Iran, Iraq capable of increasing bilateral trade to $20b by 2021: industry min.

(Tuesday, October 8, 2019) 09:34

TEHRAN – Iranian Minister of Industry, Mining and Trade Reza Rahmani says Iran and Iraq have the potential to increase the value of their bilateral trade to $20 billion dollars by 2021.

Speaking to the press on Sunday, Rahmani put the value of trade between the two countries at $12 billion in the past Iranian calendar year (March 2018-March 2019), adding that the figure will rise to $20 billion by the year 2021.

The official said developing relations with neighboring countries is a priority for his ministry, adding that “Exchange of trade delegations, holding exhibitions in both countries, establishment of an Iranian permanent exhibition in Iraq, and an increase in the exchange of visit the two countries’ officials, are on the agenda of the Industry Ministry to increase the volume of trade between the two countries.”

He further referred to the increase in the number of border crossings on the shared borders with Iraq, describing the launch of Shalamcheh-Basreh railway as a good opportunity to develop Iran-Iraq bilateral trade relations.

The industry minister further noted that there are good steps being taken in customs relations to promote the level of relations.

The economic and political relations between Iran and Iraq has increased significantly in the past few years and the two neighbors are seeking ways to facilitate financial transactions and boost their trade ties.

Back in August, Iraqi Ambassador to Iran Sa’d Javad Qandil said his country and Iran are considering mechanisms to use local currencies in their bilateral trade to reduce reliance on the U.S. dollar.

Iran’s exports to Iraq have increased by 37 percent in the last Iranian calendar year (ended on March 20) and the two country’s officials have constantly stated that the two sides have it on agenda to boost their mutual trade to $20 billion by 2021.