Oman trying to expand economic ties with Iran

December 7, 2019 - 14:52

TEHRAN- Omani minister of commerce and industry said his country is trying to boost its trade and economic ties with Iran, stressing that this goal can be achieved through more cooperation between the two sides’ private sectors.

Ali bin Masoud al Sunaidy, who has traveled to Iran on top of an Omani trade delegation, made the remarks during the 18th meeting of Iran-Oman Joint Economic Committee in Tehran on Saturday, Mehr news agency reported.

The minister further said, “Over 30 Omani traders and businessmen are present in our delegation; being active in different economic sectors they are trying to lay the ground for all-out cooperation with the Iranian partners.”

He also announced that an agreement is to be signed between Oman and Iran on marine transportation cooperation, adding, “We will make the most efforts to provide incentives for joint investment and also promote bilateral trade cooperation between the two countries.”

Stressing that a very proper condition is available for invigorating the bilateral trade, al Sunaidy said the two sides can also take the advantage of bartering to expand their trade ties.

A 5-fold trade turnover boost possible

Addressing the same meeting, Iranian Industry, Mining and Trade Minister Reza Rahmani said while there are potential and capabilities for boosting the trade turnover between Iran and Oman to $5 billion, the figure is currently $1 billion.

The International North South Transit Corridor (INSTC) can help the two countries elevate their bilateral trade to this level, he further emphasized.

“It is the largest Omani trade delegation visiting Iran over the past years and we hope that the private sectors of the two countries will benefit from this visit to find strategies for facilitation of bilateral trade”, the minister noted.

There are some problems regarding money transferring between the two sides’ traders which are hoped to be resolved through strategies to be adopted by the central banks of the two countries, Rahmani further said.

Despite the U.S. reimposition of sanctions against the Islamic Republic, Oman is getting closer to Iran both politically and economically. There is also the same approach adopted by Iran, as Iranian companies now prefer to conduct trade with Oman rather than the United Arab Emirates (UAE), given that the UAE is highly complying with the sanctions.

Iran is somehow replacing some of its previous strategic trade partners such as UAE with Oman, considering the Sultanate as an economic-trade hub.

During the current year there have been many meetings and negotiations between trade and economic officials from the state-run and private sectors of the two sides with the aim of strengthening and expanding bilateral trade ties.

In a trip to Muscat in mid-July, Iranian Industry, Mining and Trade Minister Reza Rahmani had met a number of Omani senior officials including Minister of Transport and Communications Ahmed Mohammed Salem Al-Futaisi and Minister of Commerce and Industry Ali bin Masoud al Sunaid.


Photo: Iranian Industry, Mining and Trade Minister Reza Rahmani (L) and Omani Minister of Commerce and Industry Ali bin Masoud al Sunaidy in the 18th meeting of Iran-Oman Joint Economic Committee in Tehran on Saturday