Nov. 13
BTK railway opens up new opportunities for closer cooperation between Azerbaijan and Bulgaria, FM says
Azerbaijan's Foreign Minister Elmar Mammadyarov received Maya Hristova, the Ambassador of Bulgaria to Azerbaijan upon the termination of her diplomatic tenure.
During the meeting, the sides expressed satisfaction with the level of comprehensive development of cooperation between the two countries and high-level mutual visits.
Mammadyarov commended Ambassador Maria Hristova’s efforts in development of friendship and cooperation between our countries during her diplomatic mission.
He added that the launch of Baku-Tbilisi-Kars railway opens up new opportunities for closer cooperation between the two countries.
Ambassador Hristova expressed her gratitude for the support provided to run her diplomatic activities and noted that she speared no efforts to enhance bilateral relations during her diplomatic mission.
The Minister wished the ambassador every success in her future activities.
Minister: Azerbaijan can take advantage of US experience in renewable energy
Azerbaijan can take advantage of the US experience in the development of renewable energy sources and increasing energy efficiency, Azerbaijani Energy Minister Parviz Shahbazov said at a meeting with US Ambassador to Azerbaijan Robert Cekuta, the Azerbaijani Energy Ministry said.
Shahbazov said diplomatic relations between Azerbaijan and the US contributed greatly to the energy cooperation.
The Azerbaijani minister stressed the US' high role in the export of hydrocarbon resources to the world's markets.
"The US continues to render support which it once rendered for the Baku-Tbilisi-Ceyhan pipeline project, the Southern Gas Corridor, as well as its component - the Trans-Adriatic Pipeline (TAP),” the minister said. “At present, the work on the Southern Gas Corridor, which will ensure the diversification of energy supplies to Europe, is being carried out successfully.”
The minister added that energy security plays an important role in the Azerbaijan-US strategic relations.
"There is a great potential for cooperation in renewable energy sources and increasing energy efficiency in the future,” he said. “The US experience in introduction of new technologies can be used in the measures taken in this direction."
In his turn, Cekuta said that energy issues play an important role in the Azerbaijan-US relations.
The ambassador added that the US focuses on Azerbaijan as it is implementing the projects aimed at ensuring global energy security.
The letters sent by US President Donald Trump on the occasion of the Republic Day celebrated by Azerbaijan on May 28 and the 24th International Caspian Oil & Gas Exhibition and Conference, as well as the letter sent by US Secretary of State Rex Tillerson on the occasion of the Third Ministerial Meeting of the Southern Gas Corridor Advisory Council in Baku testify to the US attention towards Azerbaijan, Cekuta said.
Speaking about the strategic importance of the Southern Gas Corridor, the ambassador added that the project will also provide opportunities for gas supply to the Balkans.
The ambassador said the US will remain a long-term partner of Azerbaijan following the signing of a new agreement on the joint development of the Azeri-Chirag-Gunashli (ACG) block of oil and gas fields.
Cekuta is confident that new projects will further strengthen the partnership between the two countries.
The US is interested in cooperation by participating in projects that meet the interests of Azerbaijan, the ambassador added.
Cekuta said the necessary support will be rendered to the Azerbaijani Energy Ministry in the preparation of the Bill on the Electricity Market of Azerbaijan.
The meeting also discussed the upcoming meeting of OPEC and non-OPEC countries in Vienna, trends in the development of the oil market, as well as other aspects of energy cooperation.
First industrial clusters to be established in Azerbaijan
The first industrial clusters in Azerbaijan will appear in Sumgayit and Balakhani settlement, the director of the Research Institute of Economic Reforms, Vilayat Veliyev, told journalists.
The clusters will be formed around the SOCAR Polymer petrochemical complex in the Sumgayit Chemical Industrial Park and the Balakhani landfill for the disposal of solid domestic waste, he said.
"With the creation of clusters in Azerbaijan, a new stage in the development of industry will begin," he added.
Director of the Institute noted that, in particular, SOCAR Polymer will produce about 200 types of raw materials and semi-finished products on the basis of which small and medium-sized enterprises will be able to produce a large number of goods - from household appliances to complex machinery and machines.
"The creation of clusters will provide an opportunity for small and medium-sized businesses to unite around SOCAR Polymer and the Balakhani landfill for solid domestic waste utilization, and create their own production chain based on raw materials produced at these enterprises," Veliyev said.
He added that at present the government is working on the formation of a legal basis for the creation of industrial clusters, in connection with which various studies have been conducted and foreign experience has been studied.
