Azerbaijan, Baku / Trend corr U. Ismayilova / The Azerbaijani Government's intentions to remove VAT for flour imports and bread-making may result in a drop in prices for bread and increase its weight, Azerbaijani MP, and a member of the Economic Policy Commission, Vahid Ahmadov, said on 31 August.
VAT removal is being discussed by the Government. At the end of July, the Azerbaijani Government removed VAT for grain imports in order to restrain prices for bread. In several regions the price for bread doubled.
"Removal of VAT will positively affect the state of the entrepreneurs. It will be more advantageous for them to make business in such conditions," Ahmadov said.
The liberalization of foreign trade is required to completely stop the rise in the price for bread, the former head of the Price, Economic, Credit, and Financial Policy Department of the Azerbaijan Cabinet of Ministers, Ogtay Hagverdiyev, who is now an independent expert, said.