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Warning from a Parliament Representative: Turkey is Taking Iran's Share in the Iraqi Market

Feb 4, 2026 February 4, 2026 3 min read 📰 VOA Persian
📋 Key Takeaway

An Iranian parliamentary representative warns that Turkey is increasingly taking over Iran's agricultural export market in Iraq, with significant implications for Iran's economy. The situation is exacerbated by U.S. pressure on Iraq to limit financial transactions with Iran, leading to a substantial decline in trade and exports.

🔍 Quick Context Guide
💡 Bottom Line: Iran's economic ties with Iraq are weakening, with Turkey stepping in to fill the gap, amid U.S. sanctions and regional tensions.

👥 Key Players

Mohammad Javad Asgari MENTIONED
Head of the Agricultural Commission of the Iranian Parliament
"He is responsible for overseeing agricultural policies and trade, making him a key figure in addressing export challenges."
Kaveh Zargaran MENTIONED
Head of the Trade Development Commission of the Tehran Chamber of Commerce
"He provides insights into the trade dynamics and challenges faced by Iranian exporters."
Islamic Revolutionary Guard Corps (IRGC) MENTIONED
A branch of Iran's Armed Forces
"Their actions, such as missile attacks, have significant geopolitical and economic repercussions."

📰 What Happened

Iran is losing its share in the Iraqi market to Turkey, exacerbated by U.S. sanctions and regional tensions. The Iraqi government has imposed restrictions on Iranian imports and financial transactions.

  • Iran's trade balance has exceeded a negative $15 billion.
  • Iraq has banned the import of Iranian sweets and chocolates and restricted currency exchanges with Iran.

💡 Why It Matters

🇮🇷 For Iran: The loss of the Iraqi market impacts Iran's economy, particularly its agricultural sector, and highlights the challenges of sanctions.
🌍 Regional: Turkey's increased presence in Iraq may shift regional trade dynamics and influence.
🌐 International: U.S. sanctions and pressure on Iraq to limit ties with Iran reflect broader geopolitical strategies to isolate Iran.

📚 Background

Iran has historically relied on neighboring markets like Iraq for exports, but U.S. sanctions and regional conflicts have strained these relationships.

U.S. sanctions on Iran Iran-Iraq trade relations
📡 Source: NEUTRAL
📊 Confidence: 70%
The article provides a factual account of trade dynamics without overt bias, but readers should consider the broader geopolitical context.

A member of the Islamic Consultative Assembly has reported that the export of goods and agricultural products to neighboring countries, including Iraq, is becoming more difficult, and Turkey is replacing Iran in the Iraqi market. Mohammad Javad Asgari, head of the Agricultural Commission of the Parliament, stated that today about 500 million people surrounding Iran are interested in importing agricultural products, and this space will undoubtedly be lost. Referring to his trip to Iraq and Qatar, he added, "I realized that we are completely losing the space among consumers, particularly regarding dried fruits and vegetables." The interruption and reduction of trade between neighboring countries, especially Iraq, with Iran has begun long ago, and official statistics from Iran's customs show that in the 11 months of the year, Iran's trade balance has exceeded a negative $15 billion. In this context, the head of the Trade Development Commission of the Tehran Chamber of Commerce reported on February 5 that the export of sweets and chocolates from Iran to Iraq has stopped. Kaveh Zargaran emphasized in an interview that the Iraqi government has officially halted the import of sweets and chocolates from Iran. Reports indicate that alongside the significant presence of countries like Turkey and Saudi Arabia in the Iraqi market and U.S. pressure on Baghdad to cut financial transactions with Iran, the Islamic Revolutionary Guard Corps' missile attack on the Kurdistan Region of Iraq on January 15 of this year led to a ban on the presence of "Made in Iran" goods in the Kurdistan Region of Iraq. Subsequently, on January 30, the ILNA news agency reported a decrease in Iran's share in the Sulaymaniyah market, stating that the market is almost dominated by Turkish products. In this regard, the Vice President of the Sanandaj Chamber of Commerce stated that Turkey has gained a strong presence in the Kurdistan Region of Iraq's market, and Turkish goods are traded several times more than Iranian goods in this country. The loss of this market occurred after the Islamic Republic's missile attacks on the Kurdistan Region of Iraq and the ban on Iranian goods by the officials of this region, while earlier the Iraqi government had also announced a ban on any currency exchange by Iraqi exchange offices and banks with Iran. Previously, media in Iran reported on January 1 about a new decision in Iraq that created an obstacle for Iran's access to dollars. According to these reports, the Central Bank of Iraq, by enacting a new law in the currency sector, prohibited official exchange offices and banks in this country from any currency exchange with five countries, including Iran, making it impossible for the Islamic Republic to obtain dollars through legal channels in this country. Iraq also banned the sale of dollars to travelers, and in response to this, the Secretary-General of the Iran-Iraq Joint Chamber considered the "suspension of the sale of travel dollars at the official price in Iraq," which was imposed following international punitive sanctions against the Islamic Republic, as an "opportunity." On January 8, Ali Shariati, a member of the Chamber of Commerce, stated in an interview with the "Entekhab" website that the American side had told Iraqi banking heads, "The issue of circumventing sanctions by Iranian traders must be resolved." A review of the published news regarding trade between Iran and Iraq, as well as the punitive policies of the United States in fully implementing sanctions, indicates that the Iraqi government is seeking to sever its economic ties with Iran in pursuit of its own interests, implementing many restrictions, including the suspension of the activities of the National Bank of Iran in Iraq.

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Translated from the original and edited for English readers. View original source →

Translation confidence: 85%

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