The total cost of the SOCAR Polymer project is $750 million. In the first quarter of 2018, it is planned to put into operation a plant for the production of polypropylene, and in the third quarter - a polyethylene plant. At the first stage, the production capacity will amount to 120,000 tons of polyethylene and 180,000 tons of polypropylene. By 2021, the total capacity can reach 570,000 tons of products. The petrochemical complex will sell its products both inside the country and abroad - in Turkey, Europe and CIS countries.
The Balakhani landfill for solid domestic waste utilization was established in the 1960s, and since 2009 it has been transferred to the balance of Temir Şəhər OJSC. Since that time, the implementation of the project on integrated waste management in Baku jointly with the World Bank, which allowed the activities of the landfill to be brought into line with international standards, has been launched.
Nov. 14
Azerbaijan eyes to greatly reduce VAT on imports of butter, dairy products
There is a plan to reduce the value-added tax (VAT) rate from 18 to 10 percent when importing butter and several types of dairy products to Azerbaijan, Mirgasim Vahabov, head of the Main Department for Finance, Tariffs and Currency Control at the State Customs Committee, told ATV channel.
He noted that relevant amendments are planned to be introduced to the tax legislation and they can come to force as early as Jan. 1, 2018.
“Currently, preparatory work is being carried out in this direction,” he added.
At the same time, he reminded, entrepreneurs in Azerbaijan should be socially responsible and they shouldn’t set the maximum possible margin on the goods sold.
“In accordance with the law, entrepreneurs must set a margin of 20-30 percent of the value of the goods they sell,” Vahabov added.
Currently, tax and customs duties on the import of butter in Azerbaijan are 36 percent [15 percent - the customs rate, 18 percent - VAT, 3 percent - transportation costs].
On Nov. 7, the Cabinet of Ministers of Azerbaijan reduced the rate of customs duty on imports of butter and other fats from 15 to 5 percent. The decision will enter into force within 30 days after its publication and will be valid until Dec. 31, 2019.
Azerbaijan creating commission to coordinate business incubators’ activity
A commission to coordinate the activities of business incubators is being created in Azerbaijan, Deputy Economy Minister Sahib Mammadov said at an event titled “Development of Business Incubators, Entrepreneurial Mindset and Startups” in Baku.
The corresponding decision was made by participants of the event, he noted.
The commission will be established under the Azerbaijani Economy Ministry, he added. The commission will include representatives of business incubators operating in Azerbaijan and experts of this field, Mammadov said.
Sahib Mammadov noted that the creation of the commission will help apply a systematic approach in this area and support further development of business incubators.
Supporting entrepreneurship, including through the creation and development of business incubators, is one of the priorities of the Azerbaijani government’s social and economic policy, he added.
This has also been reflected in the Strategic Road Map on Production of Consumer Goods in Azerbaijan at the Level of Small and Medium-Sized Enterprises, he said.
At present, there are two business incubators operating in the Guba-Khachmaz economic region and the Aran economic region in Azerbaijan. It is planned to create a total of 15 innovative business incubators in Baku and Azerbaijani districts until 2020.
Azerbaijan's government also plans to create agricultural incubators.
Singapore Airlines appoints general sales agent in Azerbaijan, Georgia
Singapore Airlines Ltd., the flag carrier airline of Singapore, has appointed Aviareps AG company as its sole general sales agent in Azerbaijan and Georgia, the airline company said in a message.
Singapore Airlines Ltd. was founded in 1947, and was originally named Malayan Airways.
Founded in Germany in 1994, Aviareps AG owns 64 offices in 47 countries and has more than 100 airlines and 150 travel agencies in its portfolio of customers.
Nov. 15
Exporters can get tax privileges in Azerbaijan’s districts
The mechanisms have been prepared for providing the exporters operating in Azerbaijan's districts with tax privileges for the next 3 years, the Azerbaijani Ministry of Taxes said in a message.
This was said at a meeting of the country’s Ministry of Taxes dedicated to the implementation of measures reflected in the strategic roadmap on the prospects for the national economy.
The entrepreneurs working in Baku, Sumgait, Khirdalan and Absheron district will be unable to use the mechanisms. The entrepreneurs who privatized state property will receive property tax benefits.
Samira Musayeva, director general of the tax policy and strategic research department of the country’s Ministry of Taxes, delivered speech at the meeting.
She said that the ministry has prepared a project on tax benefit monitoring, their effectiveness and a number of other amendments to the legislation.
Azerbaijan to receive another remote sensing satellite
Azerbaijan’s Azercosmos OJSC will receive another high-resolution optical remote sensing satellite, a source in the country’s satellite communications market told Trend.
The acquisition of a new satellite by the company is stipulated in the strategy for development of information and communication technologies for 2018-2021.
