July 9
Patent governance system automated in Azerbaijan
The State Committee on Standardization, Metrology and Patents is conducting patent digitalization, e-governance application, and e-services for intellectual property rights registration and protection. The project is being carried out within the grant agreement on the intellectual property rights automation control system signed between the committee and the Foreign Affairs and Trade Ministry of the Republic of Korea on October 11, 2011. The Korean company Siriussoft corp. under the direction of the Agency for International Cooperation of Korea (KOICA) is working to establish an automated search system for intellectual property rights, electronic document, electronic publications, training center and
other work. Part of the necessary equipment, computers and servers have already been purchased and installed in the committee. Using the system will expand scientific research, inventions, increase innovation products and develop the electronic technology market. The main purpose of the training center is to train specialists in the field of intellectual property, commissioners on patents and to inform public about the objects of intellectual property. The fees for acquiring the rights to intellectual property, expertise and other payments will be paid through electronic payment. In this regard, the contract was signed between the Examination of Industrial Property Center (AzPatent) Committee and "Golden Pay" company.
Azerbaijan, Italy discuss cooperation prospects in oil and gas sector
Azerbaijani Industry and Energy Minister Natig Aliyev met in Baku with Deputy Foreign Minister of Italy Marta Dassu and Italian Deputy Economic Development Minister Claudio De Vincenti. During the meeting the sides discussed the cooperation between the two countries in various spheres, particularly in the oil and gas sector. During the meeting, Natig Aliyev gave visitors information about the Trans-Anatolian pipeline, as well as routes of Azerbaijani gas to Europe. The minister noted that Azerbaijan contributed and will continue to contribute to ensuring Europe's energy security. The country is interested in cooperation with potential buyers of gas and its delivery to Europe. The sides also discussed Trans-Caspian gas pipeline.
July 10
Azerbaijan strengthens control over foreign-flag vessels
A special permit will be required for merchant shipping in Azerbaijan to carry out water freight and passenger activities. Additions involve the monitoring of the flag and port control. The flag control involves the inspection and certification of ships included in the National Register of shipping and sailing under the flag of Azerbaijan. Port control involves state control over the compliance of equipment of foreign vessels entering Azerbaijani ports and leaving them to international treaties. Under the amendments, the ship owners will be required to submit a certificate of insurance or other financial security to civil liability for damages incurred as a result of pollution from bunker oil. The amendments also suggest inspections at least at a quarter of the average annual number of foreign-flag vessels (this number should be calculated on the basis of indicators of the last three years), entering the territory of Azerbaijani port. In accordance with the amendments authorized executive body appointed by the captain of the seaport, whose activity is regulated by the regulations approved by the relevant executive authority. The main functions of the port captain are: registration of entry and exit of vessels from the port, check for licenses and certificates, certificates of special training, inspection logbook, control over compliance of ships with rules for entry and exit from ports. The amendments establish a broad inspection of oil tankers destined for chemical products and natural gas operating more than 10 years, dry bulk vessels operating more than 12 years, passenger ships - more than 15 years, tankers with a total tonnage of more than three thousand tons operating for more than 15 years. Not less than 25 percent of foreign-flag vessels should pass the inspection.
Azerbaijani President inaugurates Garadag Metal Constructions Plant
President of Azerbaijan Ilham Aliyev has today inaugurated the Garadag Metal Constructions Plant. The head of state was informed about the parameters of new plant with about 8 thousand square meters area, built in accordance with the State Program on socio-economic development of the city of Baku and its suburbs, in the Sahil settlement of Garadag district of capital. The construction of plant was launched in July 2011 by Europe's Kaltenbach GmbH, Zimfer, Vinter, Voortman's, Facin və Durma companies on the modern technology. The new plant's annual production capacity averages 24 thousands ton metal constructions and will employ 120 people.
