Azerbaijan, Baku, Oct. 5 /Trend S.Isayev, T. Jafarov/
Iran and Turkey have signed a memorandum of understanding on cooperation and construction of the Kars-Igdir-Bazarghan-Julfa railroad, National Iranian Railways International Department head Abbas Nazari said, ILNA reported.
The memorandum was signed at the seventh meeting of the joint Iran-Turkey transportation commission.
Iranian delegation led by Iran's first Vice president Mohammad Reza Rahimi, is on official visit to Turkey.
"The Kars-Igdir-Bazarghan-Julfa railroad is a priority project, and based on business and technical meetings, the experts will visit the border sometime in late October," Nazari said.
He added that Kars-Igdir-Bazarghan-Julfa is a trategic corridor, that would have a transit capacity of 3-4 million tons per year.
"This is the opportunity that will help to increase revenues and improve transit of goods between countries," Nazari said.
The official added that the project will cost around $800 million, and the railroad's length would be some 400 km (200 km equal, on both sides).
Earlier today Iranian delegation which is on the visit to Turkey, has discussed a possibility of constructing an oil pipeline to Europe through Turkey's territory.
Iran and Turkey are determined to boost their trade exchanges to $30b in the near future. Turkey imports around 8 million tons of oil and 8 billion cubic meters of gas per year from Iran.
Iran and Turkey have in recent years increased their cooperation in all the various fields of economy, security, trade, education, energy and culture.