Azernews.Az

By Nazrin Gadimova

Azerbaijani-Russian business forum was held in Baku as part of the visit of delegations of Russian Udmurtia and Kaluga Oblast to the city on June 4.

Addressing the event, Azerbaijani Export and Investment Promotion Foundation (AZPROMO) Head Rufat Mammadov said Azerbaijan is interested in increasing exports to different regions of Russia.

He said that over the past four years, AZPROMO held more than 23 events attended by business circles of Azerbaijan and Russia.

"There is a very strong legal base for the development of trade and economic relations between the two countries," he said. "During the period of 2002-2013, the volume of Russian investments in Azerbaijan's economy exceeded $600 million. More than 160 interagency, interstate and intergovernmental treaties and agreements were signed, as well as more than 30 agreements in the economic sphere, including agreements on avoidance of double taxation and free trade," he said.

Mammadov added that along with this, the Azerbaijani entrepreneurs are actively investing in Russia's economy.

"So, over the same period, the volume of the Azerbaijan's investment in Russia exceeded one billion dollars," Mammadov said, adding that Azerbaijan is one of the few countries that also works with different regions of Russia.

"Despite the fact that compared with other regions of Russia, the financial turnover between Azerbaijan and Udmurtia and Kaluga region are low. Azerbaijani companies are interested in exporting various kinds of products to the markets of Udmurtia and Kaluga", he added.

Speaking at the event, Head of the Export Support Center of the Republic of Udmurtia, Valeria Antonenko stressed that Udmurtia is ready to develop export of the Azerbaijani goods to the republic.

"We offer the Azerbaijani business community to consider proposals for participation in the development of forest and agricultural sectors of the region, as well as in joint ventures in the fields of automotive, aerospace, information and communication technologies, and the production of modern building materials," she said.

Udmurtia is also interested in supplying weapons to Azerbaijan, including sports and hunting, as well as unmanned aerial vehicles, Antonenko added.

Head of the Support Center of Export-Oriented Small and Medium Businesses of the Kaluga Oblast Valentina Maltseva, in turn, invited Azerbaijani businessmen to participate in the special economic zone and industrial parks of the region.

"The region created a favorable investment climate and removed administrative barriers for the investors. A special economic zone of industrial type "Lyudinovo" is operating in Kaluga Oblast. There is a preferential tax regime, and the more greater amount of investment, the wider spread of these benefits. We invite businessmen from Azerbaijan to become residents of this area," Maltseva said.

She added that Kaluga Oblast does not have any natural resources, so the region is constantly working on the development of its industrial potential.

"In addition to the special economic zone in the region, there are ten industrial parks. Advantageous geographical location of the region has enabled it to build a large logistics center on the border with the Moscow Oblast. It is also building two international airports," Maltseva added.

Earlier, Azerbaijan's capital hosted business forums attended by delegations from Russian Ulyanovsk Oblast, and representatives of Stavropol's companies.

Russia is the main trade partner of Azerbaijan in the CIS. Over the past ten years, the volume of Azerbaijan's investment in Russia's economy amounted to around $1 billion, $200 million of which fell on 2013.

About 570 Russian companies are operating in the country, Azerbaijani Economy and Industry Ministry said, adding that over $628 million was invested in fixed capital.

"Foreign trade turnover between Azerbaijan and Russia amounted to $2.58 billion in 2013, which is 10.47 percent more than 2012," the Azerbaijani State Customs Committee said. Azerbaijan's export to Russia amounted to $1.078 billion, while the import of goods from Russia totaled $1.505 billion during the reported period.