My Personal Blogs
New Videos added:
Video about Qom rugs.
If you like Qom rugs, watch the 14 minute video where I try to
answer some of the most common questions that I receive on a
Video about the Persian rug
industry and our wholesale rug business in Germany.
12 minute video in which I explain how a rug gets from a weaver
to a store or website. I explain how the rug industry works and
also introduce you to our main wholesale business in Germany.
Click on this link to see all of
New Updates & changes to the
New section has been added
showcasing some of our high end Persian rugs that we feature at
our main wholesale business in Germany.
New video will be added shortly
showcasing and explaining the main rug wholesale district in the
world, which is located in Hamburg Germany.
After years of listening to my clients asking me
about how I'm able to offer only high end rugs and having to explain
our main wholesale business in Germany, I have decided to add a new
section that showcases a sample of our rug selection.
In addition, I will also be creating and including a video that not
only shows our wholesale business, but also explains how the Persian
rug industry operates with pictures and video segments from the
largest Persian rug wholesale district in the world, which is
located in Hamburg Germany.
Lots of Information to share:
Worldwide financial embargo is
crippling Iran and its economy is in total disarray...there
might be light at the end of the tunnel
US embargo on Persian rugs still
in effect...no effect on rug prices or any other aspects of life
in Iran...no other country has joined the embargo...China buys
every rug that we cannot bring into the US.
Personal business news:
We have decided to keep me in sunny Colorado (for now) instead
of dreary Hamburg due to our expansion into Indian rugs which
you should see in my website starting in the second half of the
year. While my family would like to have me in Germany, I
will be managing more of my family's office tasks from here in
the US thanks to Skype and the cloud technology.
First, let me share with you what you need to know about the current
state in Iran and rugs. Then I will be selfish and share with you my
At the time of writing, Iran is
complete disarray and it is unlike anything I have seen since I was
a kid and went to Iran with my parents to witness the revolution.
As suspected, the US embargo on Iranian rugs is as much of a failure
as the embargo on Cuban cigars. What we can't buy, others are
more than happy to buy and basically China along with many other
countries are buying up every rug they can.
What is having a huge effect in Iran
is the global ban on all financial transactions with Iran. In late
2011 and then again in 2012, the worldwide banking system (swift)
took Iran out of its network, which means that no funds can be send
or received, whether from businesses, individuals, or the
government. Also, the US and other countries have basically told all
large corporations that they can either do business with us or Iran.
As a result, it is virtually impossible to get products into and out
of Iran since the shippers, insurance companies, and other related
businesses have closed their doors in Iran.
Bottom line, everything in Iran has
gone up so much that most businesses have had to close or are barely
running on life support. To give you an idea, virtually all
food and basic goods are now 4 times more expensive than just a year
ago and while the retail prices are changing weekly, the salaries
are basically the same. My mother was shocked when a $2 taxi
ride in June cost her $10 in December.
I see a glimmer of hope.....
Despite everything that you hear in the news about possible Israeli
strikes and more sanctions, here is what I saw and heard. The
people in Iran are fed up big time and even though the regime relies
on its military and police, the guys in uniform all have families to
go to that are suffering. While the nuclear processing is a
tremendous source of pride in Iran, it is causing more people to
wonder whether an open nuclear program is not the better way to go
that the secret one in place now.
The Iranian government seems to be placing all of the blame and
credit on Ahmadinejad and he is so unpopular right now, that he will
not only be out of office this summer when his second term is
up, but more importantly, nobody cares about the people that are
following in his shoes.
My hope is that the regime will realize that some sort of open
compromise will be only way out and the summer elections would be a
perfect opportunity to put somebody in place who will basically
place the blame on Ahmadinejad and then start a new path. This would
also help the Iranian gov't and people to save face and I truly
believe that this could be a viable option.....
Then again, we are talking about the Middle East and as the Murphy's
Law clearly states:
"The chance of the buttered side of the bread falling face down is
directly proportional to the cost of the carpet"
Personal Business News:
As some of you are probably aware, I
was contemplating moving back to Germany and get more involved in
our wholesale business in Hamburg. That is why I spent the
Christmas holidays there with my family to see what all of my future
options are and here is what I have decided.
For now, I will not actively proceed
with a move and try to do things from my office here in Colorado.
Thanks to all of the new technology out there, I will try to
basically run our back room operations from here and basically it
means that I will have to get up early in the mornings since Germany
is 8 hours ahead in time.
