Foreign trade of Azerbaijan (january-july 2016)

The foreign trade turnover with 167 world countries amounted to $9.35 billion in January-July 2016, or 26.89 percent less than in January-July 2015. The volume of exports decreased by 38.57 percent and amounted to $4.59 billion compared to January-July 2015. The volume of import decreased by 10.46 percent and amounted to $4.75 billion.

Azerbaijan exported 2,234 goods and imported 6,695 different goods.

Red ink worth $167.47 million was in Azerbaijan’s foreign trade operations during this period.

For comparison: the foreign trade surplus reached $2.17 billion in July 2015.

As in previous periods, oil, gas and oil products were mainly exported from Azerbaijan in January-July 2016.

Main products exported from Azerbaijan

Source: Azerbaijani state customs committee

Most of Azerbaijan’s exports as of January-July 2016 (77.47 percent) accounted for the export of crude oil. During the reporting period, the country exported oil worth $3.55 billion. The cost of crude oil exports decreased by 39.36 percent compared to January-July 2015. This is connected with a decrease in the global oil prices. Currently, SOCAR supplies oil from Azerbaijan to more than 30 countries in Europe, Asia and America.

According to the Azerbaijani State Customs Committee, in January-July 2016 the export of oil products from Azerbaijan decreased from year to year.

The export of oil products amounted to 921,740 tons in January-July, which is 30.65 percent less than the export for the same period of 2015 (1,329,150 tons)

The revenues obtained as a result of the export of oil products amounted to $218.4 million compared to $477.35 million (54.3 percent) in 2015.

Some 43,580.01 tons worth $14,754,130 were exported in July 2016.

Some 4.76 percent of the country’s total export volume accounted for the export of oil products in January-July 2016.

The export of gas from Azerbaijan increased by 2.2 percent in physical terms in January-July 2016 but decreased by 1.09 percent in financial terms from year to year.

The volume of gas supplied for export, has amounted to 926.8 million cubic meters since early 2016 compared to 906.97 million cubic meters a year earlier, while revenues reached $141.79 million compared to $144.3 million.

Some 212.4 million cubic meters of gas worth $27.8 million were exported in July.

The share of gas in the total export was estimated at 3.09 percent in January-July 2016 compared to 1.76 percent for 2015.

The export price amounted to $152,984 per 1,000 cubic meters in January-July 2016.

The fourfold growth was observed in exports of ferrous metals in January-July. The export of ferrous metals increased fourfold, amounting to $50.03 million or 1.09 percent of total exports in January-July 2016.

The volume of exports of fruits and vegetables which are the basis of agricultural exports of Azerbaijan greatly increased. The exports of agricultural products in Azerbaijan increased by 30.08 percent in January-July 2016 compared to January-July 2015. The agricultural products are mainly supplied to the Russian markets. The logistics centers are being built in Azerbaijan and outside the country for storage, transportation, export and sale of agricultural products.

The largest amount of export accounted for Italy in January-July 2016. Thus, during this period Azerbaijan exported goods totaling $885.71 million to Italy which makes up 19.30 percent of a total export volume. Oil and oil products are mainly exported to this country.

Taiwan ($402.89 million) and Germany $364.79 million) hold leading positions. Italy has maintained its leading position since 2008 excluding early three months. Turkey took a lead in January and U.S. in February and March 2008.

Russia ranks first on the largest import volume ($849.14 million) in January-July 2016. Some 17.85 percent of the Azerbaijani imports accounted for it. Turkey ranks second - $612.21 million and China - third ($325.20 million).

Most of Azerbaijan’s imports or 23.45 percent in the reporting period accounted for the import of machinery, mechanisms, equipment, electrical equipment and spare parts. The machinery and equipment worth $1.11 billion were imported in January-July 2016, which is by 4.35 percent less than in January-July 2015.

The import of ferrous metals consolidated its positions in the country’s foreign trade. The share of these products in a total import volume of the country reached 14.24 percent in January-July 2016, while this volume was 677.47 million manat in nominal terms or by 25.9 percent less than in January-July 2015.

Vehicles and spare parts worth $532.19 million (a share in total imports – 11.19 percent) were supplied to the country. The car imports decreased by 46.34 percent compared to January-July 2015.

Some 2,879 cars were imported to Azerbaijan in January-July 2016 compared to 19,476 cars imported in the same period of 2015.

Some 2,475 vehicles of the total number of vehicles imported during this period accounted for the cars and motor vehicles. Some 17,345 cars and motor vehicles were imported in January-July 2015. Moreover, some 300 trucks were imported to Azerbaijan in January-July (1,275 trucks in January-July 2015). The rest import accounted for other types of vehicles. Some 26,785 cars and motor vehicles were imported into the country in 2015 compared to 63,368 in 2014.

Main products imported to Azerbaijan

source: Azerbaijani state customs committee

According to the Azerbaijani State Customs Committee, the countries-non-EU and CIS members kept their status as the main trading partners of the country in January-July. These countries formed the foreign trade turnover of Azerbaijan by 44.69 percent or $4.177 billion, while the EU countries - by 39.44 percent ($3.687 billion). Only 15.87 percent or $1.484 billion accounted for the CIS.

Azerbaijan’s exports to the EU countries amounted to $2.350 billion in January-July, or 51.2 percent of a total export volume amid a 49.62 percent decrease. Imports from EU ($1.337 billion) decreased by 14.1 percent and amounted to 28.1 percent of a total import volume. As a result, the country had a black ink of trade balance with the EU at the level of $1.0135 billion compared to the country's total trade deficit - $0.167 billion.

The exports to the countries-non-EU and CIS members dropped by 25.67 percent - to $1.890 billion in January-July or 41.175 percent of a total export volume, while imports - by 11.61 percent and reached $2.287 billion or 48.08 percent of the total import volume. As a result, the deficit worth $0.398 billion was observed in Azerbaijan’s trade relations with these countries.

The exports to the CIS countries for the period totaled $0.350 billion (7.64 percent of the total export volume) by increasing by 1.23 times and imports - $1.133 billion (23.82 percent) by decreasing by 2.89 percent. As a result, the country had a red ink in trading with them to the amount of $0.783 billion.

During this period, about 9,742 legal and physical entities were involved in foreign trade operations, including 4,298 - legal entities and 5,444 - physical entities.

The share of public sector in exports totaled $4.01 billion, private sector – $444.36 million, the share of physical entities - $132.2 million.

The share of public sector in import operations amounted to $721.88 million, the private sector - $3.76 billion, physical entities -$274.94 million.

Azerbaijan’s trade operations with foreign countries in Jan.-July 2016

source: Azerbaijani state customs committee