Iran Eyes Boosting Its Trade With Iraq to $20b
IRAN NEWS ECONOMIC DESK
TEHRAN – Head of Iran Trade Promotion Organization (TPO) says the current trade capacity of Iran with Iraq is $9b per annum but with the outlook set by the government it is tp be enhanced to $20b
Hamid Zadboum said that currently Iran has the control of 25 percent of Iraq’s market and this capacity should be kept.
He noted that Iraq has never levied customs tariffs for Iranian goods and in case Iraqi government levies tariff, it is for all countries and it has not been only limited to Iran, reiterating that Iran does not also levy tariffs for a certain country because it means an economic war.
Zadboum also stated that the top 20 leading countries in exports have witnessed 10 to 15 percent decline in their exports due to the Coronavirus pandemic except China whose export volume is $5,000b.
He further said Iran in the first four months of the current year has witnessed 40 percent fall in its exports due to sanctions and the virus pandemic and the decline was mostly because of the closure of border checkpoints in the first two months and at that time only two borders with Iraq and Afghanistan were open.
He said due to the pandemic, 31 land borders with Iran were closed and currently 29 out of 31 land borders are open and active.
Zadboum also urged the economic activists to focus on earning forex for the country otherwise exports without repatriating the forex is a useless thing.
He said Iran imports essential goods worth $9 to $14 billion per year for different sectors and in the current condition and economic war with the U.S. that all borders are closed, earning forex for imports of essential goods and raw materials is important.
He also said this year the country is focused on exports to the neighboring states and Iraq has the best potentials.
He admitted 71 percent of this year’s exports are done through land and sea borders with the neighboring states. He reiterated that the country is determined to at least export goods worth $41b like last year but it wants to increase the target.
He expressed hope by the reopening of the borders, exports to the neighboring states would accelerate and the earned forex would be repatriated into the country.
