Iran, Brazil seeking barter trade in face of U.S. sanctions

July 12, 2019

TEHRAN –Secretary of Iran-Brazil Chamber of Commerce said the two countries are seeking to establish bartering systems in order to keep their trade afloat during the sanctions era, ILNA reported.

“Currently, Brazil is one of the main providers of agricultural commodities to the country, however we are facing some banking issues in our trade and that is why the two sides are looking at bartering as a solution to this problem,” Farhad Taherian told ILNA.

According to the official, Iranian imports from the Latin American country are limited to 12 major commodities.
Of the total imports, 48 percent is corn, 24 percent is soy, while soybean oil, tobacco, and ethanol are other imported goods.

Petrochemical products such as urea, bitumen and petroleum are the main exported goods from Iran to Brazil, according to Taherian.

The official noted that in the first Iranian calendar month of Farvardin (March 21-April 20) Iran exported $32 million worth of commodities to Brazil.

In early May, Brazilian Ambassador to Iran Rodrigo de Azeredo Santos stated that Brazil wants to continue importing petrochemical products from Iran as the cost of producing these products is high in the Latin American country.

In an interview conducted by the Mehr news agency on June 11, Santos said the Brazilian government would spare no efforts to help Brazilian and Iranian firms develop relations after the U.S. withdrawal from Iran nuclear deal.

Also, in a meeting with the head of Iran’s Industrial Development and Renovation Organization (IDRO) in Tehran, the Brazilian ambassador had announced his country’s readiness for improvement of road transportation ties with Iran.

EF/MA

Leave a Comment

7 + 10 =