The resumption of trade ties with Iran appears closer following the signing of a new deal with the Iranian government.

The signing of a meat arrangement means sheep and beef exports to Iran can now resume. Steps are underway to develop Kiwifruit exports as well.

The Minister for Primary Industries, Nathan Guy, is calling the agreement, "a crucial step for New Zealand meat companies as they look to re-enter the Iranian market."

Trade had previously curtailed because of sanctions against Iran over its nuclear programme.