TEHRAN - Iran has reported significant developments in its trade relationships, particularly with Turkey, marking the first ten months of the current Iranian calendar year (March 20, 2024, to January 19, 2025) by exporting non-oil commodities valued at $5.5 billion to its neighboring country. This makes Turkey Iran's fourth top export destination within this period, indicating the strengthening economic ties between the two nations.
According to Iran's Trade Promotion Organization (TPO), these figures highlight Turkey’s important role as one of Iran's primary trading partners. During the same period, Turkey also remained Iran’s third top source of imports, exporting goods valued at approximately $9.9 billion.
At the forefront of this economic partnership are high-level meetings between officials from both countries. Turkish Minister of Trade Omer Bolat and Iranian Transport and Urban Development Minister Farzaneh Sadegh met earlier to discuss the outcomes of the 29th Iran-Turkey Joint Economic Committee meeting. Bolat emphasized the importance of enhancing economic relations, stating, "The economic relationship between Turkey and Iran must develop even more intensively over the coming years." This ambition aligns with both nations' goal to increase bilateral trade up to $30 billion, demonstrating mutual aspirations for economic growth.
Furthering these objectives, Turkish investments have also made headlines. Reports signal Turkish companies injected approximately $2 billion investment across various sectors within Iran during 2024, underscoring the commitment of both nations to bolster their economic ties.
One of the primary avenues for ensuring trade enhancement is through strategic agreements. On December 11, 2024, Iran and Turkey signed a trade cooperation memorandum of undertaking, which lays down the framework for future economic interactions and sets the stage for more structured trade relations, marking it as a significant step toward reaching their ambitious $30 billion trade target.
Following these developments, on January 27, 2025, the Iranian delegation traveled to Ankara for renewed bilateral talks with Turkey’s ministers of transport and trade, discussing the details laid out within the aforesaid memorandum and identifying actionable steps for facilitating trade, transport, and transit relations.
While these advancements are noteworthy, Iran is not solely focusing its attention on trade with Turkey. The Iranian administration is also pushing to localize production of high-value healthcare products, including insulin and plasma. Health officials have announced the intention to achieve this localization within the next two years. An official indicated, "We are trying to localize the largest high-value products, including insulin and plasma, within the next two years," reflecting Iran's ambition to bolster its healthcare sector and reduce dependency on imported pharmaceuticals.
Complementing these national policies is Iran's performance within the nanotechnology sector. Reports suggest the country has significantly increased its exports of nanotechnology medicines, exceeding $200 million exported to around 17 countries. This growing sector is indicative of Iran's potential to not only localize healthcare production but also position itself as a competitive player on the global stage.
Both Iran’s Minister of Industry, Mining, and Trade Mohammad Atabak and other officials have insisted on the importance of removing tariff restrictions and establishing preferential trade agreements between Iran and Turkey. These measures are seen as pivotal for advancing trade relations and actualizing the proposed $30 billion target.
Experts argue these steps are not only about economic growth but also about fostering closer collaboration and interdependence between Iran and Turkey. Analysts believe stronger ties could bolster regional stability, especially within the framework of the current geopolitical climate.
Overall, Iran and Turkey's commitment to enhancing bilateral trade and investment reflects their strategic vision and desire for economic collaboration. With continued dialogue, agreements, and advancements like localizing production of high-value health products, the future of Iran-Turkey relations appears promising. Both countries are not merely eyeing monetary investment but are strategically positioning themselves for long-term partnership and growth, potentially setting the stage for broader regional cooperation.