India uk trade set to double by 2015 projections
UK uses cookies to make the site simpler. Find out more about cookies. This publication is licensed under the terms of the Open Government Licence v3. To view this licence, visit nationalarchives. Where we have identified any third party copyright information you will need to obtain permission from the copyright holders concerned. This publication is available at https: On 16 JanuaryIran received extensive economic and financial sanctions relief following confirmation from the International Atomic Energy Agency IAEA that Iran had met its obligations under the nuclear deal agreed on 14 Julymeaning the country is now able to trade more freely globally.
The UK government supports expanding our trade relationship with Iran and we encourage UK businesses to take advantage of the commercial opportunities arising from the lifting of sanctions.
Re-opening of the British Embassy in Tehran inthe upgrade in diplomatic relations and the appointment of Nicholas Hopton as British Ambassador to Iran on 5 Septembermarked an important step forward in diplomatic relations between the two countries. There is a positive outlook for UK-Iran trade relations.
Iran is the biggest new market to enter the global economy in over a decade, offering significant opportunities in most sectors, with potential to grow as the market in Iran expands. The Iranian government is keen to attract foreign investment and technology transfer across all sectors.
Contact a DIT Iran export adviser for a free consultation if you are interested in exporting to Iran. Read about embargoes and sanctions on Iran. Read the full text of the agreement and annexes. Some ongoing sanctions mean you need to consider whether the product or material you want to trade is restricted, and how payments will be made.
UK companies must also consider whether their proposed activity is subject to US sanctions. If in any doubt you should seek legal advice. It is important to ensure appropriate due diligence measures take place before engaging in any business activity. Businesses preparing to do business in Iran should familiarise themselves with the relevant sections of this guidance.
Iran has the second largest economy in the Middle East after Saudi Arabia. Iran grew by 4. Regulations can be complex, and consumer and employee protection is often given preference over ease of doing business. The government creates regular economic plans and these have a significant impact on the direction of the country. The Iranian government owns the largest companies which are typically in the extraction and manufacturing industries. However, the oil and gas sector still dominates.
Investors may need to commit significant resources to training local staff. Economic isolation in recent years has meant that international best practice is not always followed and international standards have not been met, especially in technology-dependent industries such as oil and gas. However, this is an area that the government of Iran is trying to address. DIT provides free international export sales leads from its india uk trade set to double by 2015 projections network. Search for export opportunities.
The sector is mature but with huge potential for expansion. The lifting of sanctions means Iran is looking to regain market share by increasing exports. Industry analysts have predicted that Iran will achieve sizeable increases in both oil and gas production, but that its targets will be easier to reach in a timely and efficient manner with foreign investment and the latest technology. The Iranian government is seeking foreign partners by using a new contract structure offering foreign partners more favourable terms.
Certain goods, software and technology require a licence for export outside the EU. Check whether you require an export licence. Many of these companies have previously received financing or entered into partnerships with international investors.
They are likely to be looking for international partners in the future. Much of this is expected to come from foreign investors. Some goods, software and technology require a licence for export outside the EU. The Iranian government is providing around USD 15 billion of funding to increase manufactured metal production.
Iran is likely to need more than 1 india uk trade set to double by 2015 projections USD of investment in infrastructure over the next 10 years. This will be necessary to meet the ambitious plans the Iranian government has laid out for transport, power and water.
Iran has 54 airports, including 8 international airports which are managed by Iranian Airports Company. An increase in tourist and business visitors has led to plans for investment in airports.
Iran will need additional power generation and infrastructure to meet its projected economic growth, particularly in energy-intensive industries. The government plans to add more than 5GW of generation capacity a year to reach a total capacity of 96 GW by It is likely that this will largely be through increased gas-powered generation capacity and the development of renewable sources.
Iran faces severe water shortages which threaten food production and other water-intensive industries. The Iranian government has committed USD 7 billion of annual spending to develop its water infrastructure, including desalination plants in the Persian Gulf region and water india uk trade set to double by 2015 projections pipelines. The government plays a significant role in the sector, which is regulated by the Central Bank of Iran.
