The German delegation was headed by Managing Director of Bavaria’s Business and Industries Association Bertram Brossardt as well as Deputy Minister of Economy and the Media, Energy and Technology for internationalization, industry Markus Wittmann.
In time with presence of the Bavarian delegation, a desk of the German private sector body was inaugurated in Tehran. A bureau of Tehran’s Chamber of Commerce had also been previously opened in the German state.
Experts believe that Tehran and Germany, as two economic and industrial hubs are able to launch extensive economic, industrial and trade relations for which necessary grounds have been provided thanks to removal and sanctions and implementation of the Joint Comprehensive Plan of Action (JCPOA).
Bahman Eshghi, Secretary General of TCCIMA, voiced satisfaction towards reinvigoration of trade links with Germany saying “visits by senior officials of the two countries in the past two years indicates the serious determination of both sides to take firm steps in development of fruitful bilateral cooperation.”
He rejoiced to say that good ties have been formed between TCCIMA and Bavaria’s Business and Industries Association as evidenced by arrival of the third trade delegation from the German state. “Two delegation from Tehran Chamber were also deployed to Germany in 2015 and 2016 and constructive meetings were held between officials of the two countries.”
“Official meetings have so far led to several Memoranda of Understanding (MoUs) as well as opening bureaus of TCCIMA and Bavaria’s Business and Industries Association in both countries which will hopefully offer suitable services to firms and economic activists,” he continued.
Eshghi later recounted on export and import volumes between Iran and Germany stressing that the figures had increased significantly last year as Iran imported over 1.8 billion dollars of product from Germany and exported 321 million dollars to the European country while the former figure had been only 608 million dollars in the earlier year and the later had stood at about 35 million dollars.
Reports issued by Iran Customs Administration reveled that Germany had ranked fifth among exporter countries to Iran and was the 17th major importer from Iran.
TCCIMA head noted that volume of trade turnover between the two countries had been 4.2 billion dollars on average between 2013-2015 while the figure experienced a 33% rise from January to November 2016.
Bahman Eshghi touched upon banking issues between Germany saying “several barriers exist which prevent Iranian banks from connecting to the international banking system and these obstacles mainly pertain to incomplete removal of sanction. Absence of banks with financing capabilities will hinder trade and investment in the post-JCPOA.”
He maintained that the process for compliance of Iranian banks with standards of the international banking system was underway as SWIFT was already available for Central Bank of Iran and many other Iranian financial institutions. Additionally, over 200 small and medium-sized international banks have begun broker relations with Iranian banks leading to reduction in costs and facilitation of transactions.
TCCIMA head urged the EU member countries to support the compliance process so that large international banks will also launch collaborations with Iranian counterparts.
Head of Bavaria’s Business and Industries Association Bertram Brossardt, for his part, said here on Monday that the volume of Bavaria’s export to Iran has increased drastically as compared to pre-JCPOA implementation.
“We have a wide range of small and medium companies in Bavaria State, which are able to establish relation with Iranian companies,” he added.
Brossardt went on to say that exchanges between Tehran and Bavaria is not noticeable now, but figures indicate that the volume is increasing following the implementation of Joint Comprehensive Plan of Action (JCPOA).
He added that “the Germans have long-term viewpoint and think about long-term projects, we are not illusionist, when a banking system of a country is isolated for 10 years, for sure it will face with problems.”
While the European and world banking system were experiencing changes in regulations, Iran’s banking system was far from the developments.
“We are standing by you and to accelerate process of works we will impose pressure on central government,” the official added.
Brossardt said in Bavaria’s delegation there are a number of companies from food industries and automakers.
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