Mahan Air (W5, Tehran Mehrabad) will, next month, open talks with authorities in Australia over the proposed launch of flights the Iranian Ambassador to Australia, Abdolhossein Vahaji, has announced.

A statement issued by the Iranian Embassy in Canberra said the talks would occur in the wake of a recently concluded bilateral air services agreement. Canberra is expected to ratify the agreement at the end of this month thus paving the way for Mahan Air's talks, Vahaji said.

While exact details on the rights contained in the BASA are scant, Vahaji said it allows for direct flights between Sydney Kingsford Smith, Brisbane International, Melbourne Airport, and Perth International and the Iranian cities of Tehran, Mashad, Shiraz and Esfahan Shahid Beheshti International.

With the signing of the Joint Comprehensive Plan of Action (JCPOA) agreement between Iran and the five permanent members of the UN Security Council and Germany in January last year, Australia has wasted no time in reestablishing economic ties with Iran.

Aside from the reopening of the Austrade office in Tehran in September last year, Australian Trade Minister Steven Ciobo also concluded a Memorandum of Understanding (MOU) with Iran on trade and investment, thus opening the doors for Australian businesses looking for new opportunities.