Azerbaijan, Baku, Jan.22 / Trend , N.Ismayilova /
An agreement on the establishment of a joint venture was signed between Azerbaijan and Britain in Baku on Jan.21.
The joint venture will include the construction of a hothouse for seedlings, a refrigeration warehouse and a packing shop.
Total amount of the project is $29.5 million.
"Supervisory Council of AIC has approved the construction of a modern hothouse complex in the Khachmaz region," Afgan Isayev, the executive director of AIC, said at the signing ceremony.
He said the project meets Azerbaijan's aims for a reliable provision of Azerbaijani population with food products in 2008-2015, and the socio-economical development of the countries in the region in 2009-2013.
The shares of the investing companies, AIC and Marcin International, in the joint venture is respectfully 36.5 percent and 27 percent for the Myba Agro Project.
"As a result of the implementation of this project, $18.8 million will be attracted to the public economy," Isayev said.
AIC has invested $10.7 million in the project.
Isaev said that organizational and infrastructural issues on the establishment of the joint venture will be solved in the next18 months.
According to the business plan, roughly 1.4 million seed plots and 6,000 tons of vegetables are planned to be grown in the hothouse complex in a year.
"75-80 percent of the products produced in the complex will be exported, and the rest will be sold on the local market. One of the main export markets will be Russia and Kazakhstan," Isayev said.
About 24 hectares of land have been allocated under the construction of the complex.