African Journal of Business Management Vol.3 (10), pp. 591-600, October, 2009
Available online at http://www.academicjournals.org/Ajbm
ISSN 1993-8233 © 2009 Academic Journals
Full Length Research Paper
Trade development trend between Islamic republic of
Iran and Azerbaijan republic
H. Alipour
1
*, A. Norieva
2
and Moosa Rezvani
3
1
Ph.D, Department of Management, Islamic Azad University Rasht Branch, Iran,
2
Professor in Economy, AZ, MEA,
3
Islamic Azad University Astara Branch, Iran
Accepted 16 July, 2009
International trade theory had been evolved by Ricardo and Hecksher, Ohlin and Sam Delson, gradually
and regularly. According to relative superiority Act, trade between two countries can suitable mutually
and this state is even true when one of these two countries is less efficiency in total productions of
goods and services. According to this theory, country which has less efficiency must specialize in
exporting and production of goods and services which its lack of relative excellence about them is less
and instead it must import the other goods and services. In fact, one country frequently exports
products and services which its production largely depends to relatively abundant and less expensive
product factors (labor, capital, technology skill) available in that country. This theory also state that as
proving to be true entirely suppositions, International trade causes to desirable and optimize
distribution of income and labor price and capital among countries will tend to equality.
Key words: Azerbaijan, exports, imports, international trade, Iran, non-oil goods.
INTRODUCTION
Today, there is no country in the world which its people
live in closed economical system and its economy may
not move or less relate to the economy of the other coun-
tries. Industry, trade, technology and level of income,
standard of living and the other economical affairs of a
nation are related to the other national economy through
complex substations of products and services exchange
and financial and monetary relations. Awareness of
people about this connection in adopting a commercial
and economical rational policy by that country policy –
makers is Dery effective. While international trade of
goods and services based on method are logical and
correct, each country participated in mentioned trade
using division of work and international specialization can
create suitable environment and condition for progress of
national economy and in turn in level of income and
public welfare.
Deliverance of monoculture economy and acquisition of
it is required to exchange income funding and this
exchange income will make unavoidable the development
*Corresponding author. E-mail: alipour@iaurasht.ac.ir.
and expansion of non- petroleum goods expert.
Increasing non-petroleum exports are required to funding
the contioentions and provisions provide the required
background for exports and long term exported
schedules are managed to influence and continues
present in international markets.
Sovereignty of common wealth unions including
Azerbaijan is viewed as one of the major consequences
of the soviet union collapse and have been created major
transformations in economical – political and trade geo-
graphy of the region and therefore it have been provide
some suitable opportunities for widespread cooperation
of developed and developing countries including Islamic
Republic of Iran with mentioned countries. Therefore after
the soviet union collapse and acquired the independence
of Azerbaijan Republic oil had been considered as the
most important and determinant development after and
economical fixing of this country and practically, oil issue
become as a pivot connection of this republic with
abroad. Islamic republic of Iran, due to strategic situation
and cultural commons, religions and historical situation
with this country, had been making many of economical
and commercial cooperation unavoidable.
In recent year, despite of mutual visits and much intents