Iran’s share of Iraqi market grows 40% in 3 months

July 17, 2019 - 21:15

TEHRAN – Iran’s share of the neighboring Iraq’s total foreign trade reached 21 percent in the first three months of the current Iranian calendar year (March 21-June 21), registering a 40 percent growth compared to the same period last year.

As reported by the portal of the country’s Trade Promotion Organization (TPO), Iran's exports to Iraq stood at $2.383 million in the mentioned timespan, up 35 percent from last year’s $1.762 million.

According to Iran’s Commercial Attaché in Iraq, Naser Behzad, during the first quarter of this fiscal year, the value per ton of Iran's exported goods to Iraq was $500, which is roughly 1.4 times higher than the average per ton value of goods exported to other countries.

“Altogether, more than 60 percent of Iran's non-oil exports goes to three countries, namely China, Iraq, and South Korea, which is an indication of high demand for Iranian goods in these countries,” Behzad said.

The official stated that in the mentioned period, with $2.3 million worth of exports Iran ranks first among the top exporting countries to Iraq, followed by China with $2.1 million and Turkey with $2 million.

He also mentioned Iran’s constant exports of electricity and gas to Iraq in the mentioned three months, adding that the main non-oil exported items in this time span include household appliances and plastic products, steel bars, carpets, tomato paste, sweets and chocolates and biscuits, steel products, as well as various dairy products, bread and pasta, wheat flour, cement, copper wires, detergents, carton, industrial machinery, leather goods and electric equipment.

Iraq is currently Iran’s biggest trade partner and the two countries have been taking significant steps to improve their mutual trade over the past few years.

In early February, Central banks of Iran and Iraq reached an agreement to set up a payment mechanism to facilitate banking ties and boost trade between the two countries.

In the meeting, Central Bank of Iran Governor Abdolnasser Hemmati who visited Iraq to discuss expansion of banking relations, expressed hope that the trade balance between the two neighboring countries would increase even more.


Leave a Comment

2 + 7 =