FATF: The Biggest Obstacle to Trade Between Iran and Uzbekistan

TEHRAN (Iran News) In an interview with Iran Chamber Online, Mousa Aghaei, the chairman of the Iran-Uzbekistan Joint Chamber of Commerce, highlighted the importance of technical and engineering services exports as a major advantage for the private sector. He stated that, considering Uzbekistan’s 2030 strategy, this advantage should be leveraged.

Aghaei added that Uzbekistan’s strategy places significant emphasis on improving infrastructure, especially in construction and road-building sectors, as well as the renovation of buildings.

He also noted the upcoming Uzbekistan Construction Industry Exhibition in March, revealing that the Joint Chamber would send a trade delegation to Tashkent from March 5 to 9, coinciding with the exhibition. The delegation will consist of key figures from the construction sector.

Aghaei mentioned that companies from various Iranian provinces including Tehran, Isfahan, Alborz, Gilan, and Mazandaran would participate in the delegation. Planned activities include B2B meetings, visits to key construction-related sectors in Uzbekistan, and meetings with members of the Uzbekistan Construction Union.

He emphasized that major cities like Tashkent, Samarkand, and others in Uzbekistan are developing new residential neighborhoods, presenting an excellent opportunity for Iran to leverage its technical and engineering services in boosting bilateral trade relations.

Acknowledging the strong presence of countries like Russia, China, and South Korea in Uzbekistan, Aghaei stressed the need for Iran to keep up with its competitors. He pointed out that Iran faces numerous challenges in foreign trade.

Despite the strong interest from the people and government of Uzbekistan in collaborating with Iranian businesses, Aghaei noted that trade between the two countries, amounting to $500 million, is not satisfactory. He highlighted that FATF restrictions, transportation issues, and high tariffs are the key barriers hindering deeper cooperation.

The chairman also pointed to Iran’s advantages in sectors such as technical and engineering services, construction materials, industrial products, agricultural equipment, and knowledge-based products for trade with Uzbekistan. He shared that a recent meeting with the Uzbek Ambassador to Iran explored the prospects of Iran entering Uzbekistan’s knowledge-based market, which was met with great enthusiasm.

Additionally, Aghaei announced the establishment of a permanent sales office for Iranian food industry products in Tashkent, Uzbekistan. This initiative, a collaboration between the Mazandaran Chamber of Commerce and the Joint Chamber, is expected to significantly enhance the level of cooperation between the two countries.