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Post-sanctions Iran to facilitate Europe-CIS shipping

Business Materials 9 May 2015 15:03 (UTC +04:00)

Tehran, Iran, May 9

By Mehdi Sepahvand, Temkin Jafarov - Trend:

While expectations are high for the removal of sanctions on Iran so that Western companies may find a place in the Iranian market, some are expecting to find shorter shipment routes via the post-sanctions Iran.

For its geographical features, Iran can be a good venue for future shipments, helping shorten routes and reduce shipment costs between neighboring countries.

"Iran is situated in a very strategic place. It has access to oceans and the Caspian Sea, and it also has long borders with CIS countries. CIS countries can have easy access to oceans via Iran," Kian Karim, Shipping Line Manager of the Iranian company Lotka told Trend May 7 in the Iran Oil Show 2015 in Tehran.

The CIS (Commonwealth of Independent States) is an organization by former Soviet Republics - Armenia, Azerbaijan, Kazakhstan, Kyrgyzstan, Moldova, Turkmenistan, Tajikistan, and Uzbekistan.

Karim further pointed out that Iran has good railroad infrastructure especially in the south and north, providing unique access to ports.

He said that he is optimistic that European shipments to CIS will travel through Iran once economic sanctions on the Islamic Republic are removed.

Karim's partner at the Spanish Bergé shipment company also spoke in agreement.

There are a lot of opportunities in Iran because of its access to countries up north, Juan Lopez Doriga, General Manager of Bergé stated.

"Now you have to go all the way to Russia and other countries, but there will be more direct access through Iran," he reiterated.

He went on to mention that security is a major factor enabling European companies to find good footings in Iran.

"It's a good base, a secure base. We have really well-educated people, we have all you need to create a base here and then from here to move to other places," Doriga stated.

Economic sanctions on Iran are expected to be removed through a comprehensive agreement with the group 5+1 (the US, UK, France, Russia, China, and Germany) on Iran's nuclear program. The agreement is scheduled to be reached by June 30.

Edited by CN

Mehdi Sepahvand is Trend Agency's journalist in Iran, follow him on Twitter: @mehdisepahvand

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