Economy, Domestic Economy

Turkish Transit Fee Row Hampers Exports

Turkish Transit Fee Row Hampers Exports Turkish Transit Fee Row Hampers Exports

The transit fee spat facing trucks carrying goods between Iran and Turkey has hampered export between the two countries at Bazargan border, the Chairman of Iran-Turkey Joint Trade Commission Reza Kaami told IRNA on Thursday.

The row may reduce exchanges among Iranian and Turkish businessmen, he warned. The disagreement broke up on October 10 when Turkey started charging Iranian trucks $31 per 100 kilometers, saying Iran did the same. Iranian officials retaliated by matching the increase. Turkey has since raised the rate to $63 per 100 kilometers. Iranians say they levied a $31 fee on Turkish trucks due to the gap in fuel prices in the two countries. Turkish fuel stations have, for their part, stopped selling fuel to Iranian trucks.

Kaami complained that the illegitimate transit duties have resulted in the reduction of exchange of goods between Iran and Turkey and is threatening foreign trade of both countries.

Sealing fuel tanks of Turkish trucks arriving in Iran is the most recent agreement between officials of the two countries. By late November, Turkish truck drivers will receive no fuel inside Iranian territory, Mohammad Javad Atrchian, Director General of Border Transit and Terminals of the Roads Maintenance and Transportation Organization said last week.

Due to the Turkish government’s move in charging Iranian drivers with illegal tariffs, the two countries’ officials commenced their negotiations; however, the Turkish side did not accept the terms of negotiations and demanded for sealing of fuel tanks of Turkish trucks inside Iran.

Accordingly, Iran has notified all executive organizations such as the customs administration, governor’s offices, and the central headquarters for combating smuggling of commodities and hard currency and mandated them to seal Turkish trucks upon arrival in Iran. Turkish trucks will be sealed upon their arrival and the seals will be checked at exit points.

“The seals will be checked at certain points inside the country so that Turkish trucks will not be allowed to refuel in Iran,” Atrchian asserted.