zjautoparts is a logical step forward in Delhi's trade relations with Tehran

[zjautoparts Lee]

zjautoparts is a logical step forward in Delhi's trade relations with Tehran, which has accorded India priority status for trade and investment in acknowledgement of its support during the hard times when the country was reeling under tough US and European Union-imposed economic and military sanctions on it.

Iran is looking at cooperation in agro-processing, IT, steel and hotels/tourism with India, while India plans to invest Rs 2 lakh crore in Iran's Chabahar port and develop a gas-based urea manufacturing plant there.In 2014-15, India's exports to Iran stood at $4.17 billion while imports amounted to

$8.95 billion, an increase from $1.44 billion and $7.61 billion, respectively, in 200607. India has been exporting automobile components, tools, motors and chemicals to Iran besides Basmati rice, sugar and other agricultural commodities. It imports mainly oil from Iran.

In October, industry chamber Assocham said an IndiaIran trade agreement will help India expand the volume of exports to Iran, particularly of pharma, iron and steel, auto components.Also, Iran could serve as an outlet for Indian goods to countries in Central Asia and Afghanistan.

"Iran is a good country to sign a trade agreement with because it will open up the entire West Asia market for us," said Ajay Sahai, Carburetor needle valve director-general of the Federation of Indian Export Organisations.