Πέμπτη 8 Νοεμβρίου 2012

The Greek-Iranian challenge on Business and Trade



The Greek-Iranian challenge on Business and Trade
Wikileaks revelations on Athens US Embassy interventions
Greece and Iran have a long history as carriers of long-lasting civilizations, however, the present level of relations does not reflect the similarities and close bonds between the two societies. Trade is focused on oil imports from Iran and there is little diversification in the import-export fields. Oil is the centerpiece of trade. This is sad, because there is a wealth of products and services that can enrich the trade and business ties between the two historic countries. Tourism is certainly one of the backbones, around which closer relations can be built, while additional business initiatives are cultivated, with the support of Greek-Persian businessmen.
In 2010, based on data from the Panhellenic Exporters Association, the 20 top exports of Greece to Iran totaled 20,497,000 euros while the 20 top imports from Iran totaled 1,163,181,000 euros with 98.66% of it as oil imports. These figures were 0.13% of total Greek exports and 2.60% of total Greek imports. Greek imports from Iran are dominated by oil. There is more diversification in Greek exports, with non-frozen vegetables amounting 16%, fruit 13%, medicines 11% and all other 17 product categories under 10% each. There is a lot of space for a significant increase of trade between Greece and Iran, especially to allow Iran to diversify Iranian products, so that oil will not dominate exports to Greece, as well as allow Greece to increase the volume and diversity of exports to Iran.
Iran also welcomes foreign investments, although its gains from oil are significant. Dr. Behrouz Alishiri, the Vice Minister of Economics and Finances of Iran and President of OIETAI (Organization for Investment, Economic & Technical Assistance of Iran) commented to the Mehr News Agency that "during 2006 and 2008, the volume of foreign investment made in Iran was estimated to be between $1,400,000,000 and $1,600,000,000 dollars but the figures reached $3,000,000,000 dollars in 2009 which shows a growth of 86%".
External political influence
The Western political and economic pressures on Iran shaped to a very large extend the behavior of the Greek governments towards the trade opportunities with Iran. In today's very difficult economic situation someone would expect that the Greek governments (regardless of the ruling party) would pursue greater volume and diversity of trade between Greece and other countries, especially Iran where just the population of its capital Tehran is almost double than the population of the entire Greece.
An additional reason to increase trade and other relations is that Greece is now looking at the true face of the West and the vast majority of the public want a new orientation of Greece, a realignment for keeping distances from the West. People now realize that the West was only exploiting them and created the economic crisis “to steal the Greek public infrastructure, natural resources and remove national independence” as is widely noted. The goal seems to be turning the country to be a satellite of Washington or Berlin.
It seems however that international politics affect more the Greek government as the Wikileaks document later shows. Of course the economic crisis reduced the manpower in the public sector, but it did so in a completely unacceptable way. For instance, the Hellenic export promotion organization witnessed an incredibly high reduction in personnel dealing with organizing business trips abroad. Even the Hellenic Chamber of Commerce had similar manpower reductions in its department on promoting exports. It is obvious that the Greek state cannot seem to be completely reliable to a Greek or Iranian businessman to help him handle any trade and business activity in Greece or Iran. Private initiative is helping significantly in his direction.
The Greek-Persian businessman Mr. Edward Norouznia, owner of the ALFA Group (http://www.farosradio.gr/el/faros-news/item/1327-ellada-persia-prosopa.html), who is assisting Greeks to organize their investments in Iran, pointed out that the centuries-lasting Greek-Persian relationship can be enforced because there was always interest in Persia for Greece. There is organized effort to help businessmen going to Iran so that their local business activity can flourish. Today’s difficult situation in Greece opens an opportunity for Greek businessmen to invest in Iran and have full state support in their activities. There was not enough information in Greece on the opportunities in the Iranian market and now that this slowly changes, there will be mutual benefit for the two countries. Mr.Norouznia noted that his effort to facilitate and streamline Greek investors in their ventures in Iran is based on the belief that there are many opportunities between the two countries, as well as need to clear the path for them not to waste time and money. People who know the way a Greek businessman thinks and an Iranian as well are more suitable to clear the path and direct them towards the more promising investments. One indication that the bilateral trade relations are improving, would be the re-establishment of the direct airline connection between Athens and Tehran. The previous one operated by Iran Air no longer exists. The Visa problems must be resolved so that citizens of both countries would find it easier to travel to one another.
A practical proof that Iran can be a close and reliable partner in difficult conditions, is revealed in a November 11 2011 Reuters cable “Greece turns to Iranian oil as default fears deter trade”. Reuters says “Greece is relying on Iran for most of its oil as traders pull the plug on supplies and banks refuse to provide financing for fear that Athens will default on its debt. Traders said Greece has turned to Iran as the supplier of last resort despite rising pressure from Washington and Brussels to stifle trade as part of a campaign against Tehran's nuclear program”. Iran appears to be the only country that can satisfy Greek oil needs in this very difficult economic situation without affected by it.
US pressures on Greece to limit or stop trade with Iran are not new, although Greece can function as the link between Iran and Europe. Greece is the closest continental area to Iran for importing goods. However, even Iranian products in Greece are imported through Germany, Netherlands, England, etc! It appears to be a trend in Europe even to centrally control Iranian imports.
The leaks of State Department documents to Wikileaks, revealed heavy Athens US Embassy pressures on Greece to stop even the transport of Iranian oil. However, trade relations worked as tool for Greece to avoid US pressures. The ship owners did not abandon the oil transport. Besides, the Chinese would immediately take over and the only result would be Greeks loosing the job. Washington was interested to achieve “European solidarity” serving US interests!

Wikileaks revelations on Athens US Embassy interventionsGreece and Iran have a long history as carriers of long-lasting civilizations, however, the present level of relations does not reflect the similarities and close bonds between the two societies. Trade is focused on oil imports from Iran and there is little diversification in the import-export fields. Oil is the centerpiece of trade. This is sad, because there is a wealth of products and services that can enrich the trade and business ties between the two historic countries. Tourism is certainly one of the backbones, around which closer relations can be built, while additional business initiatives are cultivated, with the support of Greek-Persian businessmen.In 2010, based on data from the Panhellenic Exporters Association, the 20 top exports of Greece to Iran totaled 20,497,000 euros while the 20 top imports from Iran totaled 1,163,181,000 euros with 98.66% of it as oil imports. These figures were 0.13% of total Greek exports and 2.60% of total Greek imports. Greek imports from Iran are dominated by oil. There is more diversification in Greek exports, with non-frozen vegetables amounting 16%, fruit 13%, medicines 11% and all other 17 product categories under 10% each. There is a lot of space for a significant increase of trade between Greece and Iran, especially to allow Iran to diversify Iranian products, so that oil will not dominate exports to Greece, as well as allow Greece to increase the volume and diversity of exports to Iran.

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