Iran Warned Over Losing Iraq Market to Its Rivals
IRAN NEWS ECONOMIC DESK
TEHRAN – Chairman of the Iran-Iraq Chamber of Commerce Yahya Ale-Ishaq says Iran will find it hard to dominate Iraq’s market as its rivals are ready to enter this country.
Speaking to Tasnim News Agency, Ale-Eshaq said that evidences show that in case the security and peace is restored fully inIraq, the U.S., Europe and many other countries in the region are after long term cooperation with this country.
He added that the most important issue is to know threats and opportunities for both countries, adding that Iran can cooperate resolving regional problems due to the mutual capacities of both states and ways of development. So we should properly take exploit opportunities of economic cooperation with Iraq, he added.
Ale-Eshaq added that if Iran pursues short term interests and implements the same programs in the Central Asia in Iraq, it will definitely face problem and rivals will replace it in the Iraq market. He admitted Iran’s rivals are waiting for restoration of security in Iraq to take back Iraq’s market from Iran.
He noted that China, Turkey, Saudi Arabia and other Arab states are Iran’s rivals in Iraq and they are after dominating Iraq market and some of those countries also follow seriously political and security issues apart from economic in Iraq.
He further said that Saudi Arabia is concerned about sustainable economic relation between Iran and Iraq because rise in Iran and Iraq relations will be against Saudi Arabia’s interests. Hence, Saudis are after serious presence in Iraq to become a serious obstacle for Iran’s presence in this country.
Ale-Eshaq pointed to the electricity issue as an example, saying that since Iraq is in dire need of electricity, Saudis in cooperation with Americans is trying to take the control of power stations and provision of electricity in Iraq in their own control in the long term, and it will help them to lessen Iraq’s dependence and cooperation with Iran.
He reiterated that Europeans are also waiting for restoration of security in Iraq in order to enter this country’s market and in case they enter, the condition for Iran will become very tough.
Ale-Eshaq added Iran and Iraq have agreed to increase their trade volume to $20b and the ground for it has been prepared and it is expected to be materialized in the next five years.
He noted that Iran’s exports to Iraq stood at $12b last year and the country earned $3b for exporting energy, technical and engineering services.
Raw materials, foodstuff, cement, steel and general goods were of the major exports of Iran to Iraq, he added.
Ale-Eshaq further said that the Coronavirus pandemic has affected the trade for both states and due to the fall in Iraq’s oil revenues, the volume of bilateral trade with Iran has also been affected and it is expected Iran’s exports to Iraq to be around $9b this year.
