Iran traded $190 million worth of mining and mineral products with member states of the Eurasian Economic Union in the fiscal 2021-22 (ended March 20), according to the Iranian Mines and Mining Industries Development and Renovation Organization.
Steel manufacturing chain products topped the list of traded goods with $80.96 million. It was followed by zinc with $19.53 million.
Iranian exports stood at $167.95 million during the period.
Imports hit $22.05 million in fiscal 2021-22, wherein steel manufacturing chain products with $5.76 million and titanium with $1.29 million were the main products.
Iran’s total trade with EEU stood at 13.13 million tons worth $5.64 billion in the fiscal 2021-22, registering a 51% and 66% year-on-year growth in weight and value respectively, according to Rouhollah Latifi, spokesman of the Islamic Republic of Iran Customs Administration.
Exports to the five member states hit 2.77 million tons worth $1.17 billion, up 3.5% and 12% YOY in terms of weight and value respectively.
Russia with 1.14 million tons (up 8% YOY) worth $583.66 million (up 10% YOY) was the top export destination during the period. It was followed by Armenia with 1.05 million tons (down 15% YOY) worth $302.34 million (down 0.5% YOY), Kazakhstan with 517,628 tons (up 54% YOY) worth $188.87 million (up 13% YOY), Kyrgyzstan with 45,873 tons (up 56% YOY) worth $78.9 million (up 72% YOY) and Belarus with 11,934 tons (up 77% YOY) worth $16.81 million (down 20% YOY), IRNA reported
Imports stood at 10.37 million tons worth $4.47 billion, registering a 73% and 90% YOY growth in terms of weight and value respectively.
Russia was also the top exporter to Iran with 9.1 million tons (up 74% YOY) worth $4.05 billion (up 92% YOY). It accounted for 88% of the total weight and 91% of the value of Iran’s total imports from EEU during the period.
Livestock feed, essential goods and edible oils were the main imported commodities from Russia. It was followed by Kazakhstan with 1.24 million tons (up 67% YOY) worth $379.27 million (up 88% YOY), Belarus with 9,280 tons (down 28% YOY) worth $28.61 million (down 8% YOY), Armenia with 4,475 tons (down 29% YOY) worth $9.07 million (up 24% YOY) and Kyrgyzstan with 935 tons (down 57% YOY) worth $1.66 million (down 35% YOY).
Iran and the Eurasian Economic Union signed a three-year provisional agreement in Astana, Kazakhstan, on May 17, 2018, for the bloc to welcome Iran into EEU. The arrangement, which lowers or abolishes customs duties, is the first step toward implementing free trade between Iran and the five members of the union.
“The Eurasian Economic Union and Iran are expected to arrive at a full-fledged agreement on creating a free trade zone in 2023,” Russian Economic Development Minister Maxim Reshetnikov was quoted as saying by Interfax on Wednesday.
"We expect that within the context of our negotiations - the fifth round of negotiations has already been held - we will arrive at a permanent agreement on a free trade zone next year with a fundamentally broader reach and depth, since we understand that right now the conditions, situation and developed potential are really pushing us toward maximally deep cooperation," he said at the Second Caspian Economic Forum.
As part of the free trade agreement Iran is negotiating with the Eurasian Economic Union, 80% of goods traded between the two sides will be entitled to zero customs tariffs, according to Mirhadi Seyyedi, an advisor to Trade Promotion Organization of Iran for international affairs and trade treaties. He is the lead negotiator in talks with EEU.
“Never before have we had an agreement as inclusive as this [the prospective free trade deal with EEU]. Clearly, when the provisional agreement is upgraded to a free trade treaty, out foreign trade will get a considerable boost,” Seyyedi was quoted as saying by IRNA.
