TEHRAN (Iran News) – Tehran-Nairobi Direct Cargo Flight to Be Launched by End of 2021. The trade meeting between Iran’s Chamber of Commerce and Kenya’s trade delegation was held on Wednesday in the presence of senior officials of the chamber and economic activists Iran and Kenya.
In the meeting, Head of International Affairs of Iran Chamber of Commerce, Industry, Mine and Agriculture (ICCIMA) Mohammad Reza Karbasi termed Kenya as one of the developing countries in East Africa which enjoys a good geopolitical position and favorable climate. He added that Kenya is considered as one of the most industrial countries of East Africa and one of the influential members of the Common Market for Eastern and Southern Africa (COMESA).
He went on to say that Kenya with having the most important and strategic Mombasa Port and its good infrastructures can easily provide marine transportation in the East Africa for the economic activists. Karbasi emphasized that due to the existing potentials and capacities in Kenya in different fields like extraterrestrial cultivation, food and agro conversion industries as well as livestock and meat, there are huge opportunities for economic cooperation between Tehran and Nairobi.
He then pointed to the current trade volume of the two countries, and added that despite such grounds for cooperation, we have seen inconsiderable trade volume between the two countries in the past years, noting that the trade between Iran and Kenya in 2020 hit just over $60m. He reiterated that because of the potentials of the two countries, their trade volume can easily reach $500m in the next one year.
Karbasi said that Iran can meet the demands of Kenya in oil, bitumen, petrochemicals, machineries and motor equipment, medicines and foodstuff and Kenya also have some good grounds for trade with Iran like in the field of coffee, tea, tropical fruits, grains and agro products. He further said that if the required grounds are provided for economic activists of the two states, the trade volume of the two countries would definitely reach $500m in the shortest time.
He claimed due to the good potentials of the two countries, it is forecasted that their trade volume can reach $6b but its materialization needs a long-term approach by the officials of the two countries as well as preparing the required grounds for the economic activists of Iran and Kenya.
He said one of the most important axes for bilateral cooperation is the cooperation between the provinces of the two countries and in this line since two years ago the Iran-Keya Joint Chamber and the Qazvin Chamber of Commerce have been tasked to pursue the affairs related to the trade between Iran and Kenya.
Karbasi also pointed to some problems in way of bilateral trade and said that using the capacities of the local banks and especially small banks in money exchanges between the two countries is one of the priorities. He said one of the problems is the banking brokerages regarding the money transfer which has caused the two countries to fail in expanding their economic cooperation.
He then termed barter trade as a tool for skirting the current financial problems between the two states. He then pointed to some fields like solar energies, technical and engineering services for bilateral cooperation. He then announced the readiness of the ICCIMA for any coordination and long-term economic cooperation between the two countries.
Then the governor of Bomet County of Kenya and head of the visiting Kenyan trade delegation Mr. Hillary Barchok, for his part, pointed to the good progresses in the ties of Iran and Kenya and said the last meeting of the trade delegations of the two countries happened last November. He said fortunately Iran has imported tea from Kenya considerably since then and the visiting delegation is to start a joint investment in the field of tea in Lahijan, Gilan Province.
He added that Kenya is after creating facilities for Iranian traders, adding that his country is facing some challenges in this regard like the U.S. sanctions but these restrictions will not cause Kenya to stop working and it wants to increase its trade with Iran in any condition.
Barchok expressed hope Kenya can receive services from Iran in the field of medical education, medical equipment and medicines. He then invited Iranian trade delegations for visiting Kenya and said that losing time means losing money and capital, adding that Kenya is determined to expand its economic relations with Iran and it believes it should not waste the time.
Then Karbasi said that it is expected the direct cargo flights between Iran and Kenya to be launched by the end of 2021, and said Iran is determined to expand its ties with Kenya and the launch of the first joint investment in the field of tea and its packing is a good news regarding the strong determination of the two countries for developing bilateral cooperation.