Azerbaijan’s Largest Oil Engineering Equipment Manufacturer Opposes Moving its Enterprises to Industrial Town
Azerbaijan, Baku, 17 July / Trend corr I.Khalilova/ Azneftkimyamash joint-stock company (JSC) opposes moving of its enterprises to an industrial town to be constructed in Sumgayit.
Deputy Chairman of the Board of Azneftkimyamash Simran Hasanov said on 16 July that the largest oil engineering equipment manufacturer initiated at the State Committee for State Property Management to place the enterprises at other engineering enterprises having free working areas.
Azerbaijani Cabinet decreed to move a range of state enterprises from the Heydar Aliyev Avenue due to improvement of Baku's transport infrastructure and arrangements to improve Baku's environment. Moving will also decrease overload at Heydar Aliyev Avenue.
"We proposed to move Keshla engineering plant not to the industrial town but to another engineering enterprise," Hasanov said.
According to Hasanov, the Sattarkhan engineering plant owned by Azneftkimyamash will also be moved to other area - Binagadi district.
Implementation of the pilot construction of industrial town project was planned in Khizi and Absheron. About AZN 8mln was allocated from the budget for its implementation. The project to construct the first Yeni Yashma industrial town is to be supported by the Turkish Cooperation and Development Agency (TIKA). Due to change of the place for the town, TIKA project requires adjustment, because Sumgayit already has enterprises, unlike the previously planned place - Yeni Yashma.
The town will be constructed on a territory that contains unused enterprises. The Government agreed for that and draft decree has been developed.
Construction of the industrial town in Sumgayit will allow the economy of funds, as well as playing a positive role in the development of enterprises. Funds were invested to the State Investment Program for 2008 for the construction of the town. There is a need for commerce financing for the further development of the town and the State is holding currently negotiations with the International Finance Corporation and other fiscal institutions.
In 2007 South Korea recommended that Azerbaijan involve Korean companies for the construction of the town. This issue was discussed during the meeting of the Azerbaijani Export and Investment Promoting Company (AZPROMO) with Korean Technical Assistance Organization KOYKO.
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