There are 8 state-owned banks active in the market. Although the financial services sector in Iran is relatively small, and foreign investment faces limitations, there are opportunities for UK businesses. Healthcare spending is expected to increase due to:. The median age is set to increase by 8 years from to and india uk trade set to double by 2015 projections disease burden is shifting towards chronic, non-communicable conditions. Government regulation keeps medical costs low, but many healthcare providers face financial problems because insurance firms sometimes fail to pay for care.
As a result many hospitals are unable to afford up-to-date medical equipment or the most effective drugs. International companies such as Samsung and Daelim are already involved in developing new Iranian hospitals. Some international pharmaceuticals companies have maintained activity in Iran over the last 5 years, and more are planning on entering the market in the near future. However, the Iranian government tightly regulates the cost of treatment and has protectionist tariffs defending local manufacturers from foreign competitors.
Exceptions are made for advanced technology and drugs that cannot be produced locally. The Iranian government wants to develop its domestic pharmaceutical capability and is looking for business partners that are able and willing to transfer technology to Iranian organisations. Change to the retail sector in Iran will be driven by the lifting of sanctions, and the growth of the middle class, increased access to internet and the relatively young population.
With the easing of economic sanctions, interest in the Iran market has developed from UK retailers. Iran is a wealthy market and with many sanctions now lifted, there is an expected appetite for western brands. These trends are likely to increase demand for premium clothing and consumer product brands, convenience products and services.
Read the full statement issued by the US government. As such, the UK government continues to fully support expanding our trade relationship with Iran and encourages UK businesses to take advantage of the commercial opportunities that arise. The re-imposition of the US sanctions against Iran may have commercial and legal implications for UK businesses and individuals dealing with Iran.
Where necessary, legal advice should be sought. Office of Foreign Assets Control U. Despite the lifting of many sanctions, Iran can be a difficult place to do business. UK businesses looking to trade or india uk trade set to double by 2015 projections in Iran should be aware of:. Breaching sanctions is illegal. UK businesses need to carefully determine what risks they might want to take on the less india uk trade set to double by 2015 projections issues of political or reputational risk, and ensure that they undertake appropriate and adequate levels of due diligence.
Iran is a highly centralised country and the government regulates nearly all activities. Basic requests can require complex forms, administrative processes and stamps of approval and these can lead to delays. The division between public and private sectors in Iran is often blurred by the presence of a number of semi-autonomous organisations closely aligned to the state.
Most prominent among these are charitable foundations known as bonyads or setads, many of which india uk trade set to double by 2015 projections now equivalent to large business conglomerates. Some large religious organisations and even branches of the military also function as bonyads. These political and economic links could be of concern to investors. Read our guidance on embargoes and sanctions on Iran for more detailed information.
Check the HM Treasury Consolidated List of Targets to see india uk trade set to double by 2015 projections organisations and individuals are subject to an asset freeze. It is worth noting that it is india uk trade set to double by 2015 projections responsibility to find out whether sanctions still affect you.
You must ensure that any proposed agreements do not deal, either directly or indirectly, with a designated entity either in the supply of material or services or in the payment route used. You are not allowed to make funds and economic resources available to sanctioned entities, directly or indirectly, without a licence. To deal with an entity subject to financial sanctions you must contact HM Treasury with information about the proposed dealings and the relevant grounds for licensing.
HM Treasury would then consider whether a licence can be issued. Applications for a licence with respect to financial sanctions should be made to the Office of Financial Sanctions Implementation:.
General enquiries India uk trade set to double by 2015 projections relating to asset freezing or other financial sanctions should be submitted to the Office of Financial Sanctions Implementation. Businesses should consider seeking legal advice on whether they could be affected in the event some or all sanctions were re-imposed on Iran.
It should be noted that snapback is a measure of last resort. In the event of a significant non-performance and after having exhausted all recourse possibilities under the dispute resolution mechanism, the snapback will be considered by the other JCPoA participants.
