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Increase of diesel tariffs not to affect agriculture production in Azerbaijan

Business Materials 9 February 2006 14:30 (UTC +04:00)

The increase of wholesale prices for diesel in January 2006 will not affect the agriculture production in Azerbaijan, Ismat Abbasov, the Azerbaijani Agriculture Minister, told Trend.

According to Abbasov, earlier rumors spread that the increase of tariffs would lead to rise in agriculture product prices by 50-100%, but it was not true.

We calculated share of diesel falling to the agriculture production and presented it to appropriate bodies. In some fields this figure comprises 1%, in others - 14.5%, for example cotton-growing, the head of the Agriculture Ministry underlined.

Besides, Abbasov regards the allocation of appropriate subsidy as expedient in relation to increase of diesel tariffs. The issue has been discussed with the Cabinet of Ministers and appropriate ministries. No final decisions on determination of issue mechanism of subsidy were made, Abbasov stressed.

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