Azernews.Az

By Aynur Jafarova

Iran will establish a new special economic zone in the country's Astara city in the near future, Chief of Iran's Astara Border Checkpoint Hamid Reza Mohammadi told Trend Agency on August 7.

"The special economic zone will be set up in the next two-three months," he noted.

Mohammadi believes establishing the economic zone on the border with Azerbaijan will create favorable conditions for the activity of Azerbaijani businessmen and investors. "This will contribute to the expansion of economic relations between the countries and investments in the Iranian economy," he said.

The Astara checkpoint is one of the most important among the checkpoints on the border with Azerbaijan. Some 800,000 people passed through it last year (the year begins on March 21 in Iran).

He added a number of projects are being implemented at the Astara border checkpoint for the convenience of Azerbaijani citizens.

"All conditions have been created for the citizens at the checkpoint," he added. "During peak days, the duration of the working day increases at the border checkpoint. During various holidays, Azerbaijanis living in Iran get gifts. Booklets with instructions in the Azerbaijani and Persian languages have been published. The volume of goods allowed for transportation across the border is elaborated there," Mohammadi noted.

Also, favorable conditions have been created for economic activity in Iran's Astara and the export-import operations are underway in Astara's port.

"Customs officers in the port operate in three shifts," he said. "The port operates around the clock."

Astara's port established cooperation with the ports of Baku and Aktau.

"Steel and iron are mainly imported from the port of Aktau. Fittings, gypsum and cement are exported from Iran to Azerbaijan," he said.

Azerbaijan, Iran should expand co-op in customs

Deputy Chief for international issues of Iran's Customs Service Ahad Paraham believes Iran and Azerbaijan should sign a new agreement to expand cooperation between the two countries in the field of customs.

"The parties agreed to sign this agreement in the near future," he told Trend Agency on August 7.

The last agreement on customs cooperation between the two countries was signed in 2002.

"We want to update an existing agreement in accordance with the requirements of the General Agreement on Tariffs and Trade (GATT) in 2014," Paraham stressed.

Azerbaijan and Iran are aimed at enhancing cooperation in the field of e-customs that will be reflected in the new document.

"Together with Azerbaijan we want to apply a "single interface" system," he added.

As a result of using this system, all the documentation or declarations adopted by the Azerbaijani customs, will be recognized by the Iranian side, and vice versa. This will greatly simplify the cargo transportation.

Currently, the two countries have agreed on a 24-hour operation of the Bilasuvar border crossing customs point.

"The Astara border checkpoint will operate in the same manner in the near future," Paraham added.

Azerbaijan and Iran have had diplomatic relations since 1918. Iran recognized Azerbaijan's independence in 1991, and diplomatic relations between the two countries were established in 1992.

The trade relations between the two countries are successfully developing. In 2013, the trade turnover between Azerbaijan and Iran increased by 7 percent. The trade turnover between them stood at $94.12 million in January-June 2014. Azerbaijan imported some $76.81 million worth of Iranian products, while the amount of export to this country totaled $17.31 million.

Iran's trade turnover with Azerbaijan stood at $470 million ($448 million exports and $22 million imports) in the first eleven months of 2013, Iran's customs administration's latest report shows.

To date, Azerbaijan and Iran have signed 103 documents, including 30 documents in the economic field.

Some 441 companies with Iranian investment are operating in various sectors of the Azerbaijani economy. Iran has invested $382 million in the main capital and $105 million in Azerbaijan's non-oil sector. In 2013, the volume of Iranian investment in Azerbaijan's main capital amounted to $158 million.