Armenia and Iran will open a joint cooperation office in the free trade zones "Meghri" and "Aras"

ArmInfo. The executive  director of the Aras free trade zone Mohsen Hadem Arab Baghi  announced the intentions of Iran and Armenia to open a joint  cooperation office in the free trade zones Aras and Meghri. This is  reported by IRNA with reference to the executive director of FTA  "Aras".  According to Buggy, according to the agreements reached,  during the recent meeting with the Governor of Syunik region of  Armenia Vahe Hakobyan and within the framework of the development of  the Armenian- Iranian cooperation, the office of joint cooperation in  the free trade zones "Meghri" and "Aras" will open in the near  future. "The successful experience of Iran in the creation and  development of free trade zones can contribute to further cooperation  with Armenia in the creation of a free zone on the border between the  two countries," said Khadem Arab Bagi.

He also expressed confidence that the creation and development of a  free zone "Meghri" with the support and cooperation of both sides  will contribute to the prosperity of the free zones of both  countries.  According to him, the signing of the framework agreement  between Armenia and the European Union can increase the volume of  exports from the free zones "Aras" and "Meghri", which will lead to  increased cooperation between the two sides, and ultimately will  serve as the basis for the development of Iran and Armenia.

Earlier in August this year, Iran and Armenia signed an agreement on  cooperation in free trade zones.  According to the agreement, Iran  and Armenia will develop cooperation in the Iranian free trade zone  Aras and the Armenian Meghri zone.  October 18 this year. Minister of  Economic Development and Investments of the Republic of Armenia Suren  Karayan informed that the free economic zone "Meghri" on the border  with Iran will be launched at the end of November 2017. As the  minister pointed out, at present there are 2 projects on creation of  FEZ - Syunik and Meghri. In the near future, they are planned to be  merged into one large free economic zone.  "Work on the construction  of FEZ" Meghri "has already started, at the end of November we will  try to launch it," Suren Karayan said. It should be reminded that on  August 3 the Armenian government approved the draft decision on the  establishment of ZAO Meghri Free Economic Zone. At the first stage,  it is planned to equip the territory adjacent to the Meghri  checkpoint, and also to form physical infrastructures. 

This will be followed by the provision of appropriate privileges and  the involvement of companies in the FEZ. The total cost of building  FEZ in Meghri is estimated at $ 32 million, of which $ 28 million is  capital expenditure. The construction of the FEZ 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 SEZ - more than 10  companies from Russia, there are also companies from Iran and Europe.  According to the Ministry of Economy, operation 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  Syunik region, as well as the positioning of Armenia as a link  linking Iran with the EAPP countries and with Georgia. It is assumed  that 100-120 companies will operate there, whose revenues in 10 years  will be $ 52 million. The products will be exported to Iran, the  countries of the EEA, 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 EAEC. In total, seven such  zones will operate in the Unified Energy Efficiency System.