Transcript Slide 1

Why Agriculture matters?
 Major driver of diversification away from
oil and gas resources
 Largest employer in the country,
providing ca. 40% of employment
 47% of the population lives in rural areas
 9 out of 11 climatic zones existing
worldwide
Agro-Economic Indicators
 Share of agriculture in national GDP –
5,1% (downward trend over last decades)
 Share of non-state agricultural sector in
agricultural GDP