Cooperation Memorandum Signed Between UAE and Iranian Shipping Associations

According to the Public Relations of the Iranian Shipping Association, on May 25, 2024, a memorandum of cooperation was signed between the UAE Freight and Logistics Association and the Iranian Shipping and Related Services Association. This memorandum aims to develop and strengthen business and logistical cooperation between Iran and the United Arab Emirates. As Iran’s largest trade partner, the UAE plays a crucial role in facilitating international trade exchanges.

Importance of Cooperation between Iran and the UAE in Logistics and Shipping

1. Major Trade Partnership: The UAE is Iran’s largest trade partner, and over 70% of goods exported or imported from Iran are transferred to the Jebel Ali port due to sanctions-related challenges. Jebel Ali port, as a regional hub, plays a key role in facilitating trade exchanges.
2. Extensive Logistical Activities: All major global companies have logistical operations in the UAE. Members of the Iranian Shipping Association handle the marine transportation of goods, while shipping companies, forwarder representatives, and logistics service providers in the UAE are also commercial partners of Iranian Shipping Association members.
3. Volume of Trade Exchanges: Significant trade and financial exchanges between Iranian and UAE companies highlight the importance of this cooperation.

Objectives and Provisions of the Memorandum

This memorandum aims to guide and strategically manage business activities, facilitate the business environment, support member activities, and back practical economies through agreements in strategic business matters. The main objectives and provisions of this memorandum include:

1. Joint Regional Cooperation: The memorandum emphasizes joint regional cooperation and strengthening commercial relations.
2. Transfer of Knowledge and Expertise: The exchange of experience, expertise, and management technologies between the two associations is another key goal of this memorandum.
3. Utilization of Capabilities and Resources: Both associations are committed to using their capabilities and resources to enhance and develop logistics and shipping activities.
4. Human Resources Development: Developing human resources through joint training sessions and relevant meetings is another provision of this memorandum.
5. Resolution of Legal and Financial Disputes: This memorandum is designed to address legal conflicts and financial issues among members and facilitate business cooperation.

This memorandum can be seen as a milestone in strengthening and expanding business relations between Iran and the UAE and creating opportunities for the enhancement of logistical and shipping cooperation in the region.