Foreign trade of Azerbaijan (january-july 2015)

The foreign trade turnover with 142 world countries amounted to $12.8 billion in January-July 2015, or 29.54 percent less than in January-July 2014. The volume of exports decreased by 43.6 percent and amounted to $7.47 billion compared to January-July 2014. The volume of import increased by 8.61 percent and amounted to $5.3 billion.

Azerbaijan exported 1,912 goods and imported 5,666 different goods. As of January-July 2015, the nominal index of export exceeded import. This formed the foreign trade surplus to the amount of $2.17 billion. The country's foreign trade surplus exceeded $8.4 billion in January-July 2014.

At the same time, the exports amounted to $1.24 billion, while imports - $607.03 million in July 2015. As a result, a foreign trade surplus worth almost $ 634 million was formed in July.

As in previous periods, oil, gas and oil products were mainly exported from Azerbaijan in January-July 2015.

Main products exported from Azerbaijan

Source: Azerbaijani state customs committee

Most of Azerbaijan's exports as of January-July 2015 (78.47 percent) fell to the export of crude oil. During the reporting period, the country exported oil worth $5.86 billion. The cost of crude oil exports decreased by 48.3 percent compared to January-July 2014. This is connected with a decrease in the world oil prices.

Currently, SOCAR supplies oil from Azerbaijan to about 30 countries in Europe, Asia and America. Among its largest European importers are Italy (23 percent), Germany (11 percent), France (9 percent).

SOCAR's share in total exports of Azerbaijani oil is about 70 percent.

Some 1.58 billion metric tons were transported via the Heydar Aliyev Baku-Tbilisi-Ceyhan (BTC), 2.4 million metric tons - via the Baku-Supsa pipeline, 762,146 metric tons - via the Baku-Novorossiysk pipeline and 417,543 metric tons were exported by railway in the direction of Baku-Batumi in January-July 2015.

The export of oil products from the country amounted to 1.3 million metric tons worth $477.3 in January-July 2015. This is by 31.8 percent less than the export for the same period of 2014 ($699.8 million). The export growth was 1.35 times from year to year. The export of oil products ensured 6.39 percent of the country's total exports in January-July.

The export of gas from Azerbaijan (according to the meters) increased by 7.57 percent in January-July. The gas supplied for export, according to the meters, amounted to 5.226 billion cubic meters in January-July 2015 compared to 4.858 billion cubic meters in January-July 2014.

As of July, the share of gas in total exports amounted to 1.93 percent compared to 1.4 percent in 2014. Azerbaijan also supplied 1,302,500 metric tons of gas condensate compared to 1,291,200 in January-July 2014 via BTC oil pipeline.

Azerbaijan exported 210.76 million kilowatt / hours of electricity upon customs declarations in January-July 2015 compared to 383.45 million kilowatts / hours exported in the same period in 2014. Azerbaijan exported electricity worth $12.8 million in January-July 2015 compared to $ 18.6 million for the same period in 2014.

The exports of chemical products reached $65.23 million in January-July or 0.87 percent of total exports. It increased twofold compared to the same period of 2014.

The export volume of fruits and vegetables, which is the basis of the agricultural exports of Azerbaijan, has increased. According to the committee, exports of Azerbaijan's agricultural products increased by 0.84 percent in January-July 2015 compared to January-July 2014.

Its supplies to Russia's markets increased. The logistics centers are built in Azerbaijan and outside the country for storage, transportation, export and sale of agricultural products.

In this period, the largest amount of export fell on Italy in January-July 2015. Thus, during this period Azerbaijan exported goods totaling $1.53 billion to Italy which makes up 20.59 percent of a total export volume. Oil and oil products are mainly exported to this country.

Thus, Italy was the main buyer of oil produced in Azerbaijan in 2014. Some 23 percent of the total oil exports accounted for this country.

Germany ($888.98 million) and France $551.49 million) hold leading positions. Italy has maintained its leading position since 2008 excluding early three months. Turkey took a lead in January and U.S. in February and March 2008.

