Reduce the cost of freight transport and transit between Iran and Azerbaijan to boost trade

BAKOU, Azerbaijan, November 29

By Elnur Baghishov – Trend:

Reducing costs of transport and transit of goods between Iran and Azerbaijan will lead to the development of trade, Javad Hedayati, director general of the Department of Transit and International Affairs of the Iranian Organization of Iran, told Trend. road and transport maintenance (RMTO), Javad Hedayati.

The Director General stressed that currently one of the obstacles to the transport and transit of goods between Iran and Azerbaijan are high costs.

Hedayati ti also added that one of the obstacles to the development of trade between Iran and Azerbaijan is the complexity of the rights and the small number of permit forms.

“The duties between the two countries reciprocally amount to several million dollars for each party. However, this has a significant negative impact on trade and transit between the two countries. But if these duties are reduced, trade relations and transit can develop further, ”he added. noted.

The Iranian official noted that transport is one of the main infrastructure for the development of trade relations – unless economically reliable and secure infrastructure is provided and cheap freight transport is available, trade no country will be able to develop to the required level.

According to Hedayati, the value of trade turnover between Iran and Azerbaijan for 10 months was $ 340 million. However, given the existing potential of both countries, the figure is very low.

“One of the reasons for this low figure is the obstacles in the transport sector. Azerbaijan and Iran can increase their cooperation in 2-3 areas of the transport sector. One area is passenger transport. Due of the coronavirus pandemic, of course, the passenger transport has decreased. Right now this is being treated by vaccination. The other areas mentioned are trade and transit, “he said.

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