With the easing of sanctions on Iran, trade between the country and India is expected to go up significantly this financial year, with both nations keen to expand their bilateral trade by exploring new areas of cooperation.
The two countries held the 18th session of the India-Iran Joint Commission Meeting (JCM) in New Delhi on 28 December, co-chaired by External Affairs Minister Sushma Swaraj and Iran's Minister of Economic Affairs and Finance Ali Tayebnia.
At the JCM, Sushma Swaraj said India considers Iran an "important partner", and spoke of enhancing bilateral engagement in energy, shipping, ports and railways, according to a press statement issued by the External Affairs Ministry.
She also said connectivity as a result of Indian participation in Chabahar Port would facilitate India's access to Afghanistan and Central Asia.
The Iranian delegation suggested that India Inc join the country's efforts to develop Chabahar Port and Chabahar Free Trade Zone (FTZ), besides setting up industrial units in the FTZ.
The Indian delegation stressed on the need to expedite necessary procedures for India's participation in Farzad-B field and also evinced interest in participating in other oil and gas explorations in Iran.
While India predominantly buys oil from Iran, the Islamic republic buys rice and sugar.
Till 2013-14, Iran was the largest importer of rice from India, buying 15.32 lakh tonnes valued at $1.98 billion, but slipped to second position, importing 10.04 lakh tonnes valued at $1.16 billion next year.
The position changed this financial year, when Saudi Arabia imported 598,001 tonnes of rice valued at $527.16 million during the April-September period, as against Iran which imported 361,474 tonnes of rice valued at $319.71 million.
The two countries also decided to allow Pasargan Bank and Parsian Bank of Iran to open branches in New Delhi and Mumbai.
Meanwhile, the US is contemplating imposing sanctions on Iran over its ballistic-missileprogram.
The sanctions could be imposed on 12 companies and individuals in Iran, Hong Kong and the UAE over their suspected role for helping Iran in its ballistic missile programme, reports Reuters.
