Maritime Cooperation
Among local governments, the Busan Metropolitan City Government has been the most active in supporting local companies’ advancement into the Iranian market since the lifting of the UN’s economic sanctions against Iran in January. On June 1, Mayor Suh Byung-soo visited Teheran with representatives of 11 local companies in the steel, auto parts and machinery industries that are main industries in the region. The business meetings resulted in discussions of a total of 52 export deals amounting to US$53.31 million, of which real contracts worth US$48.54 million were signed.
Mayor Suh had a meeting with Mansour Moazzami, deputy oil minister for planning and supervision of hydrocarbon resources and chairman of the Industrial Development Renovation Organization of Iran (IDRO), the largest government-run company in Iran who takes the lead in Iran’s industrial investment sector. Chairman Mansour promised to boost cooperation between shipbuilders in Busan and Iranian companies.
The IDRO was founded to accelerate the industrialization of Iran and the promotion of Iran’s export. The IDRO has 117 affiliates in all industrial sectors such as automobiles, engines, machine parts, energy, finance, trade and shipbuilding. ISOICO Dockyard also belongs to the IDRO. Mayor Suh discussed ways to promote cooperation between Busan and harbors in Iran by meeting with officials at the PMO and the IRISL.
He brokered an MOU between the two chambers of commerce of Busan and Teheran, which laid a strong foundation for cooperation between the two cities in the private sector, expanding anticipations for various economic exchanges.
Another remarkable feat is to sign an MOU with Bandar Abbass, the largest port city in Iran. Bandar Abbass is home to the largest dockyard in Iran and harbors which process 60% of Iran’s export and import cargoes. The agreement is expected to promote economic exchanges between shipbuilders and port operators in Busan and companies in Bandar Abbass.
In the morning of May 30, Governor Jasem Jaderi welcomed Mayor Suh at the office of Hormozgan Province and moved to Homa Hotel where the two signed a MOU to position Busan as the city which promotes friendship and cooperation with Bandar Abbass. Governor Jasem Jaderi promised to actively help Busan companies make a foray into Iran while Amini Jade, mayor of Bandar Abbass asked the Busan mayor to transfer the know-how of Busan Port which has been growing rapidly.
During his visit to Shahid Razaee, the largest trade port in Iran and ISOICO, the largest dockyard in Iran, Mayor Suh made a presentation on the technological excellence of small and mid-sized shipbuilders in Busan to high-ranking officials.
Currently, Iran is developing Shahid Razaee into a harbor that can process 3,000,000 TEUs a year. “Since the sanction was lifted, many countries around the world are expressing their interest in Iran,” Mayor Suh said. “We need to continuously pay attention to Iran and carry out exchanges with Iran to help companies in Busan make a foray into the Iranian market and accomplish positive results.”