Foreign trade of Azerbaijan (January-March 2016)

The foreign trade turnover with 140 world countries amounted to $3.61 billion in January-March 2016, or 37.98 percent less than in January-March 2015. The volume of exports decreased by 47.38 percent and amounted to $1.78 billion compared to January-March 2015. The volume of import decreased by 24.9 percent and amounted to $1.83 billion. Azerbaijan exported 1,249 goods and imported 5,352 different goods.

A negative balance worth $ 45.3 million was formed in Azerbaijani foreign trade operations during this period. For comparison, foreign trade surplus worth $955.24 million was formed in the first quarter of 2015.

As in previous periods, oil, gas and oil products were mainly exported from Azerbaijan in January-March 2016.

Main products exported from Azerbaijan

Source: Azerbaijani state customs committee

Most of Azerbaijan's exports as of January-March 2016 (76.01 percent) accounted for the export of crude oil. During the reporting period, the country exported oil worth $1.35 billion. The cost of crude oil exports decreased by 48.54 percent compared to January-March 2015. This is connected with a decrease in the world oil prices.

Currently, SOCAR supplies oil from Azerbaijan to more than 30 countries in Europe, Asia and America. The largest importers are Italy (25 percent), Germany (13 percent), Indonesia (10 percent), Israel (9 percent) and France (8 percent).

The physical export of oil products from Azerbaijan decreased in March 2016. The export proceeds decreased.

Some 422,700 tons of oil products worth $85.24 million were exported from the country in January-March. In financial terms, this is by 57.3 percent less than the export for the same period of 2015 ($199.6 million).

In physical terms, the export decreased by 29 percent from year to year.

Some 4.79 percent of the country's total exports in January-March accounted for the export of oil products.

Some 25 percent of SOCAR's total export of oil products accounted for Malta in 2015, while 16 percent - for Turkey. The volume of oil products supplied to Georgia increased. Some 14 percent of the total export of oil products accounted for Georgia. Among the top five importers are Gibraltar (10 percent) and Italy (9 percent). The main buyers of oil products are the Netherlands (22 percent), China (19 percent), Turkey and Russia (16 and 15 percent, respectively).

The export of gas from Azerbaijan (according to the measuring devices) increased by 1.32 percent in January-March 2016 compared to January-March 2015. According to the measuring devices, some 2.46 billion cubic meters of gas were exported from the country in January-March compared to 2.43 billion cubic meters in January-March 2015.

Some 597.6 million cubic meters of gas worth $95.4 million were registered upon the customs declarations in January-March 2016 compared to 487.8 million cubic meters worth $75.8 million in January-March 2015. As a result, the physical export of gas increased by 22.5 percent, and revenues - by 25.8 percent. The export price showed high efficiency in January-March 2016 (compared to the domestic prices) - $159.66. As of January-March 2016, the share of gas amounted to 5.36 percent in total exports compared to 1.76 percent for 2015.

Azerbaijan exported 44.04 million kilowatt / hours of electricity upon the customs declarations in January-March 2016 compared to 101.67 million kilowatt / hours, exported in the same period of 2015. Azerbaijan exported electricity in the amount of $2.13 million in January-March 2016 compared to $6.11 million for the same period of 2015.

The growth was observed in exports of ferrous metals in January-March. The export of ferrous metals increased by more than threefold, amounting to $21.66 million or 1.22 percent of total exports in January-March 2016.

The volume of exports of fruits and vegetables which are the basis of agricultural exports of Azerbaijan greatly increased. The exports of agricultural products in Azerbaijan increased by 20.33 percent in January-March 2016 compared to January-March 2015. The agricultural products are mainly supplied to the Russian markets. The logistics centers are being 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-March 2016. Thus, during this period Azerbaijan exported goods totaling $368 million to Italy which makes up 20.67 percent of a total export volume. Oil and oil products are mainly exported to this country. France ($200.89 million) and Germany $172.07 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 ($206.17 million) in January-March 2016. Some 11.29 percent of the Azerbaijani imports fell to it. Turkey ranks second - $197.98 million and Singapore - third ($172.32 million).

Most of Azerbaijan's imports or 27.42 percent in the reporting period accounted for the import of machinery, mechanisms, equipment, electrical equipment and spare parts. The machinery and equipment worth $500.67 million were imported in January-March 2016, which is by 0.09 percent more than in January-March 2015.

The import of ferrous metals consolidated its positions in the country's foreign trade. The share of these products in a total import volume of the country hit 16.08 percent in January-March 2016, while this volume was 293.7 million manat in nominal terms or by 2.63 percent less than in January-March 2015.

Vehicles and spare parts worth $212.97 million (a share in total imports - 11.66 percent) were supplied to the country. The car imports decreased by 68.65 percent compared to January-March 2015.

Some 1,362 cars were imported to Azerbaijan in January-March 2016 compared to 10,035 cars imported in the same period of 2015.

Some 1,235 vehicles of the total number of vehicles imported during this period accounted for the cars and motor vehicles. Some 9,256 cars and motor vehicles were imported into the country in January-March 2015. Moreover, some 97 trucks were imported to Azerbaijan in January-March (500 trucks in January-March 2015). 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.

Main products imported to Azerbaijan

source: Azerbaijani state customs committee

According to the Azerbaijani State Customs Committee, the countries-non-EU and CIS members restored their status as the main trading partners of the country in January-March. These countries formed the foreign trade turnover of Azerbaijan by 45.8 percent or $1.653 billion, while the EU countries - by 42.4 percent ($1.531 billion). Only 11.8 percent or $0.422 billion accounted for the CIS.

Azerbaijan's exports to the EU countries amounted to $1.020 billion in January-March, or 57.4 percent of a total export volume. Imports from EU ($0.511 billion) decreased by 17.5 percent and amounted to 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 $0.509 billion compared to the country's total trade surplus by $0.045 billion.

The exports to the countries-non-EU and CIS members dropped by 47.6 percent - to $0.643 billion in January-March or 36.1 percent of a total export volume, while imports - by 21.7 percent and hit $1.010 billion or 55.3 percent of the total import volume. As a result, Azerbaijan received a $0.367 billion black ink with these countries.

The exports to the CIS countries for the period totaled $0.117 billion (6.6 percent of the total export volume) by increasing by 49 percent and imports - $0.305 billion (16.7 percent) by decreasing by 35.2 percent. As a result, the country had a red ink in trading with them to the amount of $0.188 billion.

During this period, about 4,965 legal and physical entities were involved in foreign trade operations, including 2,681 - legal entities and 2,284 - physical entities.

The share of public sector in exports totaled $1.57 billion, private sector - $190.86 million, the share of physical entities - $23.45 million.

The share of public sector in import operations amounted to $189.22 million, the private sector - $1.54 billion, physical entities -$93.59 million.

Azerbaijan's trade operations with foreign countries in Jan.-March 2016

source: Azerbaijani state customs committee