The Analysis of Trade Potentiality between Iran and Selected Countries with Consideration of Regional Trade Agreements (RTAs)
Volume 10, Issue 37, Summer 2010, Pages 71-93
Heshmatollah Asgari
Abstract Reducing dependency on oil export and increasing non-oil export was one of the most important aims of the 3rd-5 year development plan. The aim was to increase the share of non-oil export from 18% in (3rd D.P) to 33.6% in the 4th-5 year dev. Plan. Hence the in order to recognize trade target markets through the trade potentiality analysis between Iran and selected countries such as: Azerbaijan, Armenia, Turkey, Russia, Turkmenistan, Jeorgia and Kazakhistan, we use the comparative export and import vector methods in 2008. The result shows that Iran’s export to the selected countries except Turkey was more than export potentiality of these countries. So, there is no more opportunity for RTAs with these countries for export. But Iran imports from these selected countries were less than import potentiality. Thus we conclude that (RTAs) can be used only for the import potentialities rather than non-oil export.