Iran traded 303,613 tons of non-oil commodities worth $108.77 million with the five member states of Eurasian Economic Union, namely Russia, Kazakhstan, Armenia, Kyrgyzstan and Belarus, in the first Iranian month (March 21-April 20), registering a 24.99% increase in tonnage and 51.77% decrease in value compared to last year’s similar month.
Latest data released by the Islamic Republic of Iran Customs Administration show Iran’s exports totaled 143,047 tons worth $39.84 million during the month, indicating a 13.8% rise in tonnage and a 14.53% decline in value year-on-year.
Imports stood at 160,566 tons worth $68.92 million, up 36.99% in tonnage and down 61.48% in value YOY.
EEU is an international economic union comprising countries located in central and northern Asia and Eastern Europe. The founding member states, Belarus, Kazakhstan and Russia, established the union by treaty that entered into force on Jan. 1, 2015.
The bloc was created in response to the economic and political influence of the European Union and other western countries. Key objectives of the EEU include increasing cooperation and economic competitiveness for the member states and the promotion of stable development to raise the standard of living in member states.
Main Commodities, Trading Partners
Iran mainly exported kiwis, tomatoes, pistachios, cabbage, dates and dairy products to EEU countries.
In exchange, major commodities imported into Iran from EEU nations included field corn, sunflower oil, barley, radio navigation devices and sheep carcasses.
In terms of total trade value, Russia topped the list among EEU countries with bilateral trade standing at 213,886 tons worth $87.84 million, up by 48.45% in tonnage and down 54.61% in value YOY.
Exports to Russia amounted to 65,500 tons worth $25.71 million to register a 1.77% growth in tonnage and 8.58% decline in value YOY.
Russia was Iran’s top export destination among the countries under review and 13th worldwide.
In return, Russia exported 148,386 tons of commodities worth $62.12 million to Iran, up by 86.15% in tonnage and down 62.44% in value YOY.
Russia was the top exporter of goods to Iran among EEU members and 10th in the world.
Major Iranian commodities exported to Russia were kiwis, tomatoes, cabbage, pistachios and dairy products.
In exchange, Russia mainly exported field corn, sunflower oil, barley and radio navigation devices to Iran.
Kazakhstan was Iran’s second biggest trading partner among EEU nations during the one month, as two-way commercial exchanges reached 43,410 tons worth $8.62 million to register a 45.26% and 56.67% decrease in tonnage and value respectively YOY.
Iran exported 33,837 tons of goods worth $5.66 million to Kazakhstan, down 22.21% and 48.57% in tonnage and value respectively YOY.
Kazakhstan was Iran’s third export destination among EEU and 29th in the world during the period.
Iran’s exports to Kazakhstan mainly included dates, Portland cement, raisins and pistachios.
Iran imported 9,573 tons of commodities worth $2.96 million from Kazakhstan, down by 73.26% and 66.68% in tonnage and value respectively YOY, which mainly consisted of barley and sheep carcasses.
Kazakhstan was the second exporter of goods to Iran among the nations under review and 35th exporter to Iran in the world.
Armenia was Iran’s third major trading partner among EEU states.
Mutual trade between Iran and Armenia amounted to 42,418 tons worth $6.64 million, indicating a 153.52% and 0.45% growth in tonnage and value respectively YOY.
Iran’s exports reached 42,300 tons worth $6.24 million, up 156.03% and 9.5% in tonnage and value respectively YOY, while Armenia’s exports to Iran were at 118 tons worth $402,834, down by 44% and 55.94% in tonnage and value respectively YOY.
Armenia was Iran’s second export destination as well as the fifth exporter of goods to Iran among EEU members. Moreover, the country was Iran’s 27th export destination and 64th exporter to Iran in the world.
Low-density oil, bitumen, Portland cement and film grade polyethylene were Iran’s main goods exported to Armenia, while Armenia exported medical equipment, sheep carcasses and sesame seed to Iran.
Kyrgyzstan was the third biggest exporter to Iran, after Russia and Kazakhstan, among EEU countries and 42nd in the world, as Iran imported 1,769 tons worth $1.81 million from Kyrgyzstan during the month, up by 233.01% and 76.78% in tonnage and value respectively YOY.
Iran mainly imported sheep carcasses and kidney beans.
Highest Growths, Declines in Trade
Trade with Kyrgyzstan ($3.66 million) and Armenia ($6.64 million) saw the highest YOY growths of 34.15% and 0.45% respectively, while trade with Kazakhstan ($8.62 million), Russia ($87.84 million) and Belarus ($1.99 million) witnessed the lowest declines of 56.67%, 54.61% and 27.66% respectively.
Iran’s exports to Belarus ($375,374), Armenia ($6.24 million) and Kyrgyzstan ($1.85 million) saw the highest growth of 400.61%, 9.5% and 8.54% respectively while exports to Kazakhstan ($5.66 million) and Russia ($25.71 million) witnessed the highest declines of 48.57% and 8.58% respectively.
Imports from Kyrgyzstan ($1.81 million) saw the highest growth of 76.78% while imports from Kazakhstan ($2.96 million), Russia ($62.12 million) and Armenia ($402,834) witnessed the highest declines of 66.68%, 62.44% and 55.94% respectively.
Iran and the Eurasian Economic Union intend to substantially increase trade, as the two sides signed a three-year provisional agreement on May 17, 2018, for the bloc to welcome Iran into EEU.
The arrangement is the first step in implementing free trade between Iran and the five members of the union. It lowers or abolishes customs duties, setting off a three-year process for a permanent trade agreement.
As per the terms of the deal, Iran, which is not a member of World Trade Organization, will assume obligations stipulated by this organization, which will make its trade with EEU members more transparent and predictable.