Russia ranks first on largest import volume ($868.78 million) in January-July 2015. About $16.38 percent of the Azerbaijani imports fell to it. Turkey ranks second - $675.89 million and the US - third ($614.85 million).

Most of Azerbaijan's imports or 22.02 percent in the reporting period fell to the import of machinery, mechanisms, equipment, electrical equipment and spare parts. The machinery and equipment worth $1.16 billion were imported in January-July 2014, which is by 22.1 percent less than in January-July 2014.

Many vehicles and spare parts worth $ 991.90 million (a share in total imports - 18.7 percent) were supplied to the country. The car imports increased twofold (220.28 percent) compared to the same period of 2014.

However, despite an increase in the value of imports of these products, the physical import of cars to Azerbaijan in January-July 2015 decreased by 1.97 times from year to year. That is, the tendency of 2014, when the physical import of cars decreased by 39.3 percent, intensified.

Some 19,476 cars were imported to Azerbaijan in January-July 2015 compared to 38,338 cars imported in the same period of 2014.

Some 17,345 vehicles of the total number of vehicles imported in January-July 2015 accounted for the cars and motor vehicles. Some 34,618 cars and motor vehicles were imported into the country in January-July 2014. Moreover, some 1,275 trucks were imported to Azerbaijan in January-July 2015 (3,263 trucks in January-July 2014). The rest import accounted for other types of vehicles.

Azerbaijan passed to the Euro-4 ecological standard. That's why, the car supply volumes declined. It has been used since April 1, 2014. The introduction of Euro 4 standard greatly limits the import of used vehicles. Most of vehicles imported from Georgia to Azerbaijan accounted for the used cars.

The import of ferrous metals ranks third in terms of an import volume in the country during the period. The share of these products in a total import volume of the country hit 17.23 percent in January-July 2015, while this volume was 914.38 million manat in nominal terms.

The import of wood and wood products significantly increased in January-July 2015 (by 91.28 percent compared to January-July 2014). This is associated with an increase in its using in the construction and reconstruction work in the country.

Main products imported to Azerbaijan

source: Azerbaijani state customs committee

According to the Azerbaijani State Customs Committee, the countries-non-EU and CIS members did not restore their status as the main trading partners of the country in January-July. These countries formed the foreign trade turnover of Azerbaijan by 40.14 percent or $5.129 billion, while the EU countries - by 48.5 percent ($6.199 billion). Only 11.4 percent or $1.449 billion accounted for the CIS.

Azerbaijan's exports to the EU countries amounted to $4.645 billion in January-July, or 62.17 percent of a total export volume amid a 31.8 percent decrease. Imports from EU ($1.553 billion) increased by 1.42 percent and amounted to 29.28 percent of a total import volume. As a result, the country had a black ink of trade balance with the EU at the level of $3.093 billion. This exceeded the country's foreign trade surplus.

The exports to the countries-non-EU and CIS members dropped by 57.2 percent - to $2.542 billion in January-July or 34 percent of a total export volume, while imports increased by 18.5 percent and hit $2.587 billion or 48.8 percent of the total import volume. As a result, Azerbaijan received a $0.045 billion red ink with these countries.

The exports to the CIS countries for the period totaled $0.284 billion (3.8 percent of the total export volume) by decreasing by 42.9 percent and imports - $1.164 billion (22 percent) by decreasing by 0.36 percent. As a result, the country had a red ink in trading with them to the amount of $0.880 billion.

During this period, about 5,241 legal and physical entities were involved in foreign trade operations, including 2,954 - legal entities and 2,287 - physical entities.

The share of public sector in exports totaled $6.67 billion, private sector - $697.6 million, the share of physical entities - $108.8 million.

The share of public sector in import operations amounted to $1.03 billion, the private sector - $4.1 billion, physical entities -$192.4 million.

Azerbaijan's trade operations with foreign countries in January-July 2015

source: Azerbaijani state customs committee