The fifth round of talks between Iran and the Eurasian Economic Union (EAEU) member states began in Isfahan Chamber of Commerce in central Iran on Monday where the two sides discussed signing a free trade agreement.
The first day of the three-day talks was coupled with intensive negotiations as Iran seeks to turn a preferential trade agreement with the bloc into a free trade agreement.
Iran and the EAEU signed an interim free Trade Agreement in mid-March 2018 and they aim to change the temporary agreement into a full-fledged free trade regime.
The talks, which begun nearly one and a half years ago, are expected to continue for another few months.
The free trade agreement is expected to include a zero tariff for 80% of commodities exchanged between Iran and the EAEU.
Negotiators on both sides are hopeful that they will soon agree on the items list to be included in the FTA for a final decision of senior officials of all the parties involved.
A preferential agreement, which came into effect between the two sides in late 2019, has positively affected Iran’s exports to the bloc and a full removal of tariffs for 80% of commodities is also expected to give a further boost to bilateral exchanges.
The current preferential trade agreement includes a total of 504 items on the Eurasian side and 390 items on the Iranian side.
The Eurasian Economic Union is comprised of Russia, Belarus, Armenia, Kazakhstan and Kyrgyzstan. It was founded in 2015.