Russia says it has started a strategic “oil for goods” barter trade with Iran, stressing that the due proceedings are already “working well”.

Russia’s Deputy Foreign Minister Sergei Ryabkov said the country is currently providing a “considerable” volume of goods to Iran in exchange for the Iranian crude oil without providing any specific figures.

Ryabkov said the goods comprise grains, particular types of equipment, and building materials.

He further emphasized that the barter trade is not in violation of the sanctions regime against Iran.

“We deliver certain foodstuffs while not breaching the current sanction regime in any way, that's why we consider that this is a normal [method] and that is exactly how we are operating," Ryabkov has been quoted by Sputnik as telling journalists.

Under a deal that was first reported early in 2014, Moscow is to purchase up to 500,000 barrels of crude oil per day from Tehran in exchange for over 2 million tons of Russian goods a year.

The five-year oil-for-goods program which is believed to have been created to help the two countries reduce the effects of US-led sanctions on them is estimated to be worth nearly $20 billion.

The US and the European Union (EU) have imposed an array of embargoes on Russian individuals and businesses over the crisis in Ukraine. They accuse Moscow of supporting anti-Kiev protesters in eastern and southern Ukraine. Russia denies the allegation.

The US and its European allies have also imposed sanctions against Iran over Tehran’s civilian nuclear activities.

By Press TV