Syria and Iran Reach Initial Preferential Tariff Agreement

Syria has reached an initial agreement with Iran on preferential tariff regulations to boost trade between the two countries, Iran's Vice President Paviz Davoudi told reporters on March 1.

"The agreement on preferential trade tariffs can bring about a jump in product trade between the two countries," Davoudi said.

The deal is part of a wider push to establish a Free Trade Zone between the two countries. Trade between the two allies is worth about SYP 14.1bn (USD 300m) annually, while tourism generates some SYP 23.5bn (USD 500m), Davoudi added.

Iran will also join a venture by Venezuela and Malaysia to build a refinery in Syria, Reuters reported.

In February, the Syrian government gave the green light to a joint Syrian-Iranian bank, to be called Banki, a venture between the Commercial Bank of Syria and Iran's Bank Saderat. The bank will be launched with a capital of SYP 1.5bn (USD 32m) and will focus on trade financing and boosting exports between the two countries.

Davoudi, who was speaking at the end of a three-day visit by a Syrian delegation led by Prime Minister Muhammad Naji Otri, also said the two sides discussed political ties.

"Both our countries should be active in supporting the unity of Palestinian groups, rebuilding Gaza and prosecuting the Zionist leaders as war criminals," he told reporters.

He also urged Syria to be "more alert to political tricks of enemies", AFP reported.