India and Iran will be able to conclude Preferential Trade Agreement (PTA) between the two countries latest by this year end as very limited formalities remain to be completed on this front which will make their trade cheaper and simpler, says Ambassador of Iran, Dr Ali Chegeni. He, however, informed that the proposed Bilateral Investment Protection Agreement (BIPA) between the two countries will take a little longer as details on this front need some more approvals and endorsement. As regard to Double Taxation Avoidance Agreement (DTAA), Dr Chegeni pointed out that this agreement has the approval of Indian Government whereas approval of Iranian side on this front is awaited.
Addressing an Interactive Session on Business Opportunities in Iran under aegis of PHD Chamber of Commerce and Industry (PHDCCI), Dr Chegeni explained that in the last few years over 26 MoUs have been signed between Indian and Iran to promote trade and economic ties. The bilateral trade between the two during fiscal 2017-18 has reached at a level of USD 17.5 billion which might go up to USD 35 billion in next few years before reaching a level of USD 50 billion with progressive and conclusive trade talks and agreements between India and Iran at highest level, he added.
However, referring to PTA of India with Iran, the Ambassador was confident that with very few formalities remaining to be completed on this front will be accomplished shortly with 5th round of talks between the authorities of the two countries here in New Delhi before it becomes a reality by end of 2019. The Ambassador also proposed that barter trade between India and Iran should also be encouraged under a different trade mechanism at least to promote and intensify trade ties on commodities such as agriculture, pharma, and couple of other similar commodities.
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