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Friday July 18 2025

SOCAR Carbamide plant fuels Azerbaijan’s resurgence as regional fertilizer power

18 July 2025 16:59 (UTC+04:00)
SOCAR Carbamide plant fuels Azerbaijan’s resurgence as regional fertilizer power
Qabil Ashirov
Qabil Ashirov
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Azerbaijan is steadily reclaiming its place as a regional powerhouse in fertiliser production. Long before the fall of the Soviet Union, the country was home to several large chemical and fertiliser plants producing ammonium nitrate, urea, and other key components that supported not only domestic agriculture but also fed the demands of a vast Eurasian supply chain.

The dissolution of the USSR dealt a heavy blow to this proud legacy. Like many industries across the former Soviet space, Azerbaijan’s fertiliser production facilities struggled to survive. Cut off from both the centralised distribution systems and major export markets, the industry gradually withered. Once self-sufficient, Azerbaijan became dependent on fertiliser imports, a significant shift for a country with deep roots in agricultural chemistry.

But Azerbaijan never accepted this decline as permanent. Starting in the 2010s, the country initiated bold steps to restore its industrial capabilities. Several companies were established to pave the way for a chemical renaissance. However, the true turning point came in January 2019 with the commissioning of the SOCAR Carbamide Plant in Sumgait.

This plant was not just a new industrial facility—it was a strategic statement. As one of the most advanced fertiliser production plants in the region, the Sumgait factory signalled a return to Azerbaijan’s role as a producer, rather than a passive consumer. The nation did not wait long to witness its fruits. In a short period, Azerbaijan not only became self-sufficient in nitrogen fertilisers but also emerged as a rising exporter in the global market.

By 2022, exports had skyrocketed from $10 million in 2019 to an impressive $200 million. This remarkable growth made nitrogen fertilisers one of the leading contributors to Azerbaijan’s non-oil exports. It proved that with the right vision, planning, and strategic investment, Azerbaijan could once again compete on the global stage—not just with oil and gas, but also with high-demand agricultural inputs.

Although the global fertiliser market faced turbulence due to supply chain disruptions, rising shipping costs, and logistical bottlenecks, Azerbaijan did not sit idly. Instead, the government and its strategic partners took decisive action. Through ASCO’s (Azerbaijan Caspian Shipping Company) acquisition of several handysize cargo vessels, the nation established more flexible and efficient routes between producers and global buyers.

This move was essential. While Asia remains a leading producer of nitrogen-based fertilisers, the main importers are located in the Americas. Azerbaijan’s geographical position and logistical expansion now allow it to play a critical role in bridging this gap. Soon, Azerbaijan's nitrogen fertiliser exports reclaimed in 2025. Thus, in the first 6 months, Azerbaijan exported nitrogen fertiliser amounting to $98 million. These handysize vessels not only carry Azerbaijani-made fertilisers to distant shores but also contribute to the regional logistics network by transporting third-country products.

Such rapid growth in exports, even amid global headwinds, highlights the strategic value of the fertiliser sector. It is not merely a matter of economics; it is about national sovereignty, food security, and technological resilience. Fertiliser is, in many ways, a strategic commodity. Agriculture around the world—and by extension, the entire food chain—depends on its availability.

Azerbaijan’s renewed investment in this sector demonstrates not only foresight but also a deep commitment to long-term stability and self-reliance. As global concerns over food insecurity continue to rise, countries that control key agricultural inputs will shape the geopolitical and economic conversations of the future.

The story of Azerbaijan’s fertiliser sector is one of revival, vision, and determination. From the ashes of a collapsed Soviet system, Azerbaijan has built a new foundation—one that combines historical expertise with modern technology. The SOCAR Carbamide Plant stands as a symbol of this transformation, proving that strategic planning and national pride can restore what was once lost.

Today, Azerbaijan is not merely producing for its own needs. It is exporting knowledge, stability, and opportunity to the world. With rising global demand for fertilisers, especially in regions where food production is vulnerable, Azerbaijan’s contributions carry immense weight.

More importantly, this journey illustrates a larger truth: that Azerbaijan is capable of taking its future into its own hands, investing in its strengths, and emerging as a reliable partner in an increasingly uncertain world. The fertiliser industry may seem silent, but its power is undeniable. And Azerbaijan is once again leading with confidence.

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