The growth of the world prices affected domestic sugar prices as well; they grown on 37%. One of the reasons for the growth of sugar prices in the country is reliance on foreign imports; therefore the price levels are controlled by the producing countries. Sugar products are imported to the country mainly from Russia, Brasilia, Ukraine and in small quantities from Turkey and Iran. There has been a rapid price growth in all these countries. Accordingly, if the wholesale sugar price in Azerbaijan in December 2005was 380-400 AZM ($420-440) in February 2006 it reached -480-500 AZM ($530-550) and in March -670 AZM ($741).
Sugar wholesale prices in Azerbaijan started to grow from December 2005. The annual demand for sugar in the country is 30kg per person with the consideration of all products containing sugar. About 4.000 tons of sugar has been consumed by existing in the country mini-workshops in 2005, Veliev told Trend. All of it has been imported into the country. The newly constructed Imishli sugar factory will produce sugar on the base of the local raw materials.
The given factory will totally depend on local materials and will be capable not only provide the local needs but produce sugar for export. However, Veliyev thinks that territories allocated to the factory for raw materials growing are insufficient.