Iran increases trade with Armenia

Business Materials 31 May 2011 14:51 (UTC +04:00)

Azerbaijan , Baku, May 31 /Trend/

Iran-Armenia trade turnover has increased o 38 percent valued $270 million, IRNA reported quoting Iran Foreign Minister Ali Akbar Salehi as saying

"The bilateral transaction between two countries increased to 38 percent in 2010 where Iran became Armenia's major business partner," Salehi said.

Iran ranked fourth in trade with Armenia and seeks to increase the volume in transport section as a potential way to transfer gas and electricity .

The Iranian official signed a business deal with Armenian Energy Minister Armen Movsisyan to promote economical ties and expressed hope for further cooperation on oil and gas innovations .

Iran has OPEC's second-highest oil output, and ranks second in the world in terms of natural gas reserves after Russia.

There is already a natural gas pipeline between Iran and Armenia, which receives some of its gas supplies from Iran, However it relies mainly on Russian natural gas that reaches Armenia also through pipeline traversing Georgia.

Iran and Armenia have in recent years expanded cooperation in different fields, particularly through swapping electricity for natural gas. Iran mainly exports natural gas to Armenia and imports power supplies from the Caucasian state through two transfer lines with a total power transfer capacity of 220kw/ph at present.