US primary sanctions on Iran remain in place. This means that British businesses must consider their US connections, including the presence of employees holding US citizenship or green cards, before undertaking Iran-related activity.
British businesses may still be subject to US secondary india uk trade set to double by 2015 projections relating to individuals or entities remaining on the Special Designated Nations SDN list. The sanctions remaining in force also prevent Iran-related transactions from passing through the US financial system.
The global number of cars on the road and kilometers flown in planes will nearly double byaccording to a report released on Monday by research house Bernstein. Cars are projected to reach the two billion mark bywhile air travel kilometers are set to hit 20 trillion in the same period. Bernstein said it expects most of this transport growth to happen in emerging markets like China and India, as global populations are set to rise by another two billion over the next 25 years to 9.
Growing GDP in those regions will increase demand for items once seen as luxuries, including automobiles and flights. The fastest growth india uk trade set to double by 2015 projections be in air travel, according to the report, which is particularly sensitive to per capita GDP growth. As Business Insider previously reportedthis will support increased use of oil in emerging markets over the next two decades, countering the drop in demand from developed economies.
While this growth looks large, the report notes that demand india uk trade set to double by 2015 projections the US and Europe will fall as both regions reached peak oil over ten years ago in This article is published in collaboration with Business Insider.
The views expressed in this article are those of the author alone and not the World Economic Forum. We are using cookies to give you the best experience on our site. By continuing to use our site, you are agreeing to our use of cookies. Global Agenda Future of Economic Progress Supply Chain and Transport The number of cars worldwide is set to double by This research looks at the development growth of transport, including automotive and aviation. India is now the world's fifth biggest defence spender Briony Harris 04 May More on the agenda.
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The prediction is based on a 3. The world needs to prepare for a doubling of passengers in the next 20 years. The biggest driver of demand will be the Asia-Pacific region. The region will be the source of more than half the new passengers over the next two decades. We now anticipate this will occur aroundthrough a combination of slightly faster Chinese growth and slightly reduced growth in the US.
The UK will fall to fifth place, surpassed by India inand Indonesia in Thailand and Turkey will enter the top ten largest markets, while France and Italy will fall in the rankings to 11th and 12th respectively. A number of risks to the forecast have been identified. Maximizing the potential benefits of aviation growth will depend on current levels of trade liberalization and visa facilitation being maintained.
If trade protectionism and travel restrictions are put in place, the benefits of air connectivity will decline as growth could slow to 2. Conversely, if moves towards liberalization increase, annual growth could be more than two percentage points faster, leading to a tripling in passengers over the india uk trade set to double by 2015 projections 20 years.
Planning for growth will require partnerships to be strengthened between the aviation industry, communities and governments to expand and modernize infrastructure. Runways, terminals, and ground access to airports will come under increasing strain.
Innovative solutions to these challenges, as well as to the baggage and security processes, cargo handling, and other activities, will also be needed.
And air traffic management needs urgent reform to cut delays, costs and india uk trade set to double by 2015 projections. The solution does not lie in more complex processes or building bigger and bigger airports but in harnessing the power of new technology to move activity off-airport, streamline processes and improve efficiency.
Through partnerships within the industry and beyond, we are confident that sustainable solutions for continued growth can be found," said de Juniac. The aviation industry has adopted a robust strategy to reduce its environmental impacts, particularly its carbon emissions. Our tough targets to achieve carbon-neutral growth from and to cut our CO2 emissions to half levels by are backed by a comprehensive strategy. Our immediate aims are to work with governments to increase the production of sustainable aviation fuels, and to deliver air traffic management efficiencies, which promise significant emissions savings.
Fast-growing markets The five fastest-growing markets in terms of annual additional passengers in compared to will be. Many of the fastest-growing markets are achieving a compound growth rate of more than 7.
Most of these markets are in India uk trade set to double by 2015 projections, including: C orporate Commu nications Tel: Our mission is to represent, lead and serve the airline industry.