Local farmers to receive some $50 million subsidies

9 September 2016 12:29 (UTC+04:00)

By Rashid Shirinov

The Republican Commission of Azerbaijan’s Agriculture Ministry made a decision on allocation of subsidies in the amount of 82.4 million manats ($49.3 million) to 385,247 agricultural producers.

The decision was taken at the regular meeting of the Commission held on September 8 under the leadership of its Chairman - Deputy Minister of Agriculture Ilham Guliyev.

Subsidies were allocated for the purchase of fuel and motor oils, as well as wheat, seedlings, cotton and tobacco for sowing in 1.25 million hectares of acreages.

Relevant documents for disbursement of funds to producers were sent to Azerbaijan’s Ministry of Finance, JSC Kapital Bank and relevant regional departments of agriculture and executive power.

The commission also decided to allocate subsidies in the amount of 4.3 million manats ($2.6 million) with 70-percent discount to 5,019 producers for purchase of mineral fertilizers by four organizations: Aqrolizinq JSC, Aqroline Group Ltd., MKT IK Ltd. and EKO Trade Ltd.

The Commission also decided to allocate subsidies in the amount of 347,343 manats ($207,942) with 70-percent discount for the purchase of pesticides to 2,413 producers by Aqrolizinq JSC, Aqrokimya Ltd., EMA and Aqrico.

Benefits provided for the purchase of fuel and motor oils make 50 manats ($30) per hectare, while the figure is 40 manats ($24) for planting one hectare of wheat, rice, cotton and tobacco.

Overall, benefits to agricultural producers in Azerbaijan are provided since 2007.

In accordance with the law "On granting tax benefits to agricultural producers" of November 27, 2001, farmers in Azerbaijan are exempted from all taxes (excluding land tax).

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Rashid Shirinov is AzerNews’ staff journalist, follow him on Twitter: @RashidShirinov

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