Bahrain''s chamber of commerce called on Gulf Arab nationals to boycott Iranian goods and halt financial transactions with Tehran, accusing it of interfering in the country''s affairs, state media said. Bahrain has blamed Iran for stoking Shia-led protests calling for democratic reforms and an end to sectarian discrimination in the Sunni-led island kingdom.
"A call has gone out today to boycott Iranian goods, in retaliation to Tehran''s flagrant interference in Bahrain''s internal affairs and non-respect of its independence and sovereignty," Bahrain''s state news agency reported.
"Bahrain Chamber of Commerce and Industry has also urged all Gulf Co-operation Council nationals to follow suit and boycott Iranian merchants," it added.
Bahrain mainly imports food, including dry fruits, from Iran.
The Chamber of Commerce could not be reached for comment on Sunday, a public holiday.
Relations between Iran and Gulf Arab states have nose-dived since Saudi Arabia and the United Arab Emirates sent troops into Bahrain, where a Sunni-led monarchy rules over a Shia majority, to quash the demonstrations.
The chamber called on all Bahraini traders, businessmen and companies to boycott Iranian goods and stop import-export dealings with Iranian counterparts, said the news agency.
It called for an end to transactions with Iranian banks and financial institutions and said Gulf and Arab chambers and trade unions should issue similar calls, the agency added.
Bahrain, a US ally that hosts Washington''s Fifth Fleet, last month ordered the expulsion of an Iranian diplomat for alleged links to a spy ring in fellow Gulf Arab state Kuwait.
Iran''s Foreign Ministry spokesman said in the past Iran may take "retaliatory measures". Demonstrators in Bahrain have denied any link with Iran.