Russian Trade Representation in Azerbaijan appealed to the Government of Azerbaijan asking it to intensify the consideration of proposals by Russian automobile factory Kamaz, Trend reports.
In August 2006 the management of Kamaz sent to Azerbaijan proposals on establishment of a plant for assembly of Kamaz automobiles in the country. The assembly will be carried out through establishment of a joint venture (JV) with an annual capacity of 1,500 automobiles.
Yuriy Shedrin, the Head of the Trade Representation of Russia, said on 25 January that there appeared to be a pause in talks between Azerbaijan and Russia.
We are still unaware whether the proposals are suitable for the Government of Azerbaijan. Otherwise, Kamaz is ready to meet at table of talks, he said.
In its proposals Kamaz appealed for 75%-stake in the enterprise income, while 25% is to be left for Azerbaijan. Kamaz asked for all possible privileged tariffs and taxes on all 8 positions.
These are very tense conditions, while Russia is ready to seek compromise resolution during the talks, he said.
In this stage of talks the base for the future joint venture has not been determined. It will not function on the base of Ganja Automobile Plant, he said. The amount of investments to be put in the project is still to be defined.