TEHRAN -- The Iranian government has reaffirmed its strong support for the development of the medicinal plants and traditional medicine sector as a key component of the country’s knowledge-based economy. 
According to Damoun Razmjouyee, Secretary of the Headquarters for the Development of the Knowledge-Based Economy of the Sciences and Technologies of Medicinal Plants and Traditional Medicine, a range of targeted programs have been launched to support innovation and strengthen the sector’s value chain.
Razmjouyee highlighted the strategic importance of this field, stating, “The medicinal plants and traditional medicine sector is one of the strategic capacities of the country’s knowledge-based economy, which, with targeted planning and support for technological ideas, can play a decisive role in the development of production, employment, and exports.”
He emphasized that the effective use of local capacities has created a unique opportunity for expanding Iran’s knowledge-based economy. Among the top priorities for the Headquarters this year are developing the value chain, standardizing products, supporting innovative projects, facilitating market entry for companies, and enhancing cooperation between academia and industry.
The economic significance of this sector is also gaining increasing recognition. Seyed Seif Sahandi, Deputy Head of the Technology Development Headquarters for Medicinal Plants and Traditional Medicine, recently announced that Iran’s herbal and traditional medicine market is projected to reach between $13 billion and $15 billion in the upcoming Persian calendar year, which begins on March 21.
Breaking down the figures, Sahandi said the production and harvesting segment alone is valued at $1.5 billion to $2 billion, while exports account for around $0.5 billion. Imports of medicinal plants and essential oils are estimated at $0.45 billion. The value chain for medicinal plant industries is projected at $10–11 billion, and that of traditional medicine at $2.7–4 billion.
Iran’s agricultural capacity in this sector is also considerable. Over 224,000 hectares are currently under cultivation for medicinal plants, with saffron accounting for 50% of the total. Cumin, rosehip, and fixweed follow with 15%, 10%, and 5% shares respectively.