Iran-Iraq Joint Chamber of Commerce:
Activating untapped potentials in Iraq’s market to boost exports
By Sadeq Dehqan
Staff writer
A board member of the Iran-Iraq Joint Chamber of Commerce stressed the need to enter new sectors of Iraq’s market to reach higher figures in bilateral trade.
In an interview with Iran Daily, Hamid Hosseini said that according to official data, Iran’s exports to the neighboring country was $6.7 billion in the first eight months of the current Iranian year, starting March 21, 2025, reflecting a 15% decrease compared to the same period last year.
Hosseini said that the data showed Iran’s exports to Iraq stood at around 20 million metric tons, valued about $850 million monthly, indicating a 15% drop in exports.
He, however, expressed optimism that the export level would rise during the coming months.
Last year marked the time Iranian exports to Iraq surpassed $12 billion, placing the country as Iran’s second-largest non-oil export market after China, Hosseini said.
“This means that the exports to Iraq were valued approximately $1 billion monthly last year.”
According to the businessman, the current potential of Iraq’s market for Iranian goods is lower than $15 billion monthly, but he highlighted that reaching higher figures in bilateral trade requires engagement with new sectors of Iraq’s market, including services, knowledge - based products, gold and modern industries.
He said Iran holds substantial untapped potential in exporting technical and engineering services to Iraq. Activating this sector could significantly boost the exports.
The board member of the joint chamber said that the neighboring country has significant demand for goods such as tires, automotive parts, tobacco, and gold, areas where Iranian presence remains limited.
Hosseini said that the 15-percent downturn in exports reflects a confluence of factors, including new Iraqi trade policies. The tariffs imposed by the Iraqi government on some items of steel, such as rebar are among the main reasons behind the decreasing trend of exports, he said.
The country has curbed import of rebar to protect its domestic industry.
On the other hand, Hosseini said, the imposition of customs duties on the goods that enter the country through Iraq’s Kurdistan region has also been effective in the drop of exports.
He explained that part of Iran’s exports is made through Kurdistan, which put considerable expense on the Iranian side.
Iran’s primary exports to Iraq include construction materials, food products, fruits and vegetables, household appliances, chemicals, and petrochemicals.
In contrast, Iran has actually no official imports from Iraq. Imports from Iraq largely consist of metal scrap. Silver and some metals are also among the goods, he said, that are illegally smuggled into Iran.