Iran’s import ban to hit Turkish firms

Iran’s import ban to hit Turkish firms

ISTANBUL – Anadolu Agency

The Iranian parliament’s recent decision to impose a ban on the import of certain products will have a significant impact on Turkey’s exports to the country, a business association has warned.

“The parliament in Iran approved a bill [on Jan. 20] which bans the import of goods that are locally produced enough to meet domestic consumption. This decision will hurt trade ties between Turkey and Iran,” said Fatih Çayabatmaz, the representative of the Independent Industrialists’ and Businessmen’s Association (MÜSİAD) in Tehran.

Çayabatmaz reminded that at the beginning of 2018, Iran imposed a ban on nearly 1,399 products in the face of the U.S. sanctions.

“The preferential trade agreement between Turkey and Iran came into effect in 2015. However, because of the 2018 ban, Iran also banned the import of 61 Turkish products that were included in the trade agreement,” he said.

Çayabatmaz added that because of the 2018 ban, Turkey’s exports to Iran declined as much as 30 percent and the association had applied to the Trade Promotion Organization of Iran, demanding the lifting of the ban on the 61 Turkish products.

Turkey’s exports to Iran may decline further because of the latest decision by the Iranian parliament,” Çayabatmaz said.

Iran mostly imports consumer goods from Turkey.

Turkey sells textile, white goods, food, health and cosmetics products to Iran. Iranian companies also produce similar products. Thus, because of the Iranian parliament’s import decision ban, our exports to this country may even come to a halt,” Çayabatmaz warned.