Azerbaijan, Baku, Oct. 28 / Trend , A.Akhundov /
Azerbaijan will improve the system for issuing grants and concessional loans to the agricultural sector and providing the tax benefits to the rural sector, the draft concept of socio-economic development in 2012 and the next three years reads.
The document was submitted to the Azerbaijani Parliament for consideration.
"Today, the primary goal for food security provision in Azerbaijan is grain farming development, the cultivation of fruit and grapes, vegetables, tobacco farming, seed, and seedlings, breeding livestock, feed production, agricultural processing industry and agro-marketing, agro-service and rural areas," the document reads.
The document provides for the necessary steps to be taken in 2012-2015 to improve and complete the implementation of the export potential of the Azerbaijani agricultural sector.
"Measures will be continued to develop new livestock and dairy facilities, breeding and poultry farming, infrastructure for storage and processing of agricultural products, intensive fishing and seed production," the document reads.
The Azerbaijani farmers are exempted from all taxes (except land tax) in accordance with the law "On the granting of tax benefits to agricultural producers" adopted on Nov.27, 2001. Since 2007, farmers also receive subsidies from the state budget.
Azerbaijani Agriculture Minister Ismat Abasov said earlier that subsidies worth 360.3 million manat have been allocated to Azerbaijani farmers to buy motor oil and fuel since 2007.
Subsidies to purchase motor oil and fuel worth 40 manat per hectare of sowed area are issued in accordance with the president decree to provide state support to agricultural producers.
"In 2007-2010, subsidies worth 15.1 million manat have been issued to farmers from the state budget for the development of farming," Abasov said.
The official exchange rate is 0.7869 manat to $1 on Oct. 27.