MONEYVAL lifts formal reporting regime in respect of Azerbaijan
The Council of Europe Committee of Experts on the Evaluation of Anti-Money Laundering Measures and the Financing of Terrorism (MONEYVAL) during the 39th plenary meeting decided to lift the regime of formal report used in respect of Azerbaijan. MONEYVAL took this decision, taking into account the progress toward fulfilling by Government of its recommendations, the State Securities Committee (SSC) of Azerbaijan said. The meeting, which was also attended by the Azerbaijani delegation headed by the chairman of the Committee, Rufat Aslanli, was held in Strasbourg on July 2-6. The agenda included a discussion of the fulfillment by Azerbaijan of the recommendations reflected in the "horizontal review" of MONEYVAL, prepared in 2010 based on reports from the third round of the joint evaluation, the report said. During the meeting, the Azerbaijani delegation presented a report on its work in this direction. During the plenary session the results of the fourth round of the evaluation conducted by the State Committee in Latvia were discussed, and the report prepared by a member of the Azerbaijani delegation Anar Salmanov, speaking as an appraiser of Legal Affairs of Latvia was reviewed and approved. In addition, the meeting approved the list of countries, whose progress reports will be heard at a regular 4th meeting. In particular, Azerbaijan was appointed rapporteur on legal matters in the second report on the progress of Moldova. The meeting also discussed reports of countries which have shortcomings in implementing the recommendations of the Financial Action Task Force on Money Laundering (FATF) under the "horizontal view" and "special monitoring regime," reports on a joint evaluation of several member states of MONEYVAL.
Cost of water project in Azerbaijan financed by Saudi Arabia determined
The preparation of a feasibility study (FS) project to expand and reconstruct water supply and sewerage system in the city of Khirdalan (10 km from Baku) and the adjacent townships is completed, JSC Azersu (national water operator) told Trend. According to the information, the initial project cost amounts to $140 million. Saudi Fund for Arab Economic Development and JSC Azersu reached an agreement on the financing of this project by the fund, the Embassy of Saudi Arabia in Azerbaijan told Trend. Saudi Fund will provide a loan of 131.25 million Saudi riyals ($35 million). Signing the loan agreement on the project is expected in the near future, the Embassy said, without naming a specific date. During the visit, the delegation of the Saudi Fund in Azerbaijan last week discussed the progress of other projects funded by the Foundation, the embassy said. Under the terms of the Saudi Fund, usually this financial institution finances up to 50 percent of the project. This is the second loan from the Saudi Fund for Development provided to Azerbaijan to improve water supply and sewerage system. In 2009, the Fund allocated 93.75 million Saudi riyals (about $ 25 million) to finance the project of construction and reconstruction of water supply and sewerage system of townships and villages around Baku. Credit resources are allocated for 20 years with a grace period of five years and at a rate of two percent per annum.
Agents remain effective channel of insurance products sales in Azerbaijan
Azerbaijan began forming a base for developed insurance market, meeting international standards, the executive director of the Azerbaijani Association of Insurers, Azer Aliyev, said in an interview with the Romanian PR-agency Media XPRIMM. He said insurance agents remain effective channel for sale by companies of their products. "From the earliest days the insurance market of Azerbaijan has been focused on the corporate sector. Since the early 2000s it became popular to obtain consumer loans from banks, so, insurance companies started to get acquainted with the work with the public. Banks and credit institutions became main distribution channels of products and services. Following the adoption of laws on the compulsory types, in 2010-2011 companies began to actively sell its products through insurance agents. Despite the relative high cost, this channel remains the most effective," Aliyev said. He said that today in developed countries, insurance companies actively sell their products online.
July 11
Azerbaijan, Russia prepare plan for joint measures in development of exchange trading
The Baku Interbank Currency Exchange (BBVB) and the Moscow International Currency Association (MICA) are looking at a plan of joint action under the previously signed Memorandum of Understanding, advisor of BBVB manager Zahid Mammadov told Trend. "At present, the parties are discussing the plan of joint actions that will allow them to achieve the objectives set out in the memorandum," Mammadov said.The subject of the memorandum is cooperation based on equality of the parties to create conditions for financial institutions in Azerbaijan and Russia to participate in the auction of BBVB and MICA - BEST (electronic trading system) and DELTA trading systems. According to the document, BBVB is the only partner of MICA in Azerbaijan and vice versa.Moscow International Currency Association will provide advice to the BBVB in introducing the principles of e-commerce through money market instruments which will enhance the liquidity, transparency and reliability of the money market instruments.As part of the memorandum the residents of Azerbaijan are allowed into the Delta trading system, concluding a corresponding contract and vice versa.Both parties believe that the actual co-operation on matters specified in the memorandum should be the subject of a special agreement.
