Dubai markets still stock Iran goods despite suspension

Dubai markets still stock Iranian goods despite the United Arab Emirates' announced suspension of trade and financial exchanges with Tehran, with merchants saying long-established commercial ties remain hard to break.

In old Dubai, Iranian saffron, cumin, pistachios and almonds remain on sale. Morteza Asaadi, who runs a grocery store founded by his father in 1963, said some Iranian products have become scarcer and others more expensive since the start of the war, but many traditional foods are still available.

Two wholesalers interviewed by AFP on condition of anonymity said they were still sourcing from Iran, including through Omani ports. One said exports from the Emirates were no longer possible, but some goods could still be brought in.

At one saffron shop, Iranian saffron was arriving by air from Mashhad after air links resumed following a brief interruption.

Dubai has a large Iranian community, estimated at several hundred thousand people, and has long been a financial and commercial hub for Iranian businesses.

World Trade Organization figures show that in 2024 the UAE was the main entry point for goods into Iran, accounting for more than 30 percent of imports worth $21 billion. It was also Iran's third-largest customer, taking nearly 12 percent of its exports, worth more than $7 billion.

Washington has accused Dubai of being a key node in financial networks used to circumvent sanctions. The United States announced new measures at the end of August targeting Iran's trading partners and sanctioned the director of the Dubai branch of Iran's Bank Melli.

Mehran Haghirian of the London-based Bourse & Bazaar Foundation said Abu Dhabi's suspension announcement appeared intended to show alignment with the United States and pressure Tehran back to negotiations, but would not necessarily end informal private flows. Emirati businessman and former official Nasser al-Shaikh said Iran was no longer as important to Dubai's economy as it once was and that national security comes first in wartime.