According to the reporter of the Ministry of Roads and Urban Development News Agency, since 2013, Iran and Turkey had aimed to increase the volume of bilateral trade. However, this goal has not yet been achieved due to the unfair Western sanctions imposed on Iran. In this regard, the two countries signed a Preferential Trade Agreement in 2015, under which Iran granted tariff discounts on 125 items, while Turkey offered similar concessions on 140 items.

A Review of Events Between the 28th and 29th Joint Commission Meetings

Three years prior, the 28th session of the Iran-Turkey Joint Economic Cooperation Commission was conducted virtually, co-chaired by H.E. Mahmoud Vaezi (Chief of Staff to Iran's incumbent President) and H.E. Fatih Dönmez (Turkish Minister of Energy and Natural Resources), in response to pandemic restrictions.
Revision of the list of goods eligible for tariff discounts and negotiations on updating the agreement were among the key topics discussed during the previous session, the 28th Iran-Turkey Joint Economic Commission. Other issues addressed included facilitating the use of national currencies in bilateral trade, efforts to develop commercial transport infrastructure between the two countries, and reviewing procedures to ease administrative and routine processes at border crossings.
After three years, on December 21, 2024, the 29th Joint Economic Commission meeting between the Islamic Republic of Iran and the Republic of Turkey was held in Tehran, this time chaired by Farzaneh Sadegh, Iran’s Minister of Roads and Urban Development, and Ömer Bolat, Turkey’s Minister of Trade, at Espinas Palace Hotel in Tehran.

Iran-Turkey trade volume grows 63% in first 8 months of 1403 (2024-25)

During the session, it was stated that the trade volume between the two countries in the previous year amounted to $11.7 billion, and in the first eight months of 2024, this figure had reached $12.265 billion, reflecting a 63.3% increase. Farzaneh Sadegh, addressing the Turkish head of the Joint Commission, noted that based on the roadmap to be developed by both sides, the two countries could reach the targeted $30 billion trade volume. She also emphasized the need to resolve transit-related issues between the two countries, establish a new rail connection at the Cheshmeh Soraya point, hold the 5th meeting of the Port and Maritime Committee, resume Tehran–Van and Tehran–Ankara passenger trains, and open the fifth border crossing at the Chieli–Chaldiran point. The Turkish co-chair of the Joint Economic Commission also referred to more than $2 billion in investments made by Turkish businessmen in Iran and $2.8 billion in tourism revenue. He said: "So far, we have achieved over $10 billion in trade and are striving to reach the $30 billion target in Iran–Turkey economic relations with the support of the private sector. We have witnessed positive support from Iran in developing bilateral ties and hope that this will also be realized from the Turkish side to create new opportunities for cooperation." He added: "Increasing investments will lead to increased trade between the two countries. We have submitted the investment requests of companies to the Joint Commission, and the Iranian side has promised to follow up on them."
He added that in the areas of transportation, railways, and customs, both sides agreed on updating systems and protocols.

Memorandum of Understanding (MoU) Between Iran and Turkey

Later in the session, the Memorandum of Understanding of the 29th Meeting of the Iran–Turkey Joint Economic Commission was signed by the Minister of Roads and Urban Development of the Islamic Republic of Iran and the Minister of Trade of the Republic of Turkey.

"Amin Taraf," the Head of the International Affairs Center of the Ministry of Roads and Urban Development, discussed the details of the Memorandum of Understanding, emphasizing the expansion of economic cooperation and the planning for the 30th Joint Economic Cooperation Commission meeting between the two countries to develop bilateral trade and economic relations. He acknowledged that agreements were signed in various sectors, including trade, transportation, customs, transit, investment, banking, electricity and energy, agriculture, culture, tourism, and cooperatives. He stated: "The relationship between the two countries in the field of transportation has always been at a high level, with the highest volume of transport exchanges occurring in the road transport sector."

Regarding the exchange of delegations for adjusting railway tariffs, relevant memoranda of understanding were signed, and efforts were made to remove obstacles in rail transport as well as to establish new infrastructure connecting the two countries. It was also agreed that expert groups from both sides would examine the issues. Taraf further noted: "Currently, the trade volume between the two countries is $11.7 billion, with a target set to increase it to $30 billion within the next five years, and an action plan has been developed for this purpose."

New rail connection between the two countries at the Cheshmeh-Soraya border

Farzaneh Sadegh, the Minister of Roads and Urban Development of the Islamic Republic of Iran, also stated at the 29th session: "Cooperation in the transit sector is one of the key and fundamental areas of collaboration between the two countries. The new rail connection between the two countries at the Cheshmeh Soraya point, aimed at completing the East-West rail transit route, holding the 5th Port and Maritime Committee meeting, and resuming the Tehran-Van and Tehran-Ankara passenger trains are among the important transportation issues that should be pursued with the necessary attention from both sides."

Development of Border Markets between Iran and Turkey

The Minister of Roads and Urban Development also stated at the Iran-Turkey Business Forum, held as part of the 29th session of the Joint Economic Commission, that cooperation within the framework of joint markets at border points is an appropriate area for Iran-Turkey collaboration. He emphasized that increasing border crossings is essential for enhancing transit cooperation, developing trade between the two countries, and expanding interactions among their residents. Malavijard also highlighted the importance of hosting such events in boosting the capacity for cooperation between the two countries, stating: "Iran’s exports to Turkey have increased by 46% compared to the same period last year, reaching $4.415 billion, while imports from Turkey to Iran have risen by 75% to $7.78 billion compared to the previous year."

How the Memorandum of Understanding for the 29th Iran-Turkey Joint Economic Commission Meeting Was Drafted

To reach the Memorandum of Understanding of the 29th Session of the Iran-Turkey Joint Economic Commission, 200 experts from Iran and Turkey spent over 30 hours negotiating over the course of two days. The discussions covered various sectors, including trade, regional cooperation, banking, investment, scientific and technological collaboration, free zones, private sector, urban development, environment, transportation, customs, health, welfare, culture, and energy.

This Memorandum of Understanding demonstrates the strong commitment of both countries to expand economic relations and regional cooperation, and it can guide the Islamic Republic of Iran towards achieving its national, regional, and international economic goals. The 29th session of the Iran-Turkey Joint Economic Cooperation Commission once again proved that the two countries, relying on their geographical position and shared historical and cultural ties, can emerge as significant players in the regional economic arena. Achieving goals such as a $30 billion trade target requires continuous cooperation and overcoming existing obstacles. By maintaining this approach, Iran and Turkey can not only strengthen their bilateral relations but also contribute to enhancing regional stability and development.