Azerbaijan plans to sign major gas contract
The basic commercial principles of the project to develop deep gas occurrence on the Azeri-Chirag-Guneshli (ACG) field in the Azerbaijani sector of the Caspian Sea have been agreed upon, SOCAR head Rovnag Abdullayev said. As head of SOCAR said previously it is planned to sign a contract on development of deep gas occurrence with the participants in ACG. Members of the ACG project will be participants in the new, improved PSA contract. Operator in the ACG project is the company BP. ACG participating interests are BP with 35.78 percent, Chevron - 11.27, Inpex - 10.96 percent, AzACG - 11.65 percent, Statoil - 8.56 percent, Exxon - 8 percent, ТРАО - 6.75 percent, Itocu - 4.3 percent и Hess - 2.72 percent.
SOCAR assists in developing Azerbaijani travel agencies' business in Europe
SOCAR will not invest on its own in a resort at the site of the former military base in Montenegro, which it acquired earlier. A number of Azerbaijani travel agencies wanted to enter the European market, however, was unable to do so. SOCAR has undertaken this initiative, and then will give the authority on lease to the Azerbaijani companies. They are assisted in the organizational and legal issues so that they could enter the European tourism market, Abdullayev said, without naming travel agencies. Earlier Montenegro's Council for Privatization and Capital Projects said that, according to the contract with SOCAR, the company signed an agreement on long-term lease of the Orijen Battalion barracks in Kumbor for 90 years period. The tenant has the right to establish a local company in Montenegro, to which all rights and obligations under the lease agreement will be transferred. The company will take full responsibility for all liabilities. The tenant has to invest at least 52 million euros in the resort's development during the first four years of the lease, or, in total, 258 million euros during the first eight years of the lease period. The company will pay the rent for the first 45-year period upfront. After making the first part of investments worth 52 million euros, the lessee may assign the contract to a third party that is able to meet all financial obligations under the lease. Under the same conditions, SOCAR may be exempted from the guarantee for the obligations of local companies as tenants.
Azerbaijan tightens food production control
The Azerbaijani Technical Regulation and Standardisation Service has held check-ups at 47 production sites as of June 18, acting head Abulfat Imanov told reporters. He said that during checkups at 32 industrial sites non-compliance with regulations was identified, 20 production sites were banned to produce and sell products. As a result of found violations, penalties at 27,900 manat were applied, of which 80 percent is paid. "Poor-quality products have often been delivered to restaurants," he said. He said the most dangerous non-compliance with regulatory requirements that were identified in the checkups relate to producers of milk, soft drinks and bread. "During production of these foods harmful and dangerous to the human body ingredients, dyes and other impurities were used," Imanov said. "These checkups were held in Baku (15 companies), Sumgait (4), Ganja (8), Yevlakh (5) Lankaran (7) and Sheki (8)."
Azerbaijan expected to tighten requirements for bread producers
During the month a standard will be adopted that will oblige bread manufacturers to produce bread in an individual package, the head of the Standardisation and Technical Regulation Department of the State Committee on Standardisation, Metrology and Patent, Namig Taghiyev told reporters. He said there are four national standards for bread and lavash production and six interstate in Azerbaijan. "At the moment, amendments are being prepared to existing standards by which bread products will be sold exclusively in individual packages which will provide information about the manufacturer in compliance with all hygiene standards," Taghiyev said. He said this will solve the problem of contamination of products, both during transportation and sale.
