Iran's trade with Iraq demands centralized decision-making and unity of command, two senior officials said Wednesday, urging a coordinated approach to overcome regulatory hurdles and hit a $20 billion trade target. The officials spoke at a meeting of Iran's Chamber of Commerce directors with Kermanshah economic activists.
Speaking to the gathering, Yahya Al-e-Es'haq, head of the Iran-Iraq Joint Chamber of Commerce, said trade with Iraq is directly tied to national security and development. "It should not be viewed merely from an economic perspective," he said, calling for a decision-making center that can act according to time and place, and granting provincial officials more authority.
Al-e-Es'haq described the $20 billion target as achievable, with current exchanges at $14-15 billion. He stressed balancing exports with imports of basic needs and raw materials, and advocated fulfilling forex obligations through goods barter—import against export—rather than only direct currency transfers. He noted Iraq's three regions require flexible policies, not a single formula. He also noted that specialized personnel and up-to-date information are crucial for managing daily trade relations.
Hassan Danaeifar, head of the Iran-Iraq Economic Task Force, called for Joint Chamber offices in Baghdad and the Kurdistan Region to resolve problems on-site. He noted Iraq absorbs 22% of Iran's non-oil exports—sometimes 25-26%—but warned UAE and China are expanding their presence. "One-sided exports cannot be sustainable," he said, backing goods barter and increased imports from Iraq.
Danaeifar said customs tariff hikes need review to determine if they are internal Iraqi decisions or bilateral issues, and urged case-by-case follow-up in Sulaymaniyah. He also supported amending the anti-smuggling law nationally.
Kermanshah, with 371 km of border, two official crossings, and five border markets, exports nearly $3 billion annually to Iraq. Both officials agreed that coordinated decision-making and institutional presence in Iraq could bring the $20 billion target within reach, strengthening Iran's regional economic position.
