TEHRAN – Two major Iranian firms have signed a memorandum of understanding (MOU) for cooperation in exporting water industry equipment and products to the members of the Eurasian Economic Union (EAEU) and also to CIS countries, ILNA reported.

Under the framework of the mentioned MOU, the companies, namely Sirang Tejarat Iranian (STI) and Hamoun Nayze Company (Hanyco), are going to cooperate for promoting the exports of various water industry items including cast iron pipes and fittings and electric cast iron bases to Eurasia and CIS countries.

The signing ceremony of the MOU was attended by senior officials including the Head of the Iranian Electrical Power Equipment Manufacturing and Provision Company (known as SATKAB) Mohammad-Vali Alaedini and the Head of Iran-Russia Joint Chamber of Commerce Hadi Tizhoush.

Iran and Eurasian Economic Union reached a free trade agreement in October 2018 based on which about 862 commodity items were subjected to preferential tariffs.

The interim agreement enabling the formation of a free trade area between Iran and the EAEU was signed on May 17, 2018, and officially came into force on October 27, 2019.

EAEU is a very important market in the region and the development of trade ties with the members of this union is of high significance for the Islamic Republic.

The free trade agreement between Iran and this union has laid the ground for the expansion of trade ties between the two sides.

The agreement with the bloc has increased Iran’s exports to the EAEU member states significantly, which is a turning point for the Islamic Republic's plans for boosting non-oil exports during the U.S. sanctions.

Earlier this month, Tehran hosted Iran’s first exclusive Eurasian Economic Union (EAEU) exhibition, which was a platform to showcase the trade capabilities of the EAEU members and their Iranian counterparts.

Over 30 companies from Russia, 30 companies from Kyrgyzstan, more than 10 companies from Armenia, more than 10 companies from Kazakhstan, and some companies from Belarus participated in the four-day exhibition which was held during July 9-12.

EF/MA