From a business standpoint, I will fairly busy and will do my best
to answer all e-mails and calls to the best of my abilities. If you
get my voice mail more often, then chances are I'm napping or
yelling at someone in Germany on the other line. I will also
be traveling to Germany on a more regular basis and hopefully this
arrangement will work. As much as I love the dry sunny weather
in beautiful Colorado, I can't stand the weather in Hamburg and we
will have to see how it works out.
Possible expansion into Indian rugs.
We are also currently starting our own line of rugs that are being
made in India and will be in design and quality similar to the
Tabriz Gonbad rugs that you see in my website. The first
prototyes are already done and our goal is to offer our retail
clients alternatives to the Persian rugs that are very close to the
real thing. If all goes well, I might be getting a few of the
pieces and don't be surprised if you see a few starting in the late
So there you have it and I hope that
I will be able to update you with even better news after the next
elections in Iran. As always, I will update you if there is
anything important to note and best wishes to you.
The reason for my liquidation sale and
possible business closure is that we are contemplating to
move back to Europe to be closer to our main Persian rug
wholesale business in Hamburg, Germany. With
the passing of my father in 2009, my family would like
me to get more
involved in our family's wholesale business in
Germany and as much as we enjoy living here in Colorado,
I feel that my presence at our main Persian rug business takes
In addition, the US import embargo on Persian rugs
allows me to sell my remaining rugs, but I can not
import any new ones and I feel a bit like a fish out of
water. My plan was to wait out the embargo, but at
the end I feel it is necessary to return to our family
business in Germany, and hopefully someday hand the keys
over to the next generation.
Most rug websites and retail
stores don't carry the high end Persian rugs I offer and
the ones that do have priced them for much more. Unlike
other businesses that promise great savings, I actually
want you to shop and compare so that you can see for
yourself that my prices and selection are rarely ever
matched. This is the first sale I have ever had and it
will also be my last one.
Personal Note To My Many Friends & Clients:
When I first started my website over 12 years ago, I
simply wanted to share my insights and passion about
Persian rugs along with lots of relevant information.
I never had the intentions of actually selling any rugs
and it was the input of so many folks that convinced me
to offer some of the fine Persian rugs that you have
seen over the years. It was your encouragement and
support that got me to where I am today and I truly want
to thank you.
Running an internet business means that I rarely ever
get to meet my clients in person and yet I feel that I
have made many new friendships all over the world.
I cannot put in words alone how grateful I am for your
support and kindness. So many of you have given me
tips on how to expand (improve) my website, shared your
personal experiences, and simply called to say hello.
As I end this chapter of my life and start a new one,
please note of one very important thing. Germany
and Ireland also offer Internet services and while I may
be moving, I will still only be a few keystrokes and
phone calls away.
BIG NEWS: 1 Year
Anniversary of US Import Embargo!!!
Back in September of 2010, the US
administration enacted an import embargo on all Iranian product
including Persian rugs. Since a year has now gone by, I thought I
share with you some of my own and my client's experiences.
The embargo is very strongly
Since the import embargo took effect last year, I have been
receiving literally hundreds of calls and e-mails from folks who
had their rug confiscated by customs. Thanks to my website
ranking high when folks search online for information about the
Persian rug embargo, I'm busier than ever....I contacted the US
customs in Washington and at this time the embargo is effects
all imports of Persian rugs, commercial and personal.
Again, all Persian rugs in the US prior to the embargo can be
sold, but you can not bring in any more Persian rugs since the
embargo took effect. If your Persian rug got impounded, I don't
know how to help you and I can only advice you to contact the US
customs office near you.....
How has the embargo effected
the Persian rug industry??
Honestly, not much!! The US was never a huge Persian rug market
and right now there is a huge demand coming from Asia (China)
and South America (Brazil). Instead of shipping the rugs here,
the rugs are being sold to other countries and the prices are
still going up.
Wholesale prices are up 20%
since last year and production is down!
It is now official. The Iranian government has for the first
time admitted that the rug production of high end Persian rugs
is down over 60% since 1995 and will likely not come back
anytime soon. Due to huge increases in industrial manufacturing
in Iran courtesy of Chinese companies, more Iranian are working
in factories and offices instead of making rugs. The lower
quality rugs are still readily produced, but the high end
Persian rugs have seen a huge decrease in production.
BIG NEWS: Rug Embargo
In June of 2010, the US government
announced that it will introduce a total trade embargo against all
Iranian products effective 9/28/10. After that date, no more Iranian
made products will be allowed into the US and that of course
includes the high end Persian rugs that you see in my website.
