A long-awaited free trade agreement was signed between Iran and the Eurasian Economic Union (EAEU) in Tehran on Thursday.
Head of the Trade Promotion Organization of Iran (TPO) Alireza Peimanpak signed the agreement on the Iranian side with EAEU Minister of Trade Andrey Slepnev signing the agreement on the side of the five-member bloc.
Speaking during a press conference on the sidelines of the signing ceremony, Peimanpak, who is also the Deputy Minister of Industry, Mine, and Trade, said that the agreement is expected to become operational by late September after being approved by the IAEA member countries.
The two sides made the final talks today, according to which 90% of the items were put on the green trade list with the rest 10% enlisted as forbidden items, Peimanpak said.
Noting that a preferential trade agreement has positively affected trade between the two sides over the past three years, he said that zero tariffs for 90% of commodities will also lead to a breakthrough in both exports and imports.
He said that the major part of the EAEU's economy complements that of Iran. “Commodities produced domestically [in Iran] are needed by markets of EAEU countries and some raw materials needed by Iran are, on the other hand, supplied by these countries.”
In the meantime, the EAEU trade minister said that the five members of this union attach special significance to cooperation with Iran.
Slepnev said that Iran is a close ally of Russia and other EAEU member countries. He also believed that a temporary preferential trade agreement led to an expansion of economic cooperation with Iran.
Despite all the restrictions caused by the outbreak of the coronavirus disease, EAEU’s trade with Iran has grown by 20% over the past year, the official said.