Iran and Eurasia eye $2 billion trade

Business Materials 6 November 2019 17:25 (UTC +04:00)

TEHRAN, Iran, Nov.6


Iran and Eurasian countries will increase the volume of trade to $2 billion within a three-year plan that is based on recent preferential trade agreement, said the Deputy Minister of Agriculture.

"The Eurasian countries including Russia, Kazakhstan, Kyrgyzstan and Belarus have agreed to expand trade in various sectors including agriculture since October 27," said Mehdi Kazemnejad, Trend reports citing IRNA.

"The preferential trade agreement creates opportunities for imports and exports of agricultural products that will obtain preferential advantages. The implemented preferential tariff covers up to 45 items of agricultural goods that include fruit, vegetable, shrimp, trout, nuts, pistachio and fruit juice," the deputy minister added.

"Iran's annual trade with Eurasian countries is from $350 million to $400 million and it’s predicted to reach $2 billion due to preferential trade agreement," Kazemnejad said.

"Based on the agreement, Iran will be part of free trade and there will be zero tariffs for imports and exports of goods. The negotiation in this field is the best way for Iran to join the World Trade Organization," the deputy minister noted.

He went on to say that the sanctions can affect various sectors of Iran's economy, but they have no effect on the agreement with Eurasia. "Transferring money to Eurasian countries is being done easily and the necessary efforts have been made to increase Iran's trade with them," Kazemnejad added.

Exports of Iran's agricultural products to Russia amount to $217 million, to Kazakhstan - $65.9 million, and to Kyrgyzstan - to $11 million to Kyrgyzstan and mainly include apple, vegetables, orange, raisin, dates, kiwi and pistachio.

The preferential agreement stipulates 100 percent cut in imports tariff of Iran's agriculture products.