Iran to launch direct shipping line to South Africa and Latin America
Iran plans to launch a direct shipping line to South Africa and Latin American countries in the near future, according to an Iranian trade official.
The shipping line will connect southern Iranian ports to the ports of South Africa and then to Latin American countries, specifically Brazil, said Babak Afghahi, an official with the Iranian Chamber of Cooperatives (ICC).
The shipping line will be launched with support from the Islamic Republic of Iran Shipping Lines (IRISL) and is aimed at developing Iran’s non-oil trade with the countries in those regions.
“With the support of the Islamic Republic of Iran Shipping Lines, considering the capacity of Iran's cargo export to the mentioned destinations, the chambers of commerce across the country, the Trade Promotion Organization (TPO) of Iran and other export bodies have been informed about the new development,” Afghahi said.
As reported by IRNA, the Islamic Republic’s trade with South Africa reached $43 million in the first six months of the previous Iranian calendar year (March 21-September 22, 2019), while the figure stood at $27 million in the same period of its preceding year.
Following a new strategy for boosting non-oil trade and distancing the country’s economy from oil, Iran has been launching several direct shipping lines to its major trade destinations over the past few years
Experts say trade and economic cooperation between Iran and African nations are far less than the capacities and mutual interests of the two sides.
They say the main obstacles for trade between Iran and Africa is the lack of direct sea and air transportation infrastructures, high marketing and transportation costs.