Gov't allocates funds for development of different spheres of economy
By Nigar Abbasova
So far, the government of Azerbaijan has allocated easy credits with the cost of 161 million manats ($107.3 million). The funds have been allocated for financing 52 logistics centers with the total capacity of 330.000 tons.
Shahin Mustafayev, the economy minister of Azerbaijan in his article published in the official press mentioned that 42 out of 52 logistics centers with the capacity of 241 million tons are currently operating in the country.
“Modern logistics centers which are designed for the procurement and storage of fruit, vegetables, seeds as well as other food products have been created in the country since 2009. The centers are of great importance and contribute to the provision of food security, socio-economical development of the regions, increase of their investment attractiveness, intensive development of the agricultural industry as well as promotion of the country’s export potential,” he said.
The minister also touched upon the creation of farm enterprises and agroparks in Azerbaijan. “The creation of the brand-new and intensive methods has a huge role in ensuring food security,” the article reads.
Mustafayev underlined that 30 large farm enterprises with the total area of 40 hectares has been created in 19 districts. He added that the first stage of the work on creating agricultural parks in Shamkir and Khachmaz districts is close to completion.
The article further reads that the total volume of investments which will be allocated for the Neftchala industrial district in the first stage will exceed the level of 20 million manats ($13.3 million). “The construction process of the Neftchala industrial district closes to an end. The project has a huge importance from the point of view of the small and medium entrepreneurship. We have already chosen seven projects out of 17 presented by businessmen. The projects envisage opening of 380 new woks places. Azerbaijan Azeuocar and Iran’s Khodro companies have signed a memorandum on the manufacturing of motor cars and service parts in Neftchala industrial district,” Mustafayev stressed.
The minister also underlined that creating institutional arrangement for the support of the entrepreneurship development is of great importance. “Industrial parks and districts have an important role in providing favorable conditions and creating possibilities for the achievement of needed infrastructure,” he noted.
The projects are expected to broaden entrepreneurial activity, increase export potential and competitiveness of the economy, manufacturing of import-substituting output, job security as well as diversification of industrial spheres.
“Works are underway in Sumgait, Mingachevir, Garadagh and Neftchali industrial parks as well as in Pirallahi and Mingachevir parks of high technologies,” he said.
The minister underlined that the volume of attracted investments in Sumgait industrial park is expected to reach $1.1 billion. Balakhani industrial park is considered to be the first in the region in the sphere of waste processing which is of great importance for the development of “green business” in the country. Baku shipbuilding yard which is among the residents of the Garadagh industrial park has already implemented the first order worth of $40 million. Mingachevir industrial park is considered to implement its operation in the sphere of textile.
Azerbaijan which is keen to minimize the impact of global economic crisis to the national economy and minimize its dependence on the oil sector, sees the agricultural sector as a central direction in an effort to diversify the national economy.The government of Azerbaijan has taken certain steps in order to provide for the development of the agricultural sphere.
With a total area of 604 hectares and being located in one of the exceptionally fertile soils of Azerbaijan Shamkir Agropark is the first agropark conception in the country and the Caucasus region.
The project is expected to give a stimulus for widening and strengthening export geography of Azerbaijan and presenting its products in foreign markets, getting high productivity and selling products produced by farmers with stable prices. Warehousing conditions created in Shamkir Agropark will positively influence fertility and reduce losses. The Agropark has the latest and most sophisticated technology in the sphere of calibration of fruit and vegetables, packaging and labeling.
Industrial parks have already been created in Sumgait, in the village of Balakhani and Garadagh in Baku and Mingachevir. Works on the provision of infrastructure in the created industrial parks are currently underway. The country seeks to further boost this sphere and create industrial parks in other cities and provides favorable conditions for other countries to participate in the industrial parks. The total number of industrial parks' residents is currently 12, being 7 in Sumgait 4 in Balakhani and in Garadagh.
The minister said that the examination of the ways for the creation of large farm enterprises and agroparks in other regions of the country is currently underway.
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Nigar Abbasova is AzerNews’ staff journalist, follow her on Twitter: @nigyar_abbasova
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