Azernews.Az

By Sara Rajabova

Italian fashion company Versace has denied reports that it plans to start production in Azerbaijan's occupied region of Nagorno-Karabakh.

Versace "doesn't and has never had" any plans to start production in the region, which has been under Armenian occupation for more than two decades, the company said in a letter to the Azerbaijani embassy in Italy.

The embassy told Trend news agency that it contacted the company for information after Armenian media reported that Versace was going to open a production unit in the rebel region. The company responded by saying that they are not producing any clothing or accessories in Nagorno-Karabakh and have no such plans, the embassy said.

Elman Abdullayev, a spokesman for Azerbaijan's Foreign Ministry, said most of the foreign companies operating in the region are in fact owned by Armenians living abroad.

These companies, which have limited investment opportunities, have been created and managed by Armenian lobbying groups, he said.

"It is evident that there are no foreign investments [in Nagorno-Karabakh] at all," Abdullayev said. "This is shown by the total amount of investments allegedly made in these territories by world's well-known brands," he said.

Abdullayev said Azerbaijan is the only country that can help expand Nagorno-Karabakh's economy and improve its investment climate.

"No major regional project can be implemented without Azerbaijan's participation," Abdullayev said.

"Karabakh's development is only possible within Azerbaijan. Our ethnic Armenian citizens also perfectly understand this," Abdullayev said.

Armenia captured Nagorno-Karabakh and seven surrounding districts from Azerbaijan in a war that followed the Soviet breakup in 1991. More than 20,000 Azerbaijanis were killed and nearly 1 million displaces as a result of the war.

Large-scale hostilities ended with a Russia-brokered ceasefire in 1994 but Armenia continued the occupation in defiance of four UN Security Council resolutions calling for immediate and unconditional withdrawal.

Peace talks mediated by Russia, France and the US have produced no results so far.