Azerbaijan creates large raw material base for plastic and rubber production

Business Materials 15 May 2012 14:29 (UTC +04:00)

Azerbaijan, Baku, May 15 /Trend A.Akhundov/

The manufacture of chemical products has more than tripled in Azerbaijan during the period of Azerkimya of State Oil Company of Azerbaijan (SOCAR) activity, head of staff at the Ministry of Energy and Industry Rasim Mammadov said in a speech at the opening ceremony of the second Caspian international exhibition, Plastic and Rubber.

"It has created a large source of raw materials for the production of plastic and rubber products in Azerbaijan," Mammadov said.

He noted that if there were nine enterprises for the production of such products with a turnover of nine million manat in 1995, then the number of enterprises has now grown to 60 with a turnover of 70 million manat.

He said the production of chemical products will continue to grow which will provide both domestic demand and increase export potential.

According to the decree of Azerbaijani President Ilham Aliyev 'On improvement of governance arrangements in the petrochemical industry', signed on April 2, 2010, the state company Azerkimya becomes subordinated to the SOCAR (State Oil Company of Azerbaijan).

According to the decree by the Azerbaijani president dated April 22 on the amendments and additions to the decree dated January 24, 2003 on improving the structure of the State Oil Company of Azerbaijan, it was decided to create an Azerkimya production unit under SOCAR.

According to an order signed by the president of SOCAR Rovnag Abdullayev, the plants on surface-active Substances, organic synthesis, mechanical repair and the Institute Kimyaelmitedgigatlahiya were subordinated to Azerkimya as facilities without the rights of legal entities.

According to the order, ethylene-polyethylene was established on the basis of the material technical base of the plant producing synthetic rubber and that of ethylene-polythene. It is also as an organisation that does not have legal rights and will function under Azerkimya.
Official exchange rate on May 15 is 07859 AZN/USD