TEHRAN (Iran News) – Leap in Tehran-Algeria Trade Depends on Removing Hurdles. In a webinar held on Wednesday, Iran and Algeria’s Chambers of Commerce reviewed ways to boost bilateral trade and using the barter trade mechanism to increase the bilateral trade to $2b.
Head of Iran Chamber of Commerce, Industry, Mine and Agriculture (ICCIMA) Mr. Golam-Hossein Shafei and Head of Algerian Chamber of Commerce and Industry Mr. Shabab Tayeb in the webinar reviewed ways for boosting bilateral trade exchange.
In the meeting, Shafei deplored the current low economic relations between Iran and Algeria despite their huge historical and cultural commonalities, adding that this is not good for the two countries despite their capacities and capabilities. He went on to say that the value of bilateral trade between Iran and Algeria was reported around $124m in 2020 while the potentials for cooperation between the two countries can by beyond this figure, noting that in case the hurdles are removed, the trade volume can hit $2b.
He went on to say that by resolving problems ahead of trade for economic activists like banking and transportation, their trade exchanges can surpass $500m in the shortest time, and with a well-organized planning, it can hit $2b in the long-term.
Shafei went on to say that Iran’s private sector is seeking seriously and willingly the expansion of economic relations with African countries especially Algeria. He added that Iran and Algeria each in its own region in the Middle East and North Africa enjoys having an important geopolitical position and each has great capacities and can be the flag-bearer of economic connection in the two regions.
He then pointed to some fields for cooperation and said Iran and Algeria can cooperate in the fields of petrochemical, equipment for gas transfer and refinery services. He noted that Iran has good and advanced experiences in house construction and related industries of the construction industry, car, home appliances, agro products equipment and technology, renewable energies, launch of production lines for different industries especially in the food industries, and the country is after joint economic cooperation with Algerian companies and reciprocal utilization from the capabilities of Algeria in different fields and production products.
Shafei then pointed to the brilliant experience of Iran’s private sector in discovery and exploitation of mines, it can have good cooperation in the field of mining industry with Algeria.
He reiterated that the ground for cooperation in the form of barter trade is ready and Iran can import sugar and phosphate in exchange with exporting steel. He said that to this end, statesmen of the two countries should prepare the required grounds in this field.
He expressed hope soon through the launch of the joint economic commission, the hurdles in way of bilateral trade, like banking, visa and transportation problems, would be removed and trade and custom cooperation would be eased.
Meanwhile Head of Algerian Chamber of Commerce and Industry Mr. Tayib, for his part in the webinar, said that Iran is one of the top economies in the Middle East, adding that Algerian economy relies on export of oil, gas and petrochemicals. He reiterated that the chamber is working hard for removal of hurdles in way of bilateral trade, reiterating that this issue is pursued regarding their special political relations.
He noted that Algeria have plans for boosting the trade exchanges and the country is looking for joint projects with Iranian companies especially in the fields of agriculture, olive and also hygienic products.
Tayib admitted that of course there are some obstacles for expanding ties but he is sure that with a program which will be prepared by the yearend in Algeria, a good opportunity will happen for expansion of cooperation between Iranian and Algerian companies and all should take advantage of it for expansion of relations between Iran and Algeria.