today’s exchange rate.

Many respondents said they no longer buy dairy products, with some reporting they have gone months without them. In their messages, families said they now focus only on “essential and cheap” purchases.

“The price of yogurt we use has gone up by 40,000 tomans (about 55 US cents) in just one week,” a resident of Mahallat, Markazi province, told Iran International. A consumer in northern Gilan province said prices there were even higher than in Tehran.

One viewer wrote: “I don’t buy industrial cheese anymore because half the packet is water.”

In several reported cases, a tub of yogurt now costs about 70 percent more than a few weeks ago.

Another reported that Lighvan cheese – among Iran’s finest -- had jumped from 240,000 tomans (about $2.5) before the recent 12-day conflict with Israel to 600,000 tomans (about $6.5).

Iranian hardline daily Kayhan has criticized what it calls an unregulated surge in dairy prices and the lack of clear action from officials following a recent government-approved rise in the purchase price of raw milk.

“Within just a few weeks, milk, yogurt, cheese, and buttermilk have appeared on shelves with noticeably higher price tags — in some cases exceeding a 30% increase — placing the burden squarely on households,” it wrote.

According to the paper, industry representatives blame weak oversight and unclear policymaking for enabling opportunistic pricing, while experts warn that without consumer protections, the policy aimed at supporting livestock farmers has instead added pressure on ordinary Iranians.

According to Mohammadreza Banitaba, spokesperson for the Iranian Dairy Products Industries Association, per capita dairy consumption in Iran has dropped from around 100–130 kilograms in 2010 to below 70 kilograms today — less than half the 150–160 kilograms recommended by global health standards and far below consumption levels in developed countries, which often exceed 200 kilograms per person annually.

Declining quality

In addition to price hikes, consumers have complained about declining quality. One reported that a bottle of milk was delivered spoiled and “resembled yogurt.”

Another said that packaged cheese labelled as 400 or 500 grams turned out to be “half water.” Others reported milk spoiled before opening or tasted sour on purchase.

Some people linked spoilage to frequent power and water cuts. “Because of electricity outages, dairy products are not sold fresh and when we buy them, they are already spoiled,” one person told Iran International.

Producers call for 35% price rise

Industry representatives say higher prices are inevitable given rising costs. Ali Ehsan Zafari, head of the Dairy Cooperatives Union, told state-run Young Journalists Club earlier this month that the increase in raw milk prices had significantly raised production costs.

He said the price of raw milk had risen from 18,000 tomans per kilogram to 23,000 tomans (from about 20 to 25 cents). According to Zafari, “the overall increase in fat and milk prices is more than 20 to 25 percent, and therefore dairy prices should increase by 35 percent.”

Zafari urged the Ministry of Agriculture and the market regulation authorities to quickly set “logical prices” for dairy to prevent “chaos in the market.”

“Given that people’s salaries have not increased, we agree that this price increase should not happen. But when raw materials become more expensive, production units should not suffer losses,” he added.

Silent price hikes in recent months

The government’s official news agency IRNA reported in July that several dairy companies had quietly raised prices in multiple stages without official approval in recent months, even as cattle farmers complained that the official raw milk purchase price was below expert estimates.

According to the Ministry of Agriculture’s livestock affairs division, Iran produced 11.7 million tons of raw milk last year and aims to exceed 12 million tons this year, with more than nine million tons for domestic consumption and 2.4 million tons of dairy products exported.

Both Iranian media and industry officials say higher prices have reduced consumption among middle- and low-income households, raising concerns about public health. Dairy producers argue that without further price adjustments, the industry’s survival is at risk due to higher costs for feed, transport, labor and energy.

Livestock farmers say increasing the raw milk purchase price is unavoidable if their sector is to survive.

Purchases fell to about 1.2 million barrels per day, nearly 30 percent lower than in June and slightly below the year-ago level, the firm said.

June surge fades

The pullback follows a sharp rise in June, when shipments reached more than 1.7 million barrels per day, the highest since March, according to Vortexa.

Emma Li, senior market analyst at Vortexa, said sellers accelerated deliveries ahead of possible supply disruptions linked to the brief Iran-Israel conflict. She said the rush reflected a strategy to front-load supplies amid uncertainty about further attacks.

Independent refiners, known as “teapots,” drove much of the June demand but have since slowed restocking, Bloomberg quoted Kpler senior crude analyst Muyu Xu as saying. Xu said demand from teapots is “far from robust” after their higher imports in June and that some refiners face a tight crude‑import quota.

US sanctions pressure grows

The slowdown in shipments comes as the United States has stepped up enforcement of sanctions targeting Iran’s oil trade.

The US Treasury said last week it imposed measures against a fourth Chinese oil terminal alleged to handle sanctioned Iranian crude.

