Kazakh businesses are planning to increase their presence in the Iranian market
A free trade agreement between the Eurasian Economic Union (EAEU) and Iran, on the brink of finalization, is anticipated to increase annual trade between the two to $18-20 billion. This agreement is expected to provide Kazakhstan, a member of the EAEU, with opportunities to strengthen its position in the Iranian market. Andrey Slepnev, a member of the Board for Trade of the Eurasian Economic Commission (EEC), shared this information during a briefing on December 21, as reported by Kazinform.
Slepnev emphasized the potential for Kazakhstan to export traditional Kazakh products to Iran, underscoring the opportunities for economic gains in this regard.
“In Kazakhstan, we see prospects for the supply of traditional Kazakh products to Iran, first of all, wheat, barley, agri-food products, and in the industry — metals, chemical products. This agreement will allow Kazakhstan to increase its presence in the Iranian market,” he added.
Slepnev highlighted Iran's strategic importance as a substantial market, a neighboring country, and a key participant in the international North-South transport corridor.
“Iran is a large market, our neighbor, and a key country in the international North-South transport corridor. We consider the new agreement as one of the elements of this corridor,” said Slepnev.
Slepnev detailed the ambitious objectives outlined within the agreement, emphasizing that transitioning to a comprehensive agreement could facilitate a swift doubling of trade. The initial target is to reach $18-20 billion in trade, a milestone considered attainable in the near future.
Scheduled for adoption next week, the EAEU-Iran free trade agreement is designed to align with World Trade Organization (WTO) principles for its implementation. Efforts are ongoing to harmonize regulations, especially considering Iran's non-membership in the WTO. Additionally, there's a focus on expanding payment channels using national currencies.
