News ID: 189301
Published: 0332 GMT March 13, 2017

Russia, Iran goods delivery deal likely during Rouhani's Moscow visit

Russia, Iran goods delivery deal likely during Rouhani's Moscow visit

Moscow may conclude agreements on deliveries of engineering industry goods to and imports of food products from Iran during Iranian President Hassan Rouhani's visit to Russia later this month, Russian trade representative in Iran announceded.

Speaking to Sputnik, Andrei Lugansky further said, "This concerns the foreign trade activities — machine building products' supplies to Iran and the increase of supplies of food products to Russia."

Lugansky added that the creation of the free trade zone between the Eurasian Economic Union (EEU) and Iran would also be discussed during the president's upcoming visit.

Referring to Iran's intention to export fruit and vegetables to Russia, which is a point of concern for Russia, he pointed out that the duty-free importation of such products could create competition with local goods.

Similarly, Iran fears that the import of a number of machine building products could spur competition with more expensive local products.

Talks on the creation of the free trade zone between EEU and Iran were held between Moscow and Tehran in February. After the negotiations, members of the EEU prime ministerial council signed a directive ordering preparations for a temporary agreement on the establishment of the EEU-Iran free trade zone.

The EEU is a regional political and economic bloc that aims to optimize the flow of goods and services between its members. Its current member states are Russia, Kyrgyzstan, Armenia, Belarus and Kazakhstan.

Russian Foreign Minister Sergei Lavrov said in October 2016 that over the last two and a half years, trade turnover between Russia and Iran increased more than twice.

Earlier Iran's Oil Minister Bijan Namdar Zanganeh said following a meeting with Russia's Energy Minister Alexander Novak on February 21 that Tehran is ready to conclude an agreement on supplying 100,000 barrels of crude oil per day to Russia.

The ministers also discussed potential 'oil-for-goods' swaps at the meeting, as well as the progress in implementing the oil production cap agreement.

Novak also said Russia is negotiating the daily purchases of 100,000 barrels of oil from Iran, and the two sides are 'discussing the terms' of the potential agreement. The issue is about submitting amendments to the memorandum signed by the two countries in 2014, the minister said.

According to Novak, oil purchases from Iran may be undertaken by Russia's federal state unitary enterprise Promsiryeimport.

Security Key:
Captcha refresh
Page Generated in 0/2173 sec