The announcement followed broader sanctions on more than 50 individuals, entities, and vessels tied to what the US Treasury described as a “shipping empire” connected to Hossein Shamkhani, son of a senior adviser to Iran’s Supreme Leader.

Discounted oil still flows

China remains the largest buyer of Iranian crude, which is sold at steep discounts to Brent and typically flows through private channels in defiance of US sanctions. Vortexa said in June that discounts averaged about four dollars per barrel below Brent futures, compared with two dollars per barrel below Brent futures in May.

Despite repeated US sanctions, CBS said China is believed to take up to 90 percent of Iran’s crude exports, much of it bound for teapot refiners.

Official Chinese customs data, which often shows negligible or zero Iranian imports, is due this week.

Outlook uncertain

Iran’s export capacity is constrained by aging oil fields, rising domestic demand, and low investment.

A confidential Iranian Oil Ministry report seen by Iran International said Tehran averaged 1.4 million barrels per day in oil and condensate exports to China in the first half of 2025, down 12 percent from last year.

Homayoun Falakshahi, senior energy analyst at Kpler, said even with sanctions fully lifted, daily exports would likely not exceed 1.7 million barrels.

An official from the Islamic Revolutionary Guard Corps (IRGC) in Tehran confirmed to The Telegraph on Monday that the IRGC has formally asked the Taliban for the list of nearly 25,000 Afghans.

The list, dubbed the “kill list” in British media was leaked in 2022 and contains the full names, emails, and phone numbers of people in Afghanistan who applied for relocation to the United Kingdom following the military withdrawal in 2021.

It includes personal data of Afghan soldiers, government employees, and their families, as well as around 100 British special forces members and intelligence operatives who had endorsed Afghan applicants.

A Taliban official told The Telegraph that since discovering the value of the list, the group has been working to locate and detain those still in Afghanistan, intending to use them as leverage in diplomatic pressure on the UK.

"Taliban leadership in Kandahar has also ordered officers in Kabul to arrest as many individuals as possible from the leaked document to use them as leverage in exerting diplomatic pressure on London," according to the report.

The Telegraph says the IRGC appears to have similar intentions, particularly with renewed nuclear negotiations and the threat of snapback sanctions looming over Iran.

Since the June 25 ceasefire between Iran and Israel, Tehran has accelerated the deportation of Afghan nationals from Iran, citing an inability to continue hosting large numbers of migrants and asylum seekers.

On July 25, senior Iranian diplomats met with counterparts from the UK, France, and Germany in Istanbul to discuss the path forward. They agreed to continue negotiations.

European governments are pressing Iran to resume full cooperation with the International Atomic Energy Agency (IAEA), including the reinstatement of inspections and other obligations. Following the war with Israel, Iran has moved to further limit cooperation with the UN nuclear watchdog.

Under UN Security Council Resolution 2231, any party to the now-lapsed 2015 nuclear agreement—including France, Germany, the UK, Russia, or China—can file a complaint accusing Iran of non-compliance.

If no progress is made on Iran's nuclear dossier by August 30, the so-called snapback mechanism can reinstate UN sanctions removed under the 2015 deal.

“We have made it clear to the United Nations and the Security Council that such a step is a misuse of international mechanisms, and the Islamic Republic will respond decisively,” Iran’s Deputy Foreign Minister Kazem Gharibabadi said Sunday.

Alireza Fakhari, the governor general of Tehran province on Monday announced the closure of all government offices, schools, and universities on Wednesday due to soaring temperatures and the need to manage energy consumption.

Fakhari said the decision followed a request from the country's energy ministry.

Other provinces are also implementing closures or reducing working hours this week.

Offices in Ardabil and Golestan will be closed on Tuesday, while those in Semnan, Qom, Ilam, Gilan, and Chaharmahal-Bakhtiari have reduced working hours.

On Wednesday, offices in Kerman, Hormozgan, Isfahan, Gilan, East and West Azerbaijan, and Chaharmahal-Bakhtiari will also be shut.

In Hamedan, office hours on both Tuesday and Wednesday will be limited to 6 a.m. to 11 a.m.

Similar closures were ordered last month on Wednesday July 23 as Iran's President Masoud Pezeshkian warned of a worsening water shortage.

Iranian officials are considering formal Wednesday shutdowns to create three-day weekends and a full summer week off amid worsening water and power outages caused by extreme heat and falling reservoir levels across the country.

Energy Minister Abbas Aliabadi said the shutdown of July 23 cut national power demand by 19,000 megawatt-hours and reduced Tehran’s water usage by 3,800 liters per second.

Iran has recently faced an unprecedented heatwave, and many natural and engineered water reservoirs across the country particularly in Tehran, Alborz and Fars provinces are nearly depleted.

