South-South cooperation: Win-Win Situation
In a few days, Venezuelan President Hugo Chavez will be the third foreign visitor to Iran after the elections. His visit could be a sign of solidarity between the two countries. Iranian Diplomacy has discussed the significance of his visit with Ahmad Sobhani, Latin American affairs analyst:
Chavez will visit Iran in a few days. What are his goals?
Chavez’s visit to Iran is a part of his regional tour which also includes Syria and Russia. The Venezuelan president intends to expand his country’s economic and political ties with Iran after Ahmadinejad’s new cabinet has been formed. Besides political negotiations, Iran’s economic projects in Venezuela which are perfect examples of South-South cooperation and a win-win situation will be discussed and probably new projects will be planned.
Of the successful projects was the construction of ten thousand housing units carried out by Iranian private sector. Financial issues have been settled out in due time and private companies are satisfied with cooperation with the government. The Venezuelans are also pleased with the result when they compare it with projects carried out by other countries. They will probably call the Iranian private corporations for further cooperation.
Economically speaking, is it cost-effective for Iran to run projects in country so distant?
Exporting technical services to other countries has always been one of Iran’s priorities. The destination is not as important. Iran will be present in any market ready to use its services. The Venezuelan side welcomes further cooperation aware of the reasonable cost and quality of Iran’s services. If we have chances of carrying out projects like the construction of housing units in Venezuela we would definitely welcome that.
It seems that Iran-Venezuela relations are based on the political relations of the two countries and their shared interests. Nevertheless, some analysts believe that Venezuela is not totally in line with Iran, apparent in a case such as refusing to hand airplanes to Iran due to international sanctions. What is your opinion?
News over our relations with Latin American countries is truly defective, at times entirely untrue. The story you said is one example. Venezuela has no airplanes to sell to Iran. They do not manufacture airplanes. Venezuelan airlines are entirely in the hands of the private sector. The only issue related to Iran-Venezuela relations in this field is the airline which was supposed to carry out flights between Tehran and Caracas by Iranian pilots. But there have never been talks about Venezuela selling airplanes to Iran.
However, talking of lack of full cooperation between Iran and Venezuela or other Latin American countries is totally unfair. Venezuela showed its political accordance with Iran when it broke the consensus in IAEA Board of Governors. The significance of this move becomes clear if we know that even our neighbors did not vote in favor of us and they witnessed serious political challenges in their countries, some governments even facing the threat of fall. Venezuela was the only who country stood beside Iran and Hezbollah and cut its relations with Israel during the 33-day war of Lebanon or the 22-day war of Gaza.
How could likely improving relations between Latin American countries and the United States affect Iran’s relations with these countries?
Iran has established embassies in some of these countries and enjoys relations with almost all Latin American countries, some of which favor warm relations with the United States too. However, a significant number are in the progressive camp. Our relations with Latin American countries are based on non-interference and mutual respect. Meanwhile, we think that governments come and go but it is the nations which we should bond with.
United States’ oil purchase from Venezuela does not necessarily mean that these two countries have close ties. Venezuela’s heavy oil is a favorite option for U.S. oil refineries. Both parties benefit the economic ties
Iran has also had economic exchanges with the United States when the sanctions were less strict. We would continue our economic relations even if the sanctions become tougher since we believe that such embargos are unfair. Anyway, close relations between Latin American countries and the United States are not exactly the correct picture.
Could Venezuela reach out for Iran if refined oil sanctions were imposed?
There are no obstacles against Venezuela selling oil to Iran and it can definitely aid Iran, though the Iranian oil ministry has prepared for likely sanction.