South Korean companies are briskly moving to tap into Iran's fast-growing shipping industry, regarding the Iranian boom as a breakthrough to their prolonged business slump amid the global economic slowdown.
According to IRNA, the head of South Korea Maritime Institute Sang Gui Kim voiced his country's readiness for investment in Iran's ports and shipping industry.
Sang Gui Kim told reporters on the sidelines of Iran-South Korea Economic Conference in Isfahan.
Sang Gui Kim said that Iran boasts of high capabilities in the oil and gas sectors
and South Korea can cooperate with Iran on building ships, maintenance and repair of naval fleet and preparing ports for operation.
He announced that South Korean cabinet members will visit Tehran in the coming months.
South Korea and Iran signed a maritime pact covering shipping and fisheries that would give Korean companies greater access to markets in the oil-rich country
, Yonhap reported.
The signed understanding would allow ships from both the countries to pass more easily through each others’ territorial waters and would help them get equal support in case of emergencies.
The Korean Register of Shipping — a nonprofit ship classification society — and the organization’s Iranian counterpart also agreed to put in place a joint venture to encourage engineering projects, according to Yonhap.
The joint venture will also make it more convenient for South Korean firms to tap the Iranian market further.
Recently, South Korean shipbuilder
SPP Shipbuilding, which is about to be sold to SM Group, has been discussing orders for 50,000 dwt MR tankers for the Islamic Republic of Iran Shipping Lines (IRISL).