In the capital Tehran, officials have attempted to curb consumption through emergency measures, including repeated water and electricity outages.

Republican Senator Tommy Tuberville introduced legislation that would ban Iranian and Chinese nationals from studying at US universities, arguing students from adversary states pose a national security threat and displace American applicants.

The so-called Student Visa Integrity Act would restrict visas from Iran, cap overall international student enrollment and increase penalties for visa fraud.

"We want to do away with Iran ... nationals getting into this country and learning how to destroy the United States of America and our allies," Tuberville said on Fox News on Friday. “We are funding our own demise.”

Tuberville, from Alabama, serves on Senate committees focused on education and immigration.

Hopes 'shattered'

Even before the proposal, many Iranian students faced steep barriers to studying in the United States. Zanko, a PhD‑bound software engineer living in Iran whose identity Iran International is concealing for his safety, was accepted into a top American university, with classes scheduled to begin in August 2024.

He completed his visa interview last year at a US embassy in a nearby country— a costly, logistically challenging trip from Iran, where there is no US embassy — in hopes of fulfilling his dream.

Zanko says the immigration officer told him his application was under “administrative processing,” an extensive background check. He postponed his admission to August 2025, but his visa appears no closer - a limbo endured by hundreds of other Iranian students.

“Emotionally and professionally, it has been frustrating to know that despite being qualified and committed, external political factors are shaping the course of my future,” Zanko told Iran International.

The situation, Zanko said, “shattered all of my hopes.”

Search for a better life

Leila Mansouri, a US immigration lawyer, told Iran International it has been extremely difficult for Iranians to get a visa.

Even if Tuberville’s bill doesn’t pass, she warned, the government could still block applications by instructing the State Department to stop approvals.

“Behind the scenes they can tell the consulate not to approve the applications like what we saw with the first Trump travel ban that passed in 2017,” said Mansouri, adding that male applicants face especially tough scrutiny.

Much of that additional scrutiny stems from mandatory military service for Iranian men, during which many serve in units affiliated with the Islamic Revolutionary Guard Corps (IRGC) — an organization designated by the US as a foreign terrorist organization. Even routine, non‑combat roles during conscription triggers outright visa denials.

Senator Tuberville has argued that some Iranian students have questionable backgrounds. One example often raised in such debates is the 2017 case of Seyed Mohsen Dehnavi, an Iranian medical researcher turned away at a US airport. Former classmates and activists alleged he was a senior member of the Basij, a paramilitary force tied to the IRGC, and had targeted reformist students. US border officials said his denial was for “reasons unrelated” to the travel ban in place at the time.

Mansouri emphasized that such cases are rare, noting that most Iranian students have no military or security ties. With an existing ban on Iranian military members, including those with past IRGC service, she said this route is already closed.

Iranian students have made significant contributions to American society, Mansouri said, and the US could do a better job of vetting without shutting them out. She described most applicants as “innocent people just trying to have a better life.”

About 10,800 Iranian students studied in the US in 2022–23, up from the year before but still below the 2017–18 peak of nearly 12,800. In 2024, only 2,166 student visas were issued to Iranians — down 42% from 2023 — with denial rates climbing to 41%.

'Collective punishment'

The obstacles deprive the United States of Iranian talents and isolates an entire generation of Iranians, said Siamak Aram, a Sharif University graduate and active member of the Iranian academic community in the US.

“This proposal amounts to collective punishment. It fails to distinguish between the Iranian people and the oppressive regime they are fighting against,” Aram told Iran International.

“It inadvertently aligns with the goals of the Islamic Republic. So-called ‘Supreme Leader’ Ali Khamenei has long sought to limit Iranians’ interaction with the outside world, especially through academic and cultural channels.”

The human impact has also been highlighted by Iranian-American tech entrepreneur Hadi Partovi, co-founder of Code.org, who posted on X on June 30 that he and his twin brother Ali “received hundreds of messages from Iranian students who were accepted into PhD programs in the USA, only to have their legal immigration papers rescinded.”

Partovi, whose family immigrated legally in 1984, wrote, “Iran’s most precious resource is its talent, not its oil,” and pointed to relatives such as Uber CEO Dara Khosrowshahi as examples of how admitting ambitious students can translate into job creation and economic growth.

“Surely America can find a way to protect its security and its borders while also preserving the values and ideals that make it great,” he said.

The surge in visa denials — many issued after nearly a year of administrative processing — comes amid a broader immigration crackdown in the United States.

For Iranian students like Zanko, delays and silence from authorities have been compounded by Section 212(f), a presidential authority typically invoked for national security, applied this spring. Many fear Tuberville’s bill would add yet another hurdle, effectively formalizing a ban on Iranian students.

Neither the US State Department nor Tuberville’s office immediately responded to an Iran International request for comment.