Strengthening Russian-Iranian cooperation against the backdrop of Western sanctions against Russia

Bahman Abdullah, head of Iran’s Chamber of Cooperatives, expected trade with Russia to grow by 60% by the end of 2022 as the Iranian government prioritized its exports to Russia.

In the Crocus Expo hall, in the presence of the head of the Chamber of Cooperatives of Iran, an exhibition of Iranian products was opened, where the products of more than 40 Iranian companies are presented, including manufacturers of building materials, household goods, metallurgical and chemical industries. presented. According to the Russian Federal Customs Service, Russia’s exports to Iran for 2021 amounted to $3.07 billion, of which imports were $972 million.

Abdullah said that the Iranian government has identified priority areas for exports to Russia in light of the development of bilateral relations, namely construction materials, pharmaceuticals, medical equipment, petrochemicals, clothing and footwear, as well as auto components and energy equipment. This is expected to lead to further expansion of cooperation between Russia and Iran in several sectors, which is expected to increase trade between the two countries by 60% by the end of 2022.

The cooperative sector of the Iranian economy consists of production cooperatives operating in towns and villages, operating in various sectors including agriculture, real estate, construction, carpet weaving and traditional handicrafts, as well as logistics and services. According to Bahman Abdullah, their products account for 14% of the Islamic Republic’s GDP.

Abdullah hopes that the exhibition will lead to the expansion of trade relations between businessmen of the two countries, but at the same time points to logistical difficulties hindering the development of these relations, explaining: “Today, products are shipped to Russia through third parties, they do not always cooperate as expected ”, – Abdullah believes that the best way to supply Iranian products is by sea, but “you have to deal with a shortage of ships.”

According to the head of the Iranian Trade Promotion Organization, Alireza Peymanbak, the Iranian government has already identified priority areas, and given the close connection and favorable climate for relations between Iran and Russia, as well as open roads, there is an opportunity to effectively increase trade between the two countries.

The active rapprochement between Russia and Iran began against the backdrop of sanctions imposed by the European Union, the United States of America and Great Britain against Russia after the start of the Russian special military operation in Ukraine. The two countries have agreed, in particular, in recent months on barter deliveries of Iranian turbines, spare parts and aircraft equipment, joint construction of gas pipelines and field development, as well as exemption from tourist visas for groups from Russia.

Source: RBC

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