TEHRAN (Iran News) – Head of the Georgia-Iran Chamber of Commerce and Industry Seyedeh Fatemeh Moghimi in a webinar said that the trade volume between Iran and Georgia has declined by 15 percent this year and called for exploring ways for expansion of trade with this European country.
In the webinar on reviewing economic and trade cooperation of Iran with the Caucasus states and Russia after the second Karabakh war which was held by the Institute for Iran-Eurasia Studies in Tehran, Moghimi said Georgia with population over 4 million people has joint borders with Russia, Turkey and Armenia and strategically is the bridge between Europe and Asia.
Pointing to the good trade relation of Georgia with the world, she said cost of living in Georgia is low comparing to other European states and culturally Georgia is close to Iran. She noted that the economic freedom in this country is very considerable, adding that Georgia ranks 9th in the Index Economic Freedom ranking and it is even above countries like France and Norway, and therefore it has favorable condition for foreign investment.
Moghimi said that the ownership of foreign investment in Georgia is 100 percent and in its international trade, the country levies the minimum tariff and on the whole it signs free trade regime with different countries.
She added that investors are respected in this country but reimposition of the U.S. sanctions against Iran caused restriction in exports of Iran to Georgia.
This economic activist pointed to the expansion of tourism industry in Georgia and said the country earns a lot in this sector and tourists after visiting this country try to get citizenship of Georgia. She added that after cooling down of military crisis between Georgia and Russia, construction has picked up fast in this country.
Moghimi stated that the most important goods being imported from Georgia to Iran are wood and chocolate while goods like tile, bitumen and construction glass are exported to this country. She went on to say that the sanctions against Iran caused 15 percent decline in the trade between Iran and Georgia, adding that when Georgia joined the WTO it was forced to restrict its trade with Iran under international pressures.
She reiterated Iran usually uses Turkey as a corridor to join Europe but the position of Georgia for access to European market is much more favorable and political infrastructures should be regarded more for economic growth in the ties between Iran and Georgia.
Moghimi stated that most of trade is carried out from Azerbaijan route and this route is easier and much more favorable.
Meanwhile in the webinar, Head of Iran-Russia Chamber of Commerce Hadi Tizhoush Taban, for his part, said that Russia imports goods worth over $231b per year and Iran ranks 41st in export to Russia, adding that when the COVID-19 virus broke out, Iran’s citrus products suddenly surged.
He said land borders to Russia have not been strengthened, adding that Iran should make the most out of its free zones for developing trade with Russia. He said unfortunately officials did not pay heed to the issue of lockdown and consequences of this negligence emerged in the trade relation between Iran and Russia and the country needs a serious decision in this regard.
Tizhoush Taban stated some Iranian investors have started extraterrestrial cultivation in Russia due to the abundance of water in this country.