TEHRAN – The value of Iran’s exports to the members of the Eurasian Economic Union (EAEU) increased by 16 percent in the first five months of the current Iranian calendar year (March 20-August 21) as compared to the same period last year, according to the head of the Islamic Republic of Iran Customs Administration (IRICA).

Mohammad Rezvanifar said the Islamic Republic exported 2.2 million tons of commodities worth $748 million to the members of the Eurasian Economic Union in the mentioned five months, IRIB reported.

Exports to the EAEU also increased by 35 percent in terms of weight, according to Rezvanifar.

Meanwhile, Iran imported 3.9 million tons of goods valued at $1.6 billion from the members of the Eurasian Economic Union in the said five months.

Iran and EAEU reached a preferential trade agreement in 2018, based on which about 862 commodity items are currently subject to preferential tariffs. The agreement came into effect on October 27, 2019.

Late on December 25, 2023, the two sides also signed a Free Trade Agreement (FTA) during the EAEU Summit in St. Petersburg, Russia.

A member of the Iran-Russia Joint Chamber of Commerce has anticipated that more than 88 percent of commodities will be exchanged between Iran and EAEU member states with zero tariffs after the FTA goes operational.

The free trade agreement between the two countries is expected to facilitate the exporters’ access to the target market, Kambiz Mirkarimi said.

He noted that the FTA between Iran and the Eurasian Economic Union’s members, including Russia, Belarus, Kazakhstan, Kyrgyzstan, and Armenia, was one of the most important deals signed by the country in recent years.

Iran’s exports to the EAEU members stood at about $260 million until 2018, but after the implementation of the FTA in 2019, the country’s exports to these countries immediately increased to above $400 million, he said.

It is expected that the FTA will be ratified by the parliaments of all member states of the union by the end of the current year.

This development will increase the competitiveness of Iranian products against the goods made in China, India, and other rivals, Mirkarimi stated.

EF/MA