Page 31 - IRANRptJun22

5.2 FTA, multilateral agreements
Iran, Cuba sign barter trade road map agreement
Iran and EEU states move towards FTA deal at Moscow talks
Iran eyes boost to trade with Russia from Ukraine fallout
An agreement on a finalised roadmap for barter trade struck by Iran and Cuba was signed on the sidelines of a meeting of the countries' joint economic commission on May 17 in Tehran.
Iran continues to expand its network of trade and investment with the “sanctioned nations”, including Russia and Venezuela. Since it invaded Ukraine in late February, Russia has overtaken Iran to become the most sanctioned nation in the world. Cuba, of course, has long been subject to US sanctions. As regards Venezuela, Washington is keeping a watchful eye on Iranian shipments to the South American country including crude oil and, according to some reports, drones.
The barter deal was signed by Iranian Deputy Industry Minister for Commercial Affairs Mohammad Sadeq Mofateh and visiting Cuban Deputy Prime Minister Ricardo Cabrisas Ruiz.
Referring to the history of cooperation between Iran and Cuba in the fields of health and agriculture, Iranian Economic Affairs Minister Ehsan Khandouzi, after meeting with Ruiz, emphasised the need to improve economic relations between Tehran and Havana, saying: “We expect to take more serious steps to develop cooperation and implement agreements.”
The signing ceremony was also attended by high-ranking officials of the Trade Facilitation Organisation of Iran.
Cuba is a big producer of grain, while it is considered a major market for Iranian goods. The 18th meeting of the Joint Iranian-Cuban Economic Commission took place between May 15-17.
A new round of talks has been held in Moscow to finalise a text and determine a list of commodities for a free trade agreement (FTA) between Iran and the Russia-led Eurasian Economic Union (EEU), IRIB reported on April 28.
Iran’s existing trading relationship with the EEU member countries—Russia, Belarus, Armenia, Kazakhstan and Kyrgyzstan—is based on a temporary preferential trade agreement (PTA) signed in 2018.
The talks—the fifth round in a series of negotiations—took place over two days and were attended by representatives of Iran and the five EEU countries. Ahmad Seyedi, the Iranian representative, was quoted as saying said that the FTA would gradually cut tariffs for 80% of goods moving in both directions from to zero. The tariffs levied on the remaining 20% of the goods would remain unchanged. The text for the agreement was largely finalised, he was also reported as saying.
Seyedi, an adviser on international affairs and trade agreements at Iran’s Trade Development Organization, was cited as concluding: "Negotiations between the two sides will continue in the coming months until the free trade agreement is signed between the two sides before the end of this [Persian] year [which falls in March 2023]."
Iran can count with a substantial boost to its exports to Russia as a consequence of the Ukraine war and the sanctions and boycotts it has triggered against Moscow. That’s the hope and expectation of officials at the Iran Chamber of Commerce, Industry, Mines and Agriculture (ICCIMA), according to local press reports published on March 7.
“With the closure of the path to Europe for Russia and Western sanctions on Russia, the country’s market will need to seek [product] replacements to meet its needs,” an ICCIMA official was cited as saying.
China, as an economic and political heavyweight, would also set out to grow its
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