"At present, Azerbaijan has a satellite capable of collecting imagery of up to 1.5-meter resolution," said the source. "This is a big advantage for Azerbaijan, since even a number of European countries use satellites collecting imagery at 10-meter resolution."
Azercosmos OJSC uses the resources of Azerbaijan’s low-Earth-orbit AzerSky satellite to provide services of remote sensing of the Earth.
The AzerSky satellite was transferred to Azerbaijan based on an agreement signed Dec. 2, 2014 between the Azercosmos OJSC and the French company Airbus Defence and Space.
Bosnia and Herzegovina offers Azerbaijan to cooperate in several spheres
Bosnia and Herzegovina offers Azerbaijan to cooperate in several spheres, Mayor of Bosnia and Herzegovina’s Olovo town Djemal Memagic said.
Memagic made remarks at the Azerbaijan-Bosnia and Herzegovina business meeting in Baku.
He added that the purpose of the visit of Bosnia and Herzegovina’s delegation is to reveal spheres in which both countries could cooperate in the future.
"Olovo town is widely known for its metallurgy, textile industry and construction,” Memagic said. “Bosnia and Herzegovina can offer Azerbaijan to cooperate in economy, tourism, as well as in some other spheres."
“Moreover, Azerbaijan carried out several successful reforms that we could apply in Bosnia and Herzegovina,” he said. “We are also trying to develop our economy and our country is very attractive for investment-making.”
The data of the Azerbaijani State Customs Committee shows that the trade turnover between Azerbaijan and Bosnia and Herzegovina amounted to about $713,000 for 10 months of 2017.
Azerbaijani products can be easily supplied to European countries’ markets
Azerbaijani products can be easily supplied to the European countries’ markets thanks to the cooperation between Azerbaijani and Bosnia and Herzegovina’s companies, Rufat Mammadov, head of the Azerbaijan Export and Investment Promotion Foundation (AZPROMO), told Trend.
Mammadov said that Azerbaijani products can be supplied to the European countries’ markets due to Bosnia Herzegovina’s free trade agreement with the European Union. "We can also offer Bosnia and Herzegovina’s companies to supply goods to the markets of the CIS countries with which Azerbaijan has a free trade agreement, that is, the issue is mutual interest," he said. "Of course, we are still at the early stages of bilateral trade and investment relations. But there are so many opportunities that can be used to increase the trade turnover and the presence of Azerbaijani business in this market."
"Azerbaijan and Bosnia and Herzegovina held many business meetings and business forums," Mammadov said. "The enterprises and companies from Bosnia and Herzegovina’s Olovo town have been represented at the Azerbaijan-Bosnia and Herzegovina business meeting in Baku Nov. 15."
"Business circles of the two countries are interested in a wide range of issues, primarily in such areas as construction, heavy engineering, automotive industry, agriculture, food industry, textile industry, furniture industry and various sectors of manufacturing industry."
"Azerbaijani companies, working in agriculture, agrarian industry, processing industry and food production, are already operating in Bosnia and Herzegovina’s market," he said. "It is a traditional sector for Bosnia and Herzegovina and Azerbaijan."
"The companies of the two countries also cooperate in the furniture industry," Mammadov said. "There are great prospects for establishing cooperation in the textile industry, which is now actively developed in Azerbaijan. Bosnia and Herzegovina also has skills in textile industry."
"We are organizing export missions to the priority foreign markets through the Made in Azerbaijan brand," he said. "It is early to say about the date of the visit of the Azerbaijani exporters to Bosnia and Herzegovina. Nevertheless, if there is an interest, we can organize an export mission to this country to promote Azerbaijani products in this market. Everything will depend on the agreements reached by our companies within today's business forum and previous business meetings."
Azerbaijan, Brazil agree to intensify economic relations
Azerbaijan and Brazil have agreed to intensify economic relations, Azerbaijani Foreign Minister Elmar Mammadyarov said at a joint press conference with his Brazilian counterpart Aloysio Nunes Ferreira, who is on an official visit to Baku.
The Azerbaijani minister added that trade turnover between the two countries amounted to $160 million and stressed the need to increase this volume.
As for the relations in the political sphere, especially within the international organizations, he stressed that the positions of the two countries coincide on most issues.
“The two countries plan to hold consultations in the political and economic spheres in 2018,” Mammadyarov said. "Political consultations will be held in Baku, while economic consultations in Brazil. It would be better for both sides to hold a business forum."
Moreover, the minister said that a meeting will be held at the level of foreign ministers within the Non-Aligned Movement in Baku in April 2018.
"We have invited the Brazilian foreign minister to this event," Mammadyarov added.
