Iran recorded non-black market mobile phone imports numbering 3.2mn handsets in the last Persian year (ended March 20), marking a 112% y/y gain, Tasnim News Agency reported on April 16.

The sudden spike in imports was down to the Rouhani administration’s push to shut down the wholesale black market for mobile phones. Since earlier this year, the country’s telecommunications ombudsman, the Communications Regulatory Authority (CRA), has barred unregistered mobile phones from the telecom network, rendering useless thousands of premium handsets such as Apple iPhones. There are reports that the scheme has caused difficulties for tourists and visiting business delegations who have complained that their phones proved useless on the Iranian telecom network, even though they were only requiring the use of it for a short period before departing the country.

The fresh data shows that in total some $528mn worth of mobiles were legally brought into the country, making the commodity the ninth biggest import item, according to the Islamic Republic of Iran Customs Administration (IRICA).

The latest figures show the government’s plan to get a grip on the rampant smuggling of phones into the country, typically achieved simply in suitcases, is starting to pay off. According to statistics from the last Iranian year, the state lost an estimated $625mn in tax revenues because of the smuggling of mobiles.

VAT levied on mobile phones through official channels is currently at 18%.

In February, Iran’s Deputy Minister of Communications and Information Technology Hossein Fallah Joshaghani, who is also the CRA director, said all smuggled phones not officially registered with the CRA would be disconnected by the first day of the 2018/2019 Persian year (March 21), with no exceptions.

He said an initial disconnection testing phase for several non-represented brands, including Google, Blackberry and Apple, which were barred from the three leading carriers MTN-Irancell, Mobile Communications of Iran (MCI), and Rightel, had taken place from December 5.

Joshaghani claimed the free registry scheme was flawless and said that the deactivation of mobiles not logged on the official list by last December 5 would ultimately make the smuggled phones redundant and worthless to the owners.