Non-oil exports to Iraq reaches $8.9b in a year

April 27, 2020 - 13:33

TEHRAN – Iran’s non-oil exports to Iraq in the previous Iranian calendar year 1398 (ended on March 19) increased by 0.7 percent compared to the preceding year 1397 to reach $8.9 billion, a deputy with the country’s Trade Promotion Organization (TPO) said.

According to Masoud Kamali Ardakani, in the mentioned year Iran’s non-oil exports to its Arab neighbor also increased by 29 percent in terms of weight, reaching 25 million tons.

“Last year, the Iraqi market, with a 21-percent share, was Iran's second-largest export destination after China; Iran is also the third-largest exporter to Iraq accounting for 28 percent of all the Iraqi imports,” Ardakani said.

Medicines and medical equipment, plastic products, ceramic tiles, wire and cable products, home appliances, electrical appliances, pipes and profiles, building materials, water coolers, carpets and flooring, propylene bags, industrial machinery, dairy, confectionery, chocolate, car spare parts, agricultural equipment and creative products, and knowledge-based products are among the top exported goods to Iraq, according to the official.

Regarding the TPO plans for strengthening trade ties with Iraq, Ardakani said that the organization is going to follow up on the agreements reached in the third meeting of the two countries’ Joint Economic Committee and also pursue the agreements reached between the Iranian industry, mining and trade minister and the TPO head with their Iraqi counterparts.

Preparation for holding the two countries’ fourth joint economic committee meeting and signing new trade agreements based on the two countries’ new economic conditions are also among the TPO plans for expanding trade with Iraq in the current year, he added.

Back in October 2019, Iranian Minister of Industry, Mining, and Trade Reza Rahmani said Iran and Iraq have the potential to increase the value of their bilateral trade to $20 billion by 2021.

Rahmani put the value of trade between the two countries at $12 billion in the Iranian calendar year of 1397 (March 2018-March 2019), adding that the figure will rise to $20 billion by the year 2021.

The economic and political relations between Iran and Iraq have increased significantly in the past few years and the two neighbors are seeking ways to facilitate financial transactions and boost their trade ties.

EF/MA

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