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Iran, Turkey resolve dispute over transit truck fees

Business Materials 18 November 2014 13:30 (UTC +04:00)

Baku, Azerbaijan, Nov. 18

By Umid Niayesh - Trend:

Iran's Ambassador to Turkey, Ali Reza Bikdeli said that Iran and Turkey have resolved the disputes over transit truck fees.

The agreement was achieved after negotiations between the two sides' officials, Bikdeli said, Iran's Tasnim news agency reported Nov. 18.

The ambassador said that the new system will be operative in next 10 days, adding Iran accepted the Turkish side request due to "their insistence and imposing some taxes."

He did not disclose further details about the system.

It is while Iran's Deputy Roads and Urban Development Minister Davoud Keshavarzian said that the Islamic Republic will start sealing fuel tanks of Turkish trucks coming into Iran on the border checkpoints in next 15 days.

Keshavarzian, who heads Iran's Road Maintenance and Road Transportation Organization, said that Iran will stop supplying Turkish trucks with its cheap fuel.

Iran and Turkey are at odds over trucks' transit fees. Over the past years, Iran has been charging a $750 transit fee for the trucks entering the country from Turkey, while the Iranian trucks were entering Turkey for free.

Following the move, Turkey imposed a similar fee on Iranian trucks. But the Islamic Republic increased the fee to $1,500 on October 10.

The Iranian officials said that under an agreement signed with Turkey a few decades ago, the two sides may charge a transit fee only if there is a difference in fuel prices in the two countries.

The price of 1 liter of diesel fuel in Turkey is 2.12 TRY (the rate of $1 is equal to 2.2729 TRY). In Iran, 1 liter of diesel fuel costs 2,500 IRR (the rate of $1 is equal to 26,700 IRR).

Turkish Transport, Maritime and Communication Minister Lutfi Elvan said on October 20 the twofold increase in transit fees for Turkish trucks entering Iran is illegal.

The minister said Turkey respects all agreements with Iran, adding that Tehran's response should be similar.

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