Waterproofing materials enterprise to be created in Azerbaijan
Azerbaijan, Baku, Nov. 16 / corr. Trend E.Ismayilov /
A new Azerbaijani-Russian joint venture for the production of waterproofing materials will be created in Azerbaijan, Natig Shirinzade, chairman of the Board of Directors AzRosPromInvest established by Azerbaijani company Dash Salahli Bentonite and the Russian SPK Bentonite, told journalists.
"We think about producing the final product ourselves," Shirinzade said. "Bentonite is used as an intermediate product, and so the company depends on market conditions. In this connection, we consider the possibility of creating a new enterprise. We have concluded with the Russian partners a protocol of intent to establish a plant for manufacturing waterproofing materials on the basis of our bentonite."
According to Shirinzade, as part of a new business, markets have been studied in Azerbaijan and Georgia, which is necessary in terms of reducing dependence on logistics and the calculation of the nearest markets.
Furthermore, within the framework of creating a new factory, negotiations were held with several companies to acquire equipment. Construction of the new plant requires additional investment of 5 million manat. Half of the financing will be provided through own funds, and the rest through loans. In particular, part of the financing is planned through borrowing from the Fund to Support Entrepreneurship in Azerbaijan.
"We want to use our own resources and take advantage of the preferences of the state," Shirinzade said.
Constructing a waterproofing materials plant will allow the consumption of about 20 tons of bentonite, produced by the AzRosPromInvest.
The plant will enable to reduce dependence on insulating materials imports. Particularly, the plant's material can be used for plans to develop and expand the Baku subway, Shirinzade said.