Good morning, ladies and gentlemen of the press.

We, the Foreign Minister of Iran and the Secretary of Foreign Affairs of the Philippines, led our respective delegations for today’s expanded bilateral meeting that covered a wide range of issues, focusing on measures to further enhance our economic, political and cultural cooperation.  Our bilateral relations have grown from strength to strength since its establishment over 25 years ago.

RP- Iran bilateral economic relations are being promoted through various projects in the areas of agriculture, energy and petrochemicals, transport and information technology.   With a population of 66.62 million and growing at a rate of 1.2%, Iran is a potential market for Philippine IT electronics products and other consumer goods. Iran would not only be a source of oil for the Philippines but could be a key destination of its export products and a transshipment point for its exports to countries in Central Asia.

Iran provides a potential market for Philippine export products like fresh fruits, marine products, chemicals (i.e. petrochemical, dyeing, tanning and coloring materials), processed fruits such as dried, glazed and crystallized fruits, jams, jellies, marmalades and preserved fruits, nuts and coconut products.  On the other hand, petroleum and other chemical products continue to be the main exports of Iran to the Philippines.  The Philippines is also a potential market for Iranian agricultural and irrigation equipment, generic medicines and pharmaceutical equipment.

We stressed the need to further strengthen these economic ties and increase the export and import of our products.  For this reason, we have agreed to accelerate the implementation of the following Memoranda of Understanding:

                1. MOU between Iran Petrochemical Commercial Company (IPCC) and the Philippine National Oil (PNOC) concerning Cooperation in their Petrochemical Industries;
                2. MOU between PNOC and the National Iranian Oil Company (NIOC) concerning Cooperation in Oil and Petroleum;
                3. Agreement on the Establishment of a Joint Business Council between the Philippines and Iran;
                4. Protocol on the Amendment of the Reciprocal Promotion and Protection of Investments between Iran and the Philippines; and
                5. MOU on Cooperation in the Field of Agricultural Science and Technology and the Promotion of Agricultural Trade.
 

We also considered measures to expedite the finalization of the documents for the following proposed agreements:

                1. Mutual protection of investments,
                2. Philippines and Iran Airline Agreement;
                3. Avoidance of Double Taxation; and
                4. Custom Cooperation.

We discussed the geopolitical situation in the Middle East and the measures in the regional and international spheres to establish lasting peace and address the social and economic challenges facing the peoples in the region.  We renewed our pledge to assist in the efforts of the sovereign government of Iraq to rebuild the damaged infrastructures and return peace in the country.

We stressed the need to strengthen the nuclear non-proliferation regime as well as the inalienable right of NPT Member States including the Islamic Republic of Iran to the peaceful use of nuclear technology.

Iran will continue to work closely with the Philippines in support of their bid for observer status in the OIC.

We discussed the ongoing implementation of the peace processes in Southern Philippines and Dr. Kharrazi underlined the support of Iran for full implementation of the 1996 GRP-MNLF Agreement as the way forward towards reconciliation and peace in Mindanao.  We noted the importance of establishing a permanent and lasting peace in Southern Philippines as the foundation for investment, development assistance and the creation of economic opportunities for every citizen in that part of the country.

Dr. Kharrazi expressed Iran’s appreciation for the Philippines’ support for Iran’s full membership in the Asian Development Bank, and in the World Trade Organization (WTO).

Finally, our discussions explored ways to further develop cultural cooperation.  Specifically, we expressed the desire to renew cultural cooperation through the exchange of information of each other’s culture and arts, and exchange of artists for participation in festivals, celebrations, and major cultural events in our countries.

Based on the Cultural Agreement signed between the two countries in 1995, we agreed to finalize the document on the Scientific and Cultural and Educational Exchange Programme for the years 2005 to 2007.  This would specify milestones to be achieved by both countries within the next two years.

We noted the successful holding of the RP-Iran Bilateral Conference on “Dialogue Among Civilizations” hosted by the Philippines, which resulted in the adoption of the “Makati Declaration”. Pursuant to this declaration, both countries will hold seminar-workshops to promote this principle. Inspired by this endeavor, the Philippines organized the Conference-Workshop on the Role of Muslim Women in Peace-Building and Development on 28 - 30 July 2004 in Marawi City.  The conference sought to encourage and empower Muslim women in nation building and actively contribute to the attainment of peace and development in Mindanao.

We also considered opportunities for the exchange of technical expertise especially in the fields of information technology, petroleum and chemical processing and manufacturing of generic medicines and pharmaceutical equipment and agricultural machineries.

We appreciated the importance of tourism in further expanding our relations.  We discussed measures by which tourist travel between our countries could increase, such as the holding of dialogues and seminars like the “Dialogue Among Civilizations.”

Finally, the Philippine Government expressed readiness to host the 4th Joint Commission Meeting (JCM) in Trade and Economic Relations in December 2004.

Dr. Kharrazi invited Secretary Romulo to visit Teheran, and also conveyed through the Secretary, the invitation of H.E. Mohammad Khatami, President of the Islamic Republic of Iran, for H.E. President Gloria Macapagal-Arroyo to visit Teheran.  Secretary Romulo accepted the kind invitation and expressed hope that President Arroyo would make the official visit to the Islamic Republic of Iran in due time.

We both agreed that such high level visits further strengthen our bilateral relations.

Our talks this morning were held in a very frank and cordial atmosphere that reflects the warm and mutually beneficial relations of the Philippines and the Islamic Republic of Iran. Dr. Kharrazi thanked the Philippine delegation for the Filipino hospitality extended to him and his delegation and looks forward to reciprocating such warm hospitality when Secretary Romulo visits Iran.

Thank you.