Strengthening trade relations by developing joint industrial and logistics projects: TCCIMA head with Turkey envoy
The Turkish Ambassador to Iran and the Turkish Embassy’s Trade Advisory Expert met with the Chairman of the Industry, Mining and Transportation Commissions of the Tehran Chamber of Commerce, Industries, Mines and Agriculture. In this joint meeting, strategies for resolving logistical, transit and financial challenges between the two countries were examined, and the parties exchanged views on revising the preferential trade agreement and establishing new banking mechanisms.
Facilitating Transit Processes by Relying on Combined Transport
At the beginning of this meeting, Mahmoud Najafi-Arab, President of the Tehran Chamber, discussed the cultural, historical and economic commonalities between the two countries and appreciated Turkey’s comprehensive support for Iran in various periods, especially during the Ramadan War. While briefly introducing the Tehran Chamber and the economic capacities of the capital, Najafi-Arab said: More than 50 percent of Iran’s gross domestic product (GDP) is concentrated in Tehran, and the Tehran Chamber, with more than 47,000 members, is ready to introduce pristine investment opportunities to Turkish companies.
He continued by emphasizing the importance of developing economic diplomacy in order to strengthen the supply chain and transit, and referred to changing the route of trade corridors according to the country’s specific conditions, adding: Previously, a major part of the country’s transit processes were carried out through southern ports, but now the focus has shifted to other corridors, including Turkey. Therefore, examining and managing the challenges of transportation and logistics of goods via Turkey is considered a strategic priority.
The head of the Tehran Chamber, proposing that trade development plans with Turkey be formulated based on two different time periods, including the "period of regional uncertainties" and the "period of sustainable peace", listed the limitations of the Iranian fleet's activity in some Turkish ports, high transportation and transit costs, long customs and goods clearance processes as the main concerns in this sector, and called for the possibility of trucks from the two countries traveling across the borders, speeding up the processes to reduce border queues, and increasing the capacity of other transportation models.
He also stated that "the necessity of rebuilding the damaged infrastructure of various industrial sectors during the Ramadan war has created an opportunity for Turkish investors," pointing to the readiness of the Tehran Chamber to hold joint events and identify target markets, and added: The Tehran Chamber of Commerce can pave the way for the presence of the Turkish private sector in the fields of infrastructure, energy, food industry, industrial equipment, and machinery.
Emphasizing that "co-investment and utilizing the capacity of joint cooperation will lead to economic growth of the two countries," Najafi Arab continued: Developing targeted interactions with Turkey, as one of Iran's main economic partners, can play an important role in maintaining trade flows, supplying intermediate and capital goods, improving access to technology and equipment, and increasing economic resilience.
The head of the Tehran Chamber also considered the development of banking infrastructure, strengthening regional banking, and the use of cross-border business cards to facilitate financial transactions as key solutions to reduce the cost and time of transferring funds.
Resolving Customs Challenges and Streamlining Trade Relations
Following this meeting, Hejabi Kerlangic, the Turkish Ambassador to Iran, welcomed the proposal presented in the field of joint production and addressed some requirements for the development of trade relations between Iran and Turkey, and called simplification of processes and reduction of bureaucracy among these requirements.
He continued, referring to the necessity of maintaining cultural and trade relations between the two countries and synergy for crisis management, and said: The Turkish government is pursuing the resolution of challenges in the field of transportation and trade by strengthening trade diplomacy. Also, from another channel, the Turkish Chamber of Commerce, in cooperation with the Iranian Ministry of Foreign Affairs, is seriously pursuing the resolution of customs problems and other obstacles to the Iranian private sector. Trade relations by developing joint industrial and logistics projects