Iran wants to increase trade turnover with Armenia to $1 billion annually, Tehran's ambassador to Yerevan Abbas Badakhshan Zohouri has told ISNA News Agency (via Pars Today).

"Although Armenia is a country bordering East Azerbaijan, we have not been able to exceed half a billion dollars in our trade with this country, so we must make efforts to increase this volume to $1 billion," Zohouri was quoted as saying.

The envoy said Armenia serves as a bridge between Iran and the Eurasian Economic Union and the European Union.

"Given that Armenia has preferential customs duties with EU countries, we can use that potential to export our goods, and steps should be taken by the [Iranian] provinces bordering Armenia to improve that," he said.

"Many of Armenia's neighboring provinces have excellent climate conditions, so we can use the new agricultural technologies acquired in Iran in this country."

Armenia and Iran are currently working on the the expansion of the gas for electricity swap deal between the two countries. The two sides have repeatedly stressed the importance of boosting cooperation in the trade and economic sphere, which would enable the sides to increase turnover to $1 billion.