Iran’s bid to bolster ties with EU pays off

Date: 04/02/1999

By Simon Taylor

AS THE 20th anniversary of Iran's Islamic revolution approaches next week, the country's relations with the European Union have entered one of the most positive phases in a long time.

Most of the credit for the thaw can be attributed to reformist President Mohammed Khatami, who took office in 1997 and immediately began work on improving relations with the EU, after a series of crises which had heightened tensions between the two.

Early last year, the Union decided to revive formal relations with Tehran in recognition of Khatami's initiative, reversing the decision to suspend the 'critical dialogue' with Iran in April 1997 after a Berlin court ruled that its government had actively supported the murders of anti-regime dissidents in Germany.

One of the most high-profile achievements of the détente came last September when the Iranian government publicly withdrew its support for the death sentence on Anglo-Indian author Salman Rushdie, pronounced by Iran's revolutionary leader Ayatollah Khomeini ten years ago.

The decision was welcomed by UK Foreign Minister Robin Cook, who negotiated the deal with his Iranian counterpart. But critics questioned whether Rushdie was truly safe, pointing out that under Iranian law only the person who issued the edict or fatwa could withdraw it and Khomeini had since died. A private foundation also increased the bounty on the author's head to €2.14 million two years ago, in a move described by some commentators as a "privatisation" of the death sentence on the author.

Khatami, who is regarded as a moderate holding back the forces of hardline anti-western sentiment in Iran, appears to have weathered the latest storm over the treatment of opponents of Tehran's clerical regime.

In January, the European Parliament called for a team of international envoys to be sent to the country to investigate the murders of the leader of the opposition Iran Nation Party, his wife and three other dissident writers. Tehran angrily dismissed the Parliament's call, accusing MEPs of "blatant interference in Iran's internal affairs".

EU foreign ministers decided to encourage the modernisers and reformers in Tehran by emphasising the Iranian government's "continuing efforts to guarantee the freedom of speech in the Islamic Republic of Iran", while expressing concern about "recent signs of intimidation of writers and intellectuals in Iran".

The thaw in relations produced positive results at a series of ministerial meetings in Vienna last year, when foreign ministers from both sides discussed issues ranging from energy and the environment to drug trafficking and refugees. Talks also covered a number of agricultural issues, including the EU's recent ban on imports of Iranian pistachios and veterinary rules.

Observers say that Khatami's efforts to improve relations with the Union are motivated by his country's deteriorating economic situation. Iran, which relies on oil exports for 85% of its foreign currency earnings, is being hit hard by the world-wide slump in oil prices.

Iranian overtures have been successful in strengthening economic ties with Europe, with Italian companies leading the rush to do business with Tehran.

Western oil companies have long eyed Iran's lucrative fossil fuel supplies, which make up 10% of the world's oil deposits and 15% of global gas reserves. French oil giant Total has major investments in Iran, while Anglo-Dutch firm Royal Dutch/Shell and UK company Lasmo recently announced significant cooperation plans with Iran's national oil company.