July 12
Azerbaijan, Turkey to review intergovernmental agreement on social protection
Azerbaijan and Turkey may review some items of the intergovernmental agreement on cooperation in the area of social protection. This was noted in Baku during a meeting of the Azerbaijani State Social Protection Fund's (SSPF) chairman Salim Muslimov, with Turkish Labour and Social Security Minister Faruk Celik. The agreement which was signed between the two countries in 1998, envisages the mutual recognition of labour pension rights of Azerbaijani citizens working in Turkey and vice versa. "The Turkish side is concerned over the issue of lack of compulsory health insurance in Azerbaijan, while in Turkey all foreign nationals are covered by this type of insurance," Muslimov told reporters. "Also, the Azerbaijani and Turkish sides are cooperating in the fight against illegal labour activity," he added. According to Muslimov, Turkish nationals constitute the majority of foreigners registered in the individual registration system of the SSPF. Some 58.2 per cent of foreign nationals from 94 countries account for Turkey. "This is the official data, but in reality this number may be greater," Muslimov said. According to Celik, Turkey can share its experience in the fields of combating illegal labour activity, policy of social insurance, compulsory health insurance and other issues.
Costs of treasury organisations in Azerbaijan fully transferred to non-cash method
The costs of organisations which obtain treasury services in the State Treasury Agency of the Azerbaijani Finance Ministry have been carried out only in non-cash form since July 2012 due to the development of cashless payments, Finance Minister Samir Sharifov told ministers at a meeting of the Cabinet chaired by Azerbaijani President Ilham Aliyev and focusing on the socio-economic development in the first half of 2012 and the upcoming challenges. Along with plastic cards used by physical entities to get salaries, benefits, pensions and other social benefits, corporate cards issued to legal entities are expected to be widely used to maintain budgetary and off-budget expenditure.
Customs payments in Azerbaijan almost completely transferred to e-form
The State Customs Committee in Azerbaijan has received 97 percent of the customs payments in electronic form. The Committee's Chairman Aydin Aliyev made this statement addressing the Cabinet of Ministers' meeting chaired by Azerbaijani President Ilham Aliyev yesterday and dedicated to the socio-economic development in the first half of 2012 and the upcoming challenges. "Today, the receipt of customs payments through banks or plastic cards is arranged, and POS-terminals are installed in all customs offices or the branches of relevant banks have been opened," Aydin Aliyev said. He said customs service activity is transferred into single automated control system. "This system is one of the important steps to liberalize trade in the country, create favorable conditions for entrepreneurs," Aliyev added. He said the State Customs Committee continues to work on sharing information with other agencies in an electronic form and building a single network.
Mexico interested in studying Azerbaijan's oil and gas experience
Azerbaijani Minister of Industry and Energy Natig Aliyev has received a delegation headed by deputy chairman of the Mexican Senate Francisco Arroyo Vieira. During the meeting the sides discussed the Armenian-Azerbaijani Nagorno-Karabakh conflict, as well as the Khojaly genocide. Natig Aliyev has expressed gratitude to the Mexican delegation because Mexico is one of the three countries which recognized the genocide in Khojaly. The Minister said that the economic relations between the parties, as well as political, must also be at a high level, particularly in terms of the relations in the oil and gas sector. It was stressed that both countries are engaged in oil production in the sea. Aliyev said that Azerbaijan has great experience in this area, and accordingly, there are opportunities for the parties to share experience and implement joint projects. Vieira said that oil production in Mexico fell from 3 million a day to 2.2 million barrels per day. Mexico plans to increase production and to study Azerbaijan's experience in drilling new wells and opening fields. The great opportunities for cooperation in the non-oil sector were stressed during the meeting, spokesman for the Ministry of Industry and Energy Azer Mensimli told Trend. The sides discussed the opportunities of preparing and signing a bilateral document between the Azerbaijani Ministry of Industry and Energy and the Mexican Ministry. The document will define the framework for cooperation between the countries.
Azerbaijan can change system of pension calculation
In Azerbaijan, the coefficients can be applied to the basic part of pensions, depending on length of service, which will increase the interest of workers to legalize their work, Chairman of the State Social Protection Fund of Azerbaijan Salim Muslimov told reporters. "With our old system of calculating pensions men received the full amount of pension at the work experience of 25 years, women - 20 years, and if the experience was less, they got less. "There is another option - the total elimination of the basic pension, that is to send 100 percent of the social insurance fees for individual accounts and the sum divided by 144 (number of months in 12 years) and thus form a pension. There are various options that we consider" Muslimov said. Pensions in Azerbaijan consist of two parts - basic and insurance. The basic part of the pension is 85 manat.