TEHRAN - The 16th meeting of the Iran-Azerbaijan Joint Economic Committee was held with the participation of Iran’s Minister of Transport and Urban Development and Azerbaijan’s Deputy Prime Minister in Tehran.

According to the news portal of Iran’s Transport and Urban Development Ministry, the second day of the meeting took place on Wednesday, January 22, with the presence of Farzaneh Sadegh, Iran’s Minister of Transport and Urban Development, and Shahin Mustafayev, Azerbaijan’s Deputy Prime Minister.

The Iranian minister expressed her satisfaction with the renewed collaboration, stating, "I am delighted to meet again with the esteemed Deputy Prime Minister of Azerbaijan and his accompanying delegation. I hope this meeting marks the beginning of a new chapter in economic cooperation between our two friendly and neighboring nations. The government of President Masoud Pezeshkian is committed to expanding bilateral relations and removing obstacles to cooperation."

She added, "After a hiatus of over three years due to various circumstances, I am pleased that we successfully convened the 16th session of the Joint Economic Committee in Tehran. I hope that by following up on agreements in transportation, customs, energy, oil, gas, electricity, water, banking, preferential trade, investment, and other areas, we can open new avenues of collaboration and witness further growth in bilateral trade relations."

$583m in bilateral trade over 11 months of 2024

The Iranian head of the committee stated: "In 2023, trade volume between the two countries amounted to $487 million, with Iran exporting $473 million to Azerbaijan and importing $14 million. Over the first 11 months of 2024, bilateral trade rose to $583 million, with Iran’s exports to Azerbaijan at $570 million and imports at $12.9 million."

"The trade potential between our two countries exceeds these figures. A five-year roadmap should be developed to achieve a target of $10 billion in trade. In this context, I propose drafting a roadmap to resume negotiations for finalizing the preferential trade agreement, thereby expanding the volume of trade," Sadegh emphasized.

She highlighted transit cooperation opportunities, stating: "While notable steps have been taken in recent years to enhance this aspect of our relations, the current capacity in road, rail, air, and maritime transportation between the two nations is far greater than what is currently utilized."

Addressing transit issues and infrastructure development

Sadegh noted the necessity of resolving transit issues, proposing the establishment of a comprehensive transport committee and expert consultations to address these challenges.

Referring to completed and ongoing infrastructure projects, she said: "The second Astarachay Bridge was inaugurated last year, a significant step in advancing bilateral transportation. The automobile bridge over the Aras River in the Kalaleh region has made good progress, and we hope its construction will be completed by early spring 2025. The Aghband-Jolfa-Nakhchivan road project is also underway. Additionally, the Astara rail terminal is a critical transit project that requires joint efforts to resolve its challenges and fully realize its potential."

15m ton transit target for INSTC

Sadegh further underlined the importance of regional cooperation, stating: "The trilateral meeting of transport ministers from Iran, Azerbaijan, and Russia to activate the International North-South Transit Corridor (INSTC) with a target of 15 million tons is a key regional initiative. I hope the upcoming meeting on January 28, 2025, in Moscow will result in agreements to enhance transit activities along this corridor."

She also highlighted energy cooperation, saying: "Energy is a strategic area of collaboration between our two countries. I hope issues related to electricity and water will see further development. Additionally, synchronizing the electricity grids for power transit is another joint project that requires solutions to overcome existing challenges."

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Photo: Iranian Transport Minister Farzaneh Sadegh (R) and Azerbaijan’s Deputy Prime Minister Shahin Mustafayev