Irans trade with EAEU grows by 11

Iran’s trade with EAEU grows by 11%

TEHRAN — Trade between Iran and the Eurasian Economic Union (EAEU) has increased by 11 percent in the first nine months of 2024 compared to the same period last year, according to the union's press service.

This growth comes as Iran is set to be accepted as an observer member of the EAEU at the union's upcoming summit in December 2024.

According to the statement, Iran’s exports to the EAEU member countries—Armenia, Belarus, Kazakhstan, Kyrgyzstan, and Russia—rose by nine percent in the first three quarters of the year, particularly driven by vegetables, fruits, and nuts, which showed an 11 percent increase compared to 2023.

The EAEU also reported that the most significant portion of exports from its member states to Iran consisted of agricultural products, which had increased by more than 10 percent year-on-year.

In addition, the Russian Ministry of Economic Development recently confirmed that Iran's application for observer status was approved during a meeting of EAEU deputy prime ministers in early December 2024, with final approval expected at the heads of state summit in the same month.

Dmitry Volvach, the Russian Deputy Minister of Economic Development, stated that Eurasian leaders will review and confirm Iran’s status at the summit, a decision he predicts will lead to enhanced cooperation between Iran and the union.

Meanwhile, Iranian President Masoud Pezeshkian emphasized in a televised interview that Iran is on the verge of becoming an observer member of the EAEU. He stressed that this status would allow Iran to establish trade relations with EAEU member countries at preferential tariff rates, creating new opportunities for Iranian producers and traders.

The Eurasian Economic Union is a regional economic bloc founded in 2014, comprising Belarus, Kazakhstan, Russia, Kyrgyzstan, and Armenia. Iran signed a free trade agreement (FTA) with the EAEU in 2024, which, once ratified by the union's member states and Iran’s Parliament, will eliminate tariffs on 87 percent of Iran’s exports to EAEU countries.

Mirhadi Seyedi, an international trade advisor for the Iran Trade Development Organization, confirmed that the agreement has already been ratified by the parliaments of Russia, Belarus, and Kyrgyzstan, while Iran, Armenia, and Kazakhstan are still awaiting parliamentary approval. The deal is expected to be implemented two months after the last parliament ratifies it, bringing significant trade benefits to both sides.

Andrei Slepnev, the EAEU’s Minister of Trade, noted that the trade turnover between Iran and the union could reach $12 billion in the near future, reflecting the growing economic ties between Iran and the region.

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source: tehrantimes.com