Work underway to create industrial park near Baku
By Nigar Orujova
The presidential decree on industrial parks has legally authorized the establishment of such facilities in Azerbaijan, Economic Development Minister Shahin Mustafayev said Monday.
Mustafayev was speaking at a meeting dedicated to the creation of the Sumgayit Chemical Industrial Park, some 30 km north of the Azerbaijani capital Baku.
The minister said the document also regulates the management and business activity in these parks.
Azerbaijan will apply incentives for industrial parks, the presidential decree 'On model policy on industrial parks' says.
According to the decree, tax and customs incentives can be applied in the activity of industrial parks; the decree envisions measures on ensuring the parks' infrastructure, defining the land lease at minimum level, granting soft loans, simplifying administrative procedures, arranging services for effectively doing business and applying incentives in the sale of heat and electricity, gas, water, sewage disposal and collection of waste.
The document also covers the objectives and procedures for the establishment of industrial parks, the organization of their operation, their management and development.
Speaking at the meeting, acting director of the Sumgayit Chemical Industrial Park, Mehman Aghayev, said the relevant action plan and presentations have been prepared to attract investors to the activities in the park.
The investors have shown great interest in the park during the talks, he said.
Aghayev said the territory of 167,66 hectares allocated for the park has been readied for construction.
Moreover, Aghayev said, design specification and estimates for road junctions, gas lines and the project to build domestic infrastructure have been completed. Demolition of outdated and useless buildings on the territory will be soon completed, and the clearing of harmful chemicals in conjunction with relevant state bodies is underway.
The Sumgayit Chemical Industrial Park is being established according to a presidential decree signed in December 2011. The Economic Development Ministry was entrusted to take measures supporting the creation and development of the production and processing chemical industry enterprises at the park.
The park has undergone state registration at the Taxes Ministry with a capital of 500,000 manats (over $630,000).
It is being created to provide favorable conditions in the country to develop competitive industrial production based on innovative and high technologies, ensure business support in this area and sustainable development of the non-oil sector, as well as increase employment in the manufacturing sector.
The park creation process can take up to three years, which will be followed by the commissioning of enterprises on its territory.