EAEU-Iran Free Trade Agreement to Boost Exports and North-South Corridor, Putin

The free trade agreement between the EAEU and Iran will open access to one of the largest and most developed economies in the Eurasian region for the countries of the Eurasian Economic Union. This was stated by Russian President Vladimir Putin during a meeting of the Supreme Eurasian Economic Council in St. Petersburg, commenting on the agreement signed before the start of the session.

Once the agreement comes into force (after ratification by both Iran and all five EAEU countries), almost all categories of products produced in the Union will gain access to the Iranian market of 90 million people (thanks to zero or reduced tariffs). President Putin also noted that non-tariff barriers would significantly decrease.

He highlighted that the business communities of EAEU countries are interested in this, as they actively trade with Iranian partners, and now the trading conditions will noticeably improve.

According to the Russian leader, it is also evident that the liberalization of trade with Iran will provide additional impetus for the development of transport and logistics routes, including the North-South corridor, and will create prerequisites for scientific and industrial cooperation.

The North-South corridor is one of the most ambitious projects. This route will shorten the distance from the Iran-Armenia border to the Georgia-Armenia border (reduced from 550 km to 490 km), as well as facilitate access to the Black Sea not only for Armenia but also for Iran.