‘Peace is not only a moral imperative, it is an economic necessity’

Trade should not be sacrificed on the altar of political fear, a representative of the Indo-Iranian Chamber of Commerce and Industry said here on Monday.

Syed Hakim Raza, president of the Indo-Iranian Chamber of Commerce and Industry, called for moderation, dialogue and a return to diplomacy. “Peace is not just a moral imperative, it is also an economic necessity. Let reconstruction, cooperation and shared prosperity determine the way forward.” Hindu.

“India and Iran are ancient civilizations with complementary economies and a pragmatic history of interaction,” Mr. Raza said. “We extend our deepest condolences to those who lost loved ones or livelihoods in this conflict and reiterate our determination to restore business confidence on both sides,” he said.

close to 9 million

According to Mr. Raza, the human and economic consequences of the conflict were staggering. More than 8 to 9 million Indians live in the Gulf Cooperation Council countries; in addition there are large Indian communities in Iran, Iraq, Türkiye and Azerbaijan.

“Disruptions in airspace, shipping lanes and employment markets directly impact millions of Indian families who depend on remittances,” he observed.

Reconstruction needs alone in post-conflict Iran could generate tens or even hundreds of billions of dollars of economic activity over time. If even 5 per cent to 10 per cent of this economic opportunity involved India’s participation in infrastructure, pharmaceuticals, agriculture, energy and engineering services, it would represent a transformative boost for Indian industry and employment, he said.

binary trading

For decades, India-Iran trade/friendship and cultural exchange was both strategic and mutually beneficial. Bilateral trade once reached around $17-18 billion annually, largely supported by Iran’s crude oil exports to India at favorable and discounted pricing structures. In return, India exported significant amounts of basmati rice, tea, medicines, machinery and engineering goods to Iran.

“However, sanctions and increasing geopolitical conflicts have reduced trade to around $2-3 billion in recent years, representing a sharp contraction of almost 80-85%. The economic cost of political conflict was therefore already enormous even before the current crisis,” he lamented.

The assassination of Ayatollah Ali Khamenei, the Supreme Leader of the Islamic Republic of Iran, signals a dangerous and destabilizing period for the region and the global economy, Mr. Raza said, adding that such an action crosses an important geopolitical red line and risks pushing West Asia into long-term instability.

“The consequences for India, a country deeply connected to the region through energy security, trade and a large diaspora, are immediate and profound,” he warned.