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Lack of Int’l Goods Forces Lebanese People to Buy Lower Quality Alternatives

A man shops at a grocer in Lebanon. (Reuters)
A man shops at a grocer in Lebanon. (Reuters)
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Lack of Int’l Goods Forces Lebanese People to Buy Lower Quality Alternatives

A man shops at a grocer in Lebanon. (Reuters)
A man shops at a grocer in Lebanon. (Reuters)

Shoppers recently visiting a Lebanese market may feel that they are in a country other than Lebanon. The global goods, which the consumer is accustomed to, are missing from most of the shelves, and if any, their prices are now four times higher because the dollar exchange rate has risen dramatically in the past months.

The missing products have been replaced by cheaper alternatives, “albeit of lesser quality, with the majority being imported from Turkey, Egypt and Syria,” according to the Director General of the Ministry of Economy, Mohammed Abu Haidar.

Ghada Younes, 34, said that her life turned upside down about a year ago. She told Asharq Al-Awsat that items that she had long considered essential were now missing, such as the coffee that she usually drank, and the foods her children were accustomed to.

“It is true that there are a lot of alternatives on the shelves, but they are not of the same quality. I know we will have to get used to the new products, but that will not be easy, and we will suffer greatly with the children,” she noted.

A large number of international companies withdrew from the Lebanese market successively over the past months, after the volume of their sales declined dramatically, as they were forced to raise commodity prices in line with the high US exchange rate.

Lebanon imports more than 80 percent of its food needs, according to Abu Haidar.

In recent days, the exchange rate of the US dollar in the market crossed the threshold of LBP 8,500 while the official exchange rate is still fixed at LBP 1,500.

Abu Haidar noted that the majority of consumers were no longer looking for excellent quality, but rather for less expensive goods.

The head of supermarket owners, Nabil Fahed, said that the Lebanese must adapt to a new way of life, as many varieties have gradually disappeared and are being replaced by local products and others imported from countries, such as Turkey and Egypt.

In remarks to Asharq Al-Awsat, he said that national industries were able in a short time to alleviate the severity of the crisis, but their continuity depended on the state’s continued support of the imported raw materials.

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Iran's Businesses Bear Brunt of Daily Power Blackouts

Repeated power cuts have angered Iranians in recent years, especially during the hot summer months - AFP
Repeated power cuts have angered Iranians in recent years, especially during the hot summer months - AFP
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Iran's Businesses Bear Brunt of Daily Power Blackouts

Repeated power cuts have angered Iranians in recent years, especially during the hot summer months - AFP
Repeated power cuts have angered Iranians in recent years, especially during the hot summer months - AFP

Baristas and servers linger outside a cafe in Tehran, smoking and chatting, as scheduled daytime power cuts due to energy shortages plunge businesses in Iran's capital into the dark.

"When the power is out, we are almost completely out of service," said Ali, a 30-year-old employee, of the nationwide rolling electricity outages imposed daily since November 11.

"We use mostly electrical equipment here in the cafe such as an electric oven and espresso machine," he told AFP, asking that only his first name be used.
Years of Western sanctions and a lack of investment in infrastructure have exacerbated the situation, especially during peak consumption months in summer and winter.

To deal with the shortages, the government has introduced two-hour blackouts, which rotate between various neighbourhoods in cities between 9:00 am and 5:00 pm.

President Masoud Pezeshkian attributed the decision to "low fuel reserves", saying Iran must "adjust the fuel for power plants so that we do not face problems in winter".

- 'Poison' -

Fatemeh Mohajerani, government spokeswoman, said power cuts were necessary to cut down on a relatively cheap low-quality fuel -- known as mazout -- used at some older-generation power plants.

The heavy fuel oil has been used for years to address power shortages despite its emissions causing heavy air pollution.

She said the public would need to deal with blackouts for a limited time, to find an alternative to what she described as "poison".

"It is unfair that part of the society should pay with their lives for the production of electricity," she added.

But for Mona, another employee at the cafe in Tehran -- home to about 10 million people -- it isn't worth the cost.

"The government says it has stopped burning mazut in a number of power plants in other cities, but we need to pay for that in Tehran," the 36-year-old told AFP.

Repeated power cuts have angered citizens of the Islamic republic in recent years, especially during the hot summer months.

In July, the authorities ordered the working hours of civil servants to be halved for several days in an attempt to save energy.

But energy shortages go beyond just electricity in Iran.

On November 12, National Iranian Gas Company announced daily gas consumption in the country had set a new record of 794 million cubic metres.

Economic expert Hassan Forouzanfard cited poor infrastructure, mismanagement and in particular Western sanctions as responsible for Iran's energy problems.

"Sanctions and the cutting of the ties with international energy companies have deprived us of both the necessary technology and investment to develop our oil and gas sectors," he told AFP.

- 'Warm clothes' -

"If we have a cold winter this year, we will have to collectively deal with both gas and electricity problems in the country," Forouzanfard said.
Iran, despite holding some of the world's largest natural gas and oil reserves, has grappled with massive energy shortages in recent months

"I do not think that the government would be able to either control the negative effects of the pollution or to resolve the energy imbalances in a reasonable and serious way in the short term," he added.

But Tehran says consumers must do their part to conserve energy.

"We have no choice but to consume energy economically, especially gas, in the current conditions and the cold weather," said Pezeshkian.

"I myself use warm clothes at home, others can do the same," the president added.

During one of the scheduled power cuts, a queue formed outside a supermarket in Tehran.

"Since it is dark inside and our CCTVs are offline, we allow just one customer at a time so we can better handle them," said Sina, a 24-year-old employee, who did not want to give his full name.

"We are afraid that in the dark and without the help of surveillance cameras, we can't figure out if an item goes missing," he said, arguing that the power cuts are hurting the small business.