Iran signed a preliminary agreement with Austria to promote mutual cooperation in multiple industrial areas.

The agreement was signed on Thursday between the chambers of commerce of the two countries and is valued at over $2 billion, Press TV reported.

It includes eight documents envisaging broader cooperation in several areas including the automobile sector, steel industry, pharmaceutical field and engineering services.

Trade between Iran and Austria currently stands at around $300 million. Officials from both countries announced last year that a plan has been drawn up to raise this figure to $1 billion by 2020.

Building mutual trust

Tehran and Vienna plan to revive export insurance coverage for traders, said the head of Iran Chamber of Commerce, Industries, Mines and Agriculture (ICCIMA).

Speaking at Iran-Austria Economic Conference in Vienna on Thursday, Mohsen Jalalpour added Austria enjoys a special status in Iran's policy towards European countries, iccima.ir reported.

Undoubtedly, Austria's capacities in economic, financial, industrial and agricultural sectors have been quite effective in helping the country achieve a high status, he said, adding but more importantly, it was Austria's positive stance towards Iran during the past few decades, that has given it its current status.

"Austria did not back international sanctions on Iran during the invasion against the country led by Iraqi dictator Saddam Hussein (1980-88) and, more assiduously than most of other European countries, did its best to fulfill its trade and industrial obligations towards Iranian economic agencies during the past few years in which Western embargoes on Tehran had intensified. Due to this, currently, private Iranian agencies favor Austrian companies, over other European firms and organizations, for cooperation. They hold that establishing partnership with Austrian agencies would be safer."

Earlier, Jalalpour had said that a large Austrian delegation, headed by the country's President Heinz Fischer visited Iran, adding the team included the head of the Austrian Federal Economic Chamber (AFEC) Christoph Leitl.

During the visit, Leitl was received by the Leader of the Islamic Revolution Ayatollah Seyyed Ali Khamenei, which was a clear indication of the two countries' willingness to expand cooperation mainly in economic, industrial and trade sectors, he underlined.

"I have no doubt that you are very well aware of the high status you enjoy in the European paradigm of the Middle East's major power," Jalalpour said in an address to Austrian traders.

He called on them to take this advantage and opportunity to sign permanent lucrative contracts which can enhance the productivity of both sides' agencies and create jobs for thousands of people in the two countries.

Increased cooperation between the two countries' economic agencies can lead to greater safety and guarantee Austria's energy security, Jalalpour said.

Addressing his Austrian counterpart, he noted that, "Only traders and businessmen, such as you and I, very well know that it takes years of honest endeavor to gain credit and trust. Nevertheless, even the most reputable businessmen and traders may lose their credit overnight by making a simple mistake. What I am trying to say is that both countries should build, maintain and guard this mutual trust with great caution and sensitivity.

"As I informed you in Tehran, Iran is working towards developing a non-governmental economy and, thus, intends to extend a greater role to its private sector in the country's financial system. Iran's new economic policies, as notified by Ayatollah Khamenei within the framework of 'Resistant Economy', are Iranian officials' main guidelines, parameters and criteria for drawing up national economic plans and formulating the country's major policies."

He said Iran' Leader has stressed that the country's government must adhere to the principles of the 'Resistant Economy' and incorporate them in its long-term economic plans in the year to mid-March 2017 which he named the 'Year of Resistance Economy: Action and Implementation'.

"Iran and Austria are both willing and has the capacity and potential to cooperate in promoting knowledge-based economy, preserving and developing their small and medium sized agencies by making joint investment in other states and optimizing energy consumption by promoting the use of renewable energies."

The two countries signed a contract to revive export insurance coverage for both sides' traders on Thursday evening which would be an effective step towards implementing joint projects.

Jalalpour urged Iranian and Austrian banks to accelerate the revival of their services, adding both countries are interested in expanding cooperation in the fields of science and technology.

"Iran is studying the possibility of dispatching a large scientific and technological delegation to Austria. The country is also keen on developing traditional relations with Austria in the energy and transportation sectors as well as in the production of spare parts, industrial and wooden products, foodstuff, paper and pharmaceuticals in addition to handicrafts. We intend to begin cooperation in a number of new areas such as transferring technology for producing knowledge-based products, promoting tourism, constructing hotels and hospitals, generating renewable energies, producing potable water, preserving and protecting the environment, improving banking and insurance services as well as developing and modernizing urban management systems."

Jalalpour underlined that undoubtedly, President Fischer's trip to Tehran and the visits by Iranian delegations to Vienna will both play an effective role in forging bilateral economic ties, hoping that the next step in strengthening mutual relations will be President Hassan Rouhani's visit to Austria.

"ICCIMA's will do its best to further improve relations between the two countries. Yesterday, we visited Vienna and learned a great deal about the city's history and present conditions as well as the urban management and planning methods employed by its municipality and what I call the 'Austrian method'. I would like to express deep respect for the great people who built and developed this city and those who are handling and organizing its affairs at present."

He added that that the delegation will visit Austria's plants as well as the country's health, treatment and medical centers.

He also expressed gratitude for the hospitality of the AFEC's officials, Vienna's mayor and the Austrian economic society.

Austria, Iran's friend, associate

"Tell Iranians that Austria is their friend, companion and associate when you return to Iran,' said the president of AFEC.

Leitl underlined that mutual trust and confidence play a very important role in forging economic ties between the two countries.

Referring to the importance of economy in fostering bilateral relations, Leitl said economy means respecting, valuing, serving and helping the promotion of peace.

"Iran has enormous economic and trade capacities. AFEC is willing to cooperate with Iran in all economic and industrial fields including manufacturing machineries, transferring modern technologies, raising hygiene standards, improving infrastructures, protecting and preserving the environment, enhancing water management, encouraging tourism as well as holding vocational and technical programs."