Armenian Economy Minister: Project on establishment of FEZ with Iran is on the stage of coordination

ArmInfo. The Armenian government  makes leaps and bounds toward creation of free economic zone on the  Armenian-Iranian border, Armenia's Economy Minister Artsvik Minasyan  told journalists after the government session on August 25. At the  same time Minasyan found it difficult to name the dates of  establishing the zone and noted that the Armenian side intends to  provide residents of the zone with maximum privileges. 

The Minister recalled that the idea of creating such a Free Economic  Zone has been promoted for a long time and only during the latest  meeting of the prime ministers of EEU countries in Sochi an agreement  was reached on creating free economic zone on the Armenian-Iranian  border in Meghri region. According to him due to establishment of FEZ  the best platform for production of goods and provision of services  will be created in the borderline zone both in terms of Iran-EEU  relations and export of local products to various countries by using  trade regimes Armenia has with Europe, the USA, Canada, Switzerland,  Japan and other countries. Artsvik Minasyan also informed that the  agreement between the EEU commission and Iran on creating FEZ was  reached based on the proposal of Armenia's Prime Minister. At the  current stage Armenia's only goal is to ensure legislative  reliability. For this reason project on creating FEZ has been  introduced, which will undergo corresponding coordination. The  Minister noted that no additional new document will be signed between  Iran and EEU as there is no need in that. 

Earlier Armenian Prime Minister Hovik Abrahamyan stated that creating  FEZ in Meghri is a very important program, which will open new  opportunities for development of our economy. At the same time the  Prime Minister noted that the program is vital from the point of  regional development as well.  "Development of regions is one of our  priorities, and new free economic zone will boost development of  Meghri. New job places will open, new prospects will appear",  Abrahamyan noted. According to him, due to the program Iran will  receive an opportunity to open joint enterprises with the countries  members of the Eurasian Economic Union in the FEZ of Meghri and  export products to EEU free of duty

According to official data EEU's trade turnover totaled 228.6 bln USD  for the first half of 2016 (export- 140.5 bln and import-88.1 bln  USD). Foreign trade turnover declined by 23% compared the same period  of 2015. The export declined by 29.3% and import by 10.3%. Turnover  within EEU for the first half of 2016 declined by 17% y-o-y and  totaled 19 bln USD. 

According to National Statistical Service of Armenia in the H1 of  2016 foreign trade turnover between Armenia and Iran declined by  16.4% to 113.5 mln USD, which was determined by drop of import by  19.2% to 75.7 mln USD amid drop of export by 10.3% to 37.8 mln USD.