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Nazrin Abdul

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As Azerbaijan accelerates efforts to diversify its economy beyond oil and gas, the government is placing increasing emphasis on developing non-oil sectors such as agriculture, manufacturing, and green energy. This strategic pivot - outlined in the country’s “Azerbaijan 2030: National Priorities for Socio-Economic Development” - seeks to create a more resilient, inclusive, and innovation-driven economy. In this context, President Ilham Aliyev’s visit on June 23 to key regions including Yevlakh and Goranboy stands as a clear demonstration of the state’s commitment to balanced regional development, technological modernization, and private sector empowerment.

The President’s tour featured the inauguration of several high-impact projects: a pilot agricultural park, a digital energy control center, an industrial manufacturing plant, and a modernized substation with an integrated training center. These initiatives are not isolated investments; rather, they represent a coherent model of transformation - one where rural development, infrastructure modernization, and industrial productivity converge to support Azerbaijan’s long-term diversification goals.

Each project is aligned with broader national strategies aimed at boosting non-oil exports, attracting private investment, and reducing regional disparities. More importantly, they highlight the growing role of technology, innovation, and human capital in shaping Azerbaijan’s next phase of economic development.

President Aliyev’s first stop was the inauguration of the Yevlakh pilot agricultural park, a project that marks a significant step in Azerbaijan's move toward agro-industrial clustering. Covering more than 2,800 hectares, the park integrates advanced smart farming technologies, such as climate sensors, automated irrigation, and soil moisture monitors, with traditional agricultural practices.

The park’s model - incorporating 36 resident business entities, state-backed infrastructure, and concessional loans - serves not just as a production hub, but also as a platform to uplift small and medium-sized farms into export-oriented supply chains. The integration of a smart management system signals a leap toward data-driven agriculture, potentially reducing input waste and maximizing yield efficiency.

From an economic development perspective, this park reflects Azerbaijan’s strategy to raise rural employment, boost agri-exports, and replace imports with competitive local production. Expected private investment totaling ₼100 million and job creation for over 1,500 people indicate tangible socioeconomic dividends.

Energy infrastructure: Smart grids and digital resilience

The opening of the Central Aran Regional SCADA Control Center in Yevlakh and the upgraded 110/35/10 kV Yevlakh Junction Substation represent a major upgrade in the country’s power grid management and distribution capabilities.

The SCADA Control Center, powered by real-time data systems and smart integration, connects key substations across the region, allowing centralized control over energy distribution to agricultural, industrial, and public service facilities. This reflects a pivot toward smart grid infrastructure, necessary for managing growing energy demand, green energy integration, and grid resilience.

The rebuilt Yevlakh substation, now equipped with digital switching systems and a cybersecure control center, highlights Azerbaijan’s commitment to energy security and operational efficiency. The associated Regional Training and Laboratory Center also signals long-term vision by prioritizing the training of skilled personnel in energy management, reflecting an understanding that human capital development is critical for sustaining technical progress.

This dual investment in hardware and human infrastructure is a strong indicator that Azerbaijan views energy modernization not just as an operational necessity but as a strategic economic enabler.

President Aliyev’s visit to the “Konstralab Industries” CJSC construction materials plant in Goranboy points to the government’s broader agenda of encouraging value-added manufacturing and reducing import dependency.

Producing gypsum-based products, the plant targets both domestic demand and regional export markets, utilizing local gypsum stone and aiming to expand into metal profile manufacturing in the next phase. With an annual capacity of 10 million square meters of plasterboard and 150,000 tons of dry mixes, and supported by state-provided concessional loans and customs benefits, this project exemplifies Azerbaijan’s efforts to attract private-sector investment through an enabling industrial policy.

By backing projects with local raw materials, modern technology, and state-supported financing, the government is crafting a blueprint for regional industrialization, with clear downstream benefits in employment, infrastructure, and economic diversification.

President Aliyev’s regional tour is far more than a ceremonial series of ribbon-cuttings. It represents a synchronized development model - where agricultural modernization, energy infrastructure, and industrial growth operate in concert to elevate regional economies and reduce reliance on the oil sector.

The geographic focus on Central Aran - a historically underdeveloped region - signals a policy shift toward balanced territorial development, aiming to reverse urban migration trends, improve rural incomes, and expand the national economic base.

At the policy level, these initiatives reflect Azerbaijan’s commitment to the “Azerbaijan 2030” socio-economic development strategy, which prioritizes innovation, sustainability, and private sector growth.

President Ilham Aliyev’s June 23 tour is a strategic showcase of Azerbaijan’s economic modernization agenda in action. With a focus on technological adoption, sustainable agriculture, smart energy management, and industrial competitiveness, the projects inaugurated are not only regionally significant but nationally symbolic.

They collectively represent a maturing economic vision: one that places productivity, resilience, and regional inclusion at the center of the country’s development narrative.