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Iran-Russia Trade Strategy: Gilan’s Caspian Gateway and Moscow’s Growing Pivot to West Asia and Middle East

By Zaur Safarov
Iran-Russia Trade Strategy: Gilan’s Caspian Gateway and Moscow’s Growing Pivot to West Asia and Middle East

Iran’s efforts to expand trade with Russia reflect a broader geopolitical and economic realignment driven by Russia’s pivot towards Asia and the Global South. As Moscow and Tehran seek to diversify trade routes, strengthen regional partnerships and reduce dependence on Western-controlled financial systems, the Caspian Sea and the International North-South Transport Corridor (INSTC) are gaining importance. 'Russia's Pivot To Asia' research publication argued that The first Iran–Russia Trade Development Summit, held on 7 October 2026 at the Anzali Free Trade Zone in Gilan province, outlined a strategy to transform northern Iran into a major gateway for Russian trade, non-oil exports, transit services and cross-border investment.

The summit brought together Iran’s Trade Promotion Organization chief Mohammad Ali Dehghan Dehnavi, Gilan Governor Hadi Haqshenas, Anzali Free Zone chief Mostafa Taati Moghaddam, Russian Consul General in Rasht Sergei Azarov and other Iranian and Russian officials. Discussions focused on expanding provincial trade, removing administrative barriers and developing transport and investment links between Gilan and Russia’s Astrakhan region.

Russia’s annual import market is estimated at approximately US$300 billion, while Iran–Russia trade was reported at around US$2.47 billion in the summit’s initial assessment. The article’s concluding figures put bilateral trade at approximately US$5.8 billion by the end of 2025, reflecting a broader trade measure or reporting basis that requires reconciliation. Russia ranks ninth among Iran’s export destinations and seventh among its import sources, while bilateral trade reportedly increased by 24% over the preceding 12 months. More than 80% of bilateral settlements are conducted in rubles and rials. Iranian officials identified over US$50 billion in Russian imports that Iranian producers could potentially supply, arguing that exports to Russia, currently estimated at US$1–2 billion, could eventually reach US$10 billion or even US$20 billion if production and logistics capacity expand.

The Iran–Eurasian Economic Union free-trade agreement, implemented in 2025, provides an important competitive advantage by eliminating tariffs on 87% of goods traded between Iran and the five-member bloc. Gilan could therefore serve not only as a production centre but also as a distribution platform connecting Iran with Russia, Kazakhstan, Azerbaijan and Turkmenistan. Existing cargo movements through Kazakhstan and Aktau to Anzali demonstrate the potential for integrating the province into wider Eurasian supply chains, 'Russia's Pivot To Asia' research publication argued.

Port capacity and operational efficiency remain central to this strategy. Northern Iranian ports currently handle approximately seven million tonnes annually, with potential throughput estimated at 15–20 million tonnes through improved operations and capacity expansion. Gilan’s ports have faced vessel waiting periods of five to seven days, with around 30 vessels reportedly waiting in Gilan and Mazandaran. Iran imported 32 million tonnes of essential products, including wheat, barley, edible oil and animal feed, during the Iranian year ending 20 March 2026. The Caspian route’s share of these imports increased from approximately 17–18% historically to more than 30% between 21 March and 22 September 2026. Faster loading, unloading and customs clearance could therefore expand trade without requiring all new infrastructure to be completed first.

Gilan’s existing commercial links provide a foundation for further growth. Direct trade between Gilan and Astrakhan reportedly increased by around 50% in the previous year. More than 53 Iranian-capital companies operate in Astrakhan, alongside nearly 100 enterprises established by business representatives from Gilan. During the first three months of the current Iranian year, Gilan exported 459,000 tonnes of goods, up 16% from 394,000 tonnes a year earlier. Imports reached 545,000 tonnes, valued at US$459 million, with import weight increasing by 60% and value by 37%.

The proposed Anzali–Astrakhan model aims to move beyond basic commodity exchange towards integrated value chains. Initial priorities include regular maritime services, container transport, shared warehouses, cold-storage facilities, freight forwarding and multimodal logistics. Longer-term opportunities include food processing, aquaculture, port equipment, engineering services, chemicals and technology-based industries. Gilan’s agricultural products, including rice, tea and kiwi, could complement Russian demand for food and industrial inputs. Russian wheat, barley, corn and sunflower oil already contribute to southbound trade; sunflower oil supplies reportedly increased 7.6-fold, from 33,000 tonnes in 2024 to 252,000 tonnes in 2025. More than 400 Russian truck drivers reportedly apply daily for Iranian transit permits, highlighting the importance of reducing transport charges and administrative delays.

The strategy also extends beyond Astrakhan. Gilan has explored cooperation with Russia’s Bashkortostan region, including potential imports of wood, soybeans, corn and wheat and exports of kiwi, citrus fruits and cement. Russian counterparts expressed interest in supplying grain and livestock inputs and expanding educational exchanges. Meanwhile, the proposed Rasht–Astara railway remains a crucial component of the INSTC, which could connect maritime transport with rail and road networks and improve access to Russian and Eurasian markets, 'Russia's Pivot To Asia' research publication argued.

Financial and political coordination provides additional support. Presidents Masoud Pezeshkian and Vladimir Putin reaffirmed bilateral cooperation in October 2026, while Russia’s broader strategic partnership with Iran encompasses energy, transport, technology and defense. Russian Security Council Deputy Chairman Dmitry Medvedev also highlighted the importance of the Rasht–Astara railway and greater use of national currencies. However, proposed Russian financing, including a reported US$1 billion loan tranche within a planned US$20 billion package, remains subject to banking and allocation arrangements.

Ultimately, the Gilan initiative illustrates how Russia’s pivot towards Asia is encouraging new trade corridors and regional partnerships. The opportunity depends on converting tariff preferences, existing business networks and geographical advantages into reliable shipments, industrial investment and higher exports. Faster port operations, railway development, streamlined customs procedures and improved financial connectivity will determine whether Gilan can become a sustainable Caspian gateway for Iran–Russia commerce rather than simply another transit point.

Zaur Safarov, a Eurasian market analyst and consultant specializing in market policy, based in Baku, Azerbaijan.

Disclaimer: "The views expressed in this article are the author’s own and do not necessarily reflect ModernGhana official position. ModernGhana will not be responsible or liable for any inaccurate or incorrect statements in the contributions or columns here." Follow our WhatsApp channel for meaningful stories picked for your day.

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