Armenia and Iran have consolidated cooperation in FEZ sphere

ArmInfo. Minister of Economic Development and Investments of Armenia Suren Karayan and adviser to the President of Iran, secretary of the Coordinating Council of Free and Special Economic Zones Akbar Torkan signed a Memorandum of Cooperation on the eve. On August 18, Suren Karayan visited the construction site of FEZ Meghri.

The purpose of the document is to establish the main areas of cooperation between Armenia and Iran in the sphere of free economic zones, in particular, to ensure the promotion of the free economic zone "Meghri" and the economic special zone "Aras" and the close cooperation of the latter.

Already in the Syunik region of Armenia, the head of the Ministry of Economic Development accompanied by the governor of Syunik Vahe Hakobyan and the chief adviser of the Prime Minister of RA Gagik Martirosyan got acquainted with the progress of construction works. They discussed the ways of development of FEZ.

The working group discussed the specification of the FEZ and prepared it for approval.

on August 3, at the meeting, the Armenian government approved the draft decision on the establishment of Meghri Free Economic Zone. FEZ in Meghri, the launch of which was previously announced in October 2017, today cannot announce both potential investors and possible operators of the zone. Deputy Minister of Economic Development and Investments Garegin Melkonyan, presenting the document, noted that within three months the company's charter will be approved, an executive body is formed and state registration is carried out. At the first stage, it is planned to equip the territory adjacent to the Meghri checkpoint, as well as the formation of physical infrastructures. This will be followed by the provision of appropriate privileges and the involvement of companies in the FEZ.

The total cost of construction of FEZ in Meghri is estimated at $ 32 million, of which $ 28 million is capital expenditure. The construction of a free economic zone on the border with Iran is one of the priority investment programs of the Armenian government and provides for the creation of a free economic zone with an area of 10-15 hectares, with the possibility of further expansion to 45-50 hectares. Despite the fact that the FEZ has not yet been built, there are already numerous applications from various companies that have expressed a desire to start work in the FEZ - more than 10 companies from Russia, there are also from Iran and Europe. According to the Ministry of Economy, exploitation of the FEZ will create 2,500 jobs and increase exports from Armenia by 30%. The main goal of the SEZ is the development of trade and economic relations with Iran and other countries of the region, the development of the Syunik region, as well as the positioning of Armenia as a link linking Iran with the EEU countries and Georgia. It is assumed that 100-120 companies will operate there, whose revenues will reach $ 52 million over 10 years. The products will be exported to Iran, the countries of the EEU, the Middle East, Turkmenistan and others. The total investment of all companies for 10 years is planned to increase to $ 350-400 million. The functioning of the FEZ has already been legislated in the Customs Code of the EEU. In total, seven such zones will operate in the system of duty-free in the EEU.