In the past Iranian calendar year, ending March 20, 2025, Iran exported non-oil goods worth $11.9 billion to Iraq, making it the second-largest market for Iran’s non-oil exports, according to Abolfazl Akbarpour, deputy head of the Islamic Republic of Iran Customs Administration (IRICA) for planning and international affairs.
With Iran’s significant export potential and Iraq’s growing demand for Iranian products, both nations are eager to boost their economic partnership. The two countries have set an ambitious goal of achieving $20 billion in annual trade, with business leaders and officials committed to reaching this target.
In late May 2024, Jafar Hosseini, head of the Department of Spatial Planning and Regional Planning at Iran’s Planning and Budget Organization (PBO), highlighted that Iran exports approximately 2,200 products to Iraq, valued at $12 billion annually. Speaking at a meeting focused on enhancing trade and investment opportunities with Iraq, Hosseini noted Iraq’s economic strength, boasting $85 billion in foreign currency reserves, 130 tons of gold, and 147 billion barrels of proven crude oil reserves, positioning it as one of West Asia’s wealthiest nations. He added that over half of Iran’s active traders are engaged in the Iraqi market.
To further solidify economic ties, Hosseini proposed improving trade infrastructure, encouraging Iranian traders to invest in Iraq, and fostering exchanges through trade delegations and participation in bilateral exhibitions.
Iran’s ambassador to Iraq, Mohammad Kazem Ale-Sadeq, in a mid-December 2024 interview, lauded the robust economic relationship between the two nations. He expressed optimism for continued growth, emphasizing Iraq’s regional importance and the deep economic, political, and social connections with Iran.
In early May 2024, Tehran hosted the 6th Iran-Iraq Joint Economic Committee meeting, co-chaired by Iran’s then-Finance and Economic Affairs Minister Ehsan Khandouzi and Iraq’s Commerce Minister Atheer Daoud Al-Ghurairi. The two-day event featured discussions across specialized committees covering commerce, industry, agriculture, energy, finance, transportation, tourism, health, and more, aiming to deepen cooperation.
