India, Iran trade poised to cross $25 b in 4 years

HYDERABAD, MAY 11:  Bilateral trade between India and Iran is poised to cross $25 billion within four years, according to Hassan Nourian, Consul General of Iran.

The Consulate of Iran, Hyderabad, in association with the Federation of Andhra Pradesh Chamber of Commerce and Industry (FAPCCI), has set up the Chamber of Commerce for Iran Trade Promotion to promote bilateral trade between Iran and India.

Addressing a gathering in collaboration with FAPCCI, Hassan Nourian said: “The Indo-Iran trade cooperation amounts to $15 billion. Both the Governments of Iran and India have come to a conclusion that in the next four years they want to take it to $25 billion.’’

“We have already entered the second year. Currently most of the exports from Iran to India are primarily based on oil and petroleum products. To offset this, both have encouraged focusing on non-oil exports from India in order to strike a balance of trade between the two countries,’’ he said.

About 45 per cent of exports from Iran are paid in Indian rupees, and the Indian Ministry of Commerce has expressed desire to encourage trade to use the rupee surplus accumulated through oil exports from Iran to India.

The payment in rupees is deposited with India’s UCO Bank which has tied up with five Iranian banks as a part of the arrangement. The RBI has already created a $3-billion fund as a part of this initiative, he said.

To promote bilateral trade between the two, a 23-member business delegation from Hyderabad was taken to ‘The First Export Capabilities Exhibition of Iran’ held at Tehran during April 27-30. The delegation also visited Bushehr and Shiraz provinces.

By The Hindu Business Line

 

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