Nov. 16
Azerbaijan took serious step to develop non-resource based exports
Azerbaijan has taken a serious step forward for the development of non-resource based exports, said Elgiz Kachaev, chairman of the Committee for Entrepreneurship and Consumer Market Development of St. Petersburg, at the Azerbaijan-Russia business meeting in Baku.
He said trade turnover between St. Petersburg and Azerbaijan is increasing. Thus, he continued, exports from St. Petersburg to Azerbaijan rose 2.5 times and imports from the country increased by almost five times in the first half of 2017.
Speaking about the importance of establishing relations with Azerbaijan, Kachaev said St. Petersburg is interested in importing quality products, and Azerbaijani goods have already turned into a brand.
Russia is one of the main economic and trade partners of Azerbaijan. Russia’s investments in Azerbaijan’s economy exceed $3.7 billion. Azerbaijani entrepreneurs invested over $1 billion into the Russian economy.
The data from the Azerbaijani State Customs Committee shows that trade turnover between Azerbaijan and Russia amounted to almost $1.66 billion in January-October 2017, which makes up 10.35 percent of the entire trade turnover between Azerbaijan and other countries.
Balance of SMART-cards can now be topped up at Azerpost offices
Devices used for topping up the balance on electricity SMART-cards of Azerishig OJSC have become available in 162 post offices of Azerpost LLC, the Azerbaijani Ministry of Transport, Communications and High Technologies said in a message.
Azerbaijan’s postal communications operator Azerpost LLC has also installed 300 devices for topping up the balance on gas SMART-cards.
Azerpost LLC previously told Trend that it is negotiating with Azersu OJSC to introduce the same devices for water SMART-cards at the postal network’s offices.
Heydar Aliyev Foundation, Caspian International Hospital ink co-op agreement
The Heydar Aliyev Foundation and Caspian International Hospital have signed an agreement on cooperation.
The Foundation told Trend that under the agreement, surgical, resuscitative and other health examinations and treatment of thalassemia patients, which is impossible to conduct in the Republican Thalassemia Center, will be carried out in the Caspian International Hospital free of charge.
The signing of the agreement is a part of plan of actions to provide thalassemia patients in the Republican Thalassemia Center with a wide range of quality medical services.
Moreover, when the Heydar Aliyev Foundation sends various individuals for examination and treatment to foreign countries, assistance will be provided in establishing links with relevant clinics and collecting documents.
Treatment at the Caspian International Hospital is provided free of charge or under special benefits.
President Ilham Aliyev receives Kazakh first deputy PM
President of the Republic of Azerbaijan Ilham Aliyev has received First Deputy Prime Minister of the Republic of Kazakhstan Askar Mamin.
Nov. 17
Azerbaijani products can be easily supplied to European countries’ markets
Azerbaijani products can be easily supplied to the European countries’ markets thanks to the cooperation between Azerbaijani and Bosnia and Herzegovina’s companies, Rufat Mammadov, head of the Azerbaijan Export and Investment Promotion Foundation (AZPROMO), told Trend.
Mammadov said that Azerbaijani products can be supplied to the European countries’ markets due to Bosnia Herzegovina’s free trade agreement with the European Union.
"We can also offer Bosnia and Herzegovina’s companies to supply goods to the markets of the CIS countries with which Azerbaijan has a free trade agreement, that is, the issue is mutual interest," he said. "Of course, we are still at the early stages of bilateral trade and investment relations. But there are so many opportunities that can be used to increase the trade turnover and the presence of Azerbaijani business in this market."
"Azerbaijan and Bosnia and Herzegovina held many business meetings and business forums," Mammadov said. "The enterprises and companies from Bosnia and Herzegovina’s Olovo town have been represented at the Azerbaijan-Bosnia and Herzegovina business meeting in Baku Nov. 15."
"Business circles of the two countries are interested in a wide range of issues, primarily in such areas as construction, heavy engineering, automotive industry, agriculture, food industry, textile industry, furniture industry and various sectors of manufacturing industry."
"Azerbaijani companies, working in agriculture, agrarian industry, processing industry and food production, are already operating in Bosnia and Herzegovina’s market," he said. "It is a traditional sector for Bosnia and Herzegovina and Azerbaijan."
"The companies of the two countries also cooperate in the furniture industry," Mammadov said. "There are great prospects for establishing cooperation in the textile industry, which is now actively developed in Azerbaijan. Bosnia and Herzegovina also has skills in textile industry."
"We are organizing export missions to the priority foreign markets through the Made in Azerbaijan brand," he said. "It is early to say about the date of the visit of the Azerbaijani exporters to Bosnia and Herzegovina. Nevertheless, if there is an interest, we can organize an export mission to this country to promote Azerbaijani products in this market. Everything will depend on the agreements reached by our companies within today's business forum and previous business meetings."