Iron absorption mainly occurs in the duodenum and upper jejunum of the small intestine. Dietary iron exists in two forms: heme iron, found in animal products, and non-heme iron, found in plant sources. Heme iron is absorbed more efficiently than non-heme iron. Transporter proteins like DMT1 (divalent metal transporter 1) facilitate the uptake of non-heme iron, while heme iron is absorbed intact.