Iran is planning to expand its shipping routes to West and Southwest Africa to strengthen trade relations and improve logistical connections with the
Iran is planning to expand its shipping routes to West and Southwest Africa to strengthen trade relations and improve logistical connections with the continent. Currently, Iranian shipping lines operate primarily in East and North Africa, with vessels frequently docking in Tanzania, Kenya, and Libya on a monthly or bimonthly basis, depending on cargo demand and logistical conditions.
The African Affairs Task Force, chaired by Iran’s first vice president, has approved a framework to facilitate this expansion, which includes modernizing Iran’s shipping fleet to handle increased trade volumes.
Barter agreements
Trade between Iran and African nations is largely conducted through barter agreements that go beyond basic goods exchange and involve sophisticated financial and banking mechanisms. Iran’s key import priorities from Africa include minerals, agricultural products, diamonds, and gold, while its main exports to Africa consist of petrochemical products, industrial equipment, and machinery. Bitumen and urea currently rank among Iran’s top exports to African markets. However, many African nations prefer local production of industrial equipment and machinery instead of direct imports, which has prompted Iran to explore opportunities for establishing production facilities in Africa.
Iran is also working on a comprehensive plan to increase its petrochemical exports to Africa, with specific strategies expected to be revealed at the Iran-Africa Summit in 2025. In addition, Iran has launched an offshore farming program in Africa to secure agricultural inputs and reduce reliance on imports. Private Iranian firms that invest in offshore farming through barter mechanisms will be eligible for incentives, with negotiations ongoing to establish clear guidelines for import permits and quotas.
In the mining sector, Iran has identified key mineral extraction opportunities across Africa and plans to transfer technology and mining equipment to support operations. While Iran has so far preferred to purchase minerals rather than directly investing in mines, there is a growing interest in expanding mining operations. The ability to resolve capital outflow challenges could make mining a top investment priority for Iran in Africa, further solidifying its position in the continent’s resource and industrial sectors.