TEHRAN- The head of the Iran Feed, Poultry, and Aquatic Industries Association said that the strategic agreement between Iran and Kazakhstan to establish a logistics terminal at Shahid Rajaee Port will enable the direct and lower-cost supply of livestock feed inputs by eliminating expensive intermediaries. He added that the agreement will play a key role in reducing the production costs of protein products and ensuring Iran's food security in the coming years.

The signing of a $25 million agreement between Iran and Kazakhstan to build a logistics terminal on a 15-hectare site at Shahid Rajaee Port marks a milestone in the two countries' economic relations and the expansion of their transit cooperation. According to experts, the agreement goes beyond port collaboration, laying the foundation for increasing bilateral trade from $500 million to $3 billion while improving strategic industries' access—particularly the animal feed, poultry, and aquaculture sectors—to essential raw materials.

Speaking to IRNA on Wednesday, Majid Movafegh Ghadiri assessed the recent agreement following the visit to Tehran by a high-level delegation of Kazakh business leaders and investors headed by Aman-Mal Gazhvarov, Director General of Kazakhstan's Trade Development Fund.

He said: "This is not merely a port contract; it is a strategic initiative that redefines Iran's role in regional and international supply chains. Implementing this agreement will strengthen the eastern branch of the International North–South Transport Corridor (INSTC) and further solidify Iran's position as the bridge connecting Central Asia to the world's open seas."

He noted that negotiations and feasibility studies between Iran and Kazakhstan began in 2022, and on June 28, 2026 (7 Tir 1405 in the Iranian calendar), those negotiations culminated in a Build-Operate-Transfer (BOT) agreement. Under the deal, Kazakhstan will invest $25 million to construct and operate its logistics terminal at Shahid Rajaee Port.

According to Ghadiri, the contract spans 27 years—including 2 years for construction and 25 years of operation. Given the possibility of increased transit volumes in the future, the agreement will be subject to review every five years.

A member of the Iran Chamber of Commerce's Board of Representatives, Ghadiri outlined the agreement's key operational elements:

* Kazakhstan will build its own dedicated logistics terminal at Shahid Rajaee Port to manage grain exports, containerized cargo, and transit shipments.

* In return, Iran will gain access to dedicated infrastructure and berths at the Kazakh ports of Aktau and Kuryk on the Caspian Sea.

He added that Iran's willingness to allow Kazakhstan to utilize the capacities of Chabahar Port opens a new horizon for expanding both regional and international trade.

Regarding the agreement's impact on bilateral trade, Ghadiri said the objectives are highly ambitious. Plans call for increasing the corridor's annual freight capacity from approximately 3.5 million tons to 20 million tons, while boosting bilateral trade from around $500 million to $3 billion.

He concluded that achieving these goals would establish a competitive, sustainable, and reliable trade corridor linking Iran, Central Asia, and global markets.

MA