Iran Unravelling Carpet Sales: Sanctions and a Hobbled Economy Pull the Rug Out from Under Traditional Carpet Weavers

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Hammad Anwar

The Kashan bazaar in central Iran, once a major hub for silk carpets, has seen a sharp decline in sales since the collapse of Iran’s nuclear deal with world powers, compounded by wider tensions with the West. Carpet exports, which had exceeded $2 billion in the past, have plummeted to less than $50 million in the last year, according to government customs figures. With fewer tourists and increasing difficulties in making international transactions, Iranian rugs are going unsold. This has led to a significant decrease in income for the weavers, some of whom now work for as little as $4 a day, putting a strain on their families and the local economy.

Despite the hobbled economy and sanctions against Iran, these artisans, many of whom are women, continue to ply their trade. Their skills, passed down from generation to generation, are a testament to their resilience. Using materials such as vine leaves, pomegranate skins, and walnuts to make the dyes for their threads, they create masterpieces that can take months to complete. However, the wages in the industry are low, leading to a growing number of Afghan migrants working in workshops around Kashan.

After the 1979 Islamic Revolution, a significant event in Iran’s history, the United States increased sanctions on Iran’s government over the siege on the US embassy on November 4, 1979, and other issues. This had a profound impact on various industries, including the carpet trade. In 2000, the outgoing administration of US President Bill Clinton lifted a ban on the import of Iranian caviar, carpets, and pistachios. By 2010, with concerns rising over Iran’s nuclear program, the US again banned Iranian-made Persian rugs. But in 2015, Iran struck a nuclear deal with world powers which reduced its stockpile of enriched uranium. The carpet trade was allowed once again.

Three years later, in 2018, US President Donald Trump unilaterally withdrew the US from the nuclear deal. Iran began enriching uranium at near weapons-grade levels and has been blamed for a series of attacks at sea and on land, including unprecedented drone and missile strikes targeting Israel last month. For the carpet weavers, that meant their wares were once again banned under US law.

Making things worse is what carpet sellers see as a drop in tourists to Kashan as well. High-value American and European tourism in Iran has largely stopped due to safety concerns and political tensions, and Iran’s financial system poses a significant challenge for international visitors, as no major international credit card works in the country. The collapse of the rial currency has left many Iranians unable to purchase the rugs. 

The carpet-weaving industry in Kashan, a symbol of Iran’s rich cultural heritage, has been listed as an “intangible cultural heritage” by the United Nations Educational, Scientific, and Cultural Organization (UNESCO). It’s a testament to the artistry and skill of these traditional artisans. It’s unfortunate to see them struggling to make ends meet, but the hope remains that the situation will eventually improve.

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