TEHRAN - Iran's Oil Minister Mohsen Paknejad, in a meeting with the visiting Azerbaijani Deputy Prime Minister Shahin Mustafayev, called for the formation of a joint working group in order to pursue and accelerate bilateral cooperation, especially in the field of energy.

During the meeting on Tuesday afternoon, Paknejad said the two countries have a lot of cultural, historical and national similarities, which will help bring the two nations closer to each other.

While emphasizing the improvement of cooperation between the two countries, he said that neighbors have a priority in Iran’s foreign policy and that the position of the Republic of Azerbaijan is special among them.

Stating that the field of oil and energy is one of the axes for the development of economic relations between the two countries, Paknejad said Iran welcomes any initiatives proposed by Azerbaijan to enhance the level of cooperation, adding that such cooperation requires the necessary infrastructure.

As Shana reported, Iran’s oil minister has tasked the Deputy Oil Minister for International Affairs and Trading with the formation of the Tehran-Baku joint working group.

The Deputy Prime Minister of Azerbaijan, while congratulating Paknejad for his election as Oil Minister said that the two neighbors have extensive relations, which are based on old roots.

The purpose of our visit to Iran is to review the relations between the two countries and negotiate the implementation of future projects, Mustafayev said.

“He is interested in developing relations,” he said while referring to the meeting on Monday with Iranian President Masoud Pezeshkian, and added: “The President of the Republic of Azerbaijan, Elham Aliyev, too attaches great importance to mutual relations with Iran and is committed to implementing current and future projects.”

Tehran, Baku determined to boost trade ties

On the same day, Mustafayev also met with Iran’s Minister of Economic Affairs and Finance Abdonnasser Hemmati during which the Iranian side said the country is determined to expand its trade ties with neighboring Azerbaijan.

Hemmati said the size of trade between Iran and Azerbaijan, which is around $400 million per year, is very low and does not match the state of relations between the two countries.

“Azerbaijan has a special significance for us, we had some good talks on the role of monetary and banking systems in the expansion of trade,” said the minister.

Hemmati said he and Mustafayev had agreed in their meeting that communication between the banking and insurance institutions of Iran and Azerbaijan should expand to allow an increase in trade relations between the two countries.

Mustafayev also met Iranian Energy Minister Abbas Aliabadi on Monday.

During the meeting, the Iranian minister called for increasing electricity exchange with neighboring countries.

Mentioning that Iran and Azerbaijan’s power grids are already connected and the two countries are exchanging electricity, Aliabadi expressed hope that the level of exchanges will increase soon.

“The electrical connection between Iran and Azerbaijan is now established, and it is hoped that this will increase by the summer of next year; It is also suggested that negotiations be held between Russia, Azerbaijan, Iran, the UAE, and Saudi Arabia to expand cooperation in the electricity sector,” the minister said.

“Negotiations have also been held with Russia and it was decided to follow up on this issue in an upcoming meeting. The establishment of a power line between the two countries will be very beneficial for both sides economically,” he added.

During his stay in Tehran, Mustafayev also met and held talks with the Iranian Transport and Urban Development Minister Farzaneh Sadegh.

In this meeting, Sadegh called for the preparation of a roadmap to increase annual transit between Iran and Azerbaijan to 15 million tons.

“The development of relations with the Republic of Azerbaijan has a high importance in the foreign policy of the Islamic Republic of Iran, and I am confident that these relations will be further enhanced in the future and in line with the interests of the two countries,” she said.

The minister stressed that Iran is ready to develop relations with Azerbaijan in all sectors and the Transport Ministry is prepared to hold the two countries’ 16th Joint Economic Committee meeting in Tehran as soon as possible to review all areas of cooperation.

In last December, Iran and Azerbaijan inaugurated a cross-border bridge over the Astarachay River to facilitate transit of goods between the two countries.

The opening ceremony of the border bridge was attended by Iranian and Azeri officials including Mustafayev and former Iranian Minister of Transport and Urban Development Mehrdad Bazrpash.

The border, which has been completed at a cost of €5.8 million, runs parallel to the Baku-Astara freeway up to the Astara border, the portal of the Iranian Transport Ministry reported.

Spanning 89 meters in length and over 30 meters in width, the bridge has four lanes for vehicles and a covered pedestrian walkway on each side.

The construction of the bridge began in March 2022.

While the existing bridge in Astara is located in the old area of the city, the new bridge is connected to Azerbaijan near the railway bridge.

Along with the Astara-Astara highway, the bridge now completes the route from Astara to Baku, connecting the highway to Iran’s land routes.

The bridge facilitates the transit of goods from Iran and Azerbaijan to the countries of the CIS (Commonwealth of Independent States) and Eastern Europe. 

It also provides the Republic of Azerbaijan with access to the Persian Gulf and the Sea of Oman.

Speaking at the opening ceremony of the bridge, Mustafayev said: “In the shadow of the wise management of the presidents of Azerbaijan and Iran, the relations between the two countries are growing and developing continuously.”

“Last year, the exchange of goods between the two countries grew by 46 percent, and transit rose by 45 percent, which is an important indicator of the development of infrastructure for transit between the two countries,” the official said.

Referring to the importance of the North-South International Transport Corridor (INSTC) and the role it plays in the growth of economic relations between the two countries, Mustafayev added: “The opening of this new Astara-Astara bridge is very important in developing economic relations, transfer and transit between the two countries.”

EF/MA

Photo: Iran's Oil Minister Mohsen Paknejad (L) and Azerbaijani Deputy Prime Minister Shahin Mustafayev meet in Tehran on Tuesday