As a result of the embargo, I
spent a couple of weeks in July overseas purchasing as many rugs as
I could muster and have more than doubled my inventory. I have been
receiving a lot of questions and e-mails from folks wanting to know
what is going to happen once the embargo takes effect and here are
It is perfectly fine to
purchase Iranian made Persian rugs as long as the rugs are
already in the US. The embargo only means that you can not
purchase or import them from overseas.
After 9/28/10 the rug sellers
will no longer be able to import Persian rugs made in Iran
unless they try to smuggle them in like they did during the last
embargo from 1986 through 1999.
As to what will happen to the
prices of the rugs, that is unknown at this stage. If the
embargo last for a short time, let say less than 2 years, you
should see very little of change from what you see right now
since there is plenty of supply already in the US. Many Persian
rug sellers like myself purchased a lot of rugs to keep us going
for a while. On the other hand, if the embargo drags on like it
did in the past, you will see steady price increases as the
At this time, you will
probably notice a 10-20% increase in the prices of rugs due to
the fact that many rug sellers had to buy large quantities of
rugs on credit, which adds to the cost of the rugs.
The recession has hammered the
Persian rug business like most home furnishing businesses and
many rug stores have either downsized, closed their doors, or
slashed their prices to keep afloat. Only time will tell how the
embargo will shape the Persian rug business in the US.
I will update this post again
in about 6 months after I get a better feel from what is
happening. As always, feel free to let me know if you got any
questions and best wishes.
Same old thing, different day!!
Had already got a e-mails from folks wanting to know what is
happening with the rug prices in 2009, so here it goes.
I spend a couple of weeks overseas in July and the bottom line is
that the prices have come down a bit compared to 2008, but not as
much as I had expected. With the global recession taking a big bite
out of the rug industry, I had every expectation to see a big price
drop, which has not happened thanks to a slowdown in the rug
production. There are simply a lot less rugs being made (especially
the high end ones) and even though the demand has dropped off
significantly, the economic and political situation in Iran does not
allow for the big drop in prices. The prices have dropped about
10-15% in the last year, but that is mainly due to the rise in the
Finally, some good news!!
Once again, I want to share with you my latest findings after
returning from my trip overseas.
Since 2003, the prices of Persian rugs have more than doubled and
there is finally some good news to report, which I have been hoping
for some time now. With the current global economies fallen of
the cliffs, our US dollar seems to have come back to life,
which has had a direct impact on the prices of Persian rugs.
For the first time in 5 years, I have been able to lower my prices
by around 15% and I am hopeful that this trend will not reverse.
Please note though that the lower
prices are mainly due to the rise in the US dollar and not the
slowdown in the varies economies. Even though the Persian rug
market as a whole has slowed down, so has the rug production in Iran
and their inflation of around 25% is still keeping up the prices.
My plan is to travel overseas again in 4 months and by then I should
have a better picture of whether the price reduction is temporary or
One word sums it all up: UGLY!!!
Got back from my trip a couple of days and as always, I'm completely jet-lagged.
Last year, I thought I had seen it all and once again I have been completely
wrong about the prices of the high quality Persian rugs, especially the Tabriz
and Qom pieces. In 2007, the Tabriz and Qom rugs have gone up in price about
30%, yes, that is 30%. Nain and Isfahan rugs have gone up about 10%. The main
problem continues to be the high inflation in Iran, officially at 15% but in
reality closer to 25%, and the continued weakness of our US dollar.
The prices in Tabriz and Qom are
going up higher simply because more and more folks are giving up the
rug business altogether. In places like Khoj, which is a small
village where the Mahi (fish) design Tabriz rugs are made, the
production is now about half of what it was just 5 years ago and as
a result, the prices are just shooting up. The same is happening in
Qom as well. Prices in Nain and Isfahan are going up, but due
to their traditional designs, there are still plenty of rugs to
choose from, and therefor the prices will not climb as quickly.
My goal was to purchase about
30-40 rugs and I only ended up with 17 instead. I will be going
overseas again in a few months and will update you again as soon as
I return. Take a look at the 3 Tabriz rugs further down and you can
see how the prices have changed.
Below is an much more detailed article about the overall situation and I will
update this page again after my next trip.
Got back from my trip overseas last week and
just recovered from a bad case of a cold and jet-lag. The price of Persian rugs
is still going up and it appears that the inflation rate in Iran is stabilizing
at around 15%, but the weak dollar is having a huge impact as it has for last 3
years. As of mid April, the US dollar is approaching a new record low against
the Euro and it is already at a 15 year low against the English Pound and many
other currency. Do not expect any relief any time soon.
Below is an much more detailed article about the overall situation and I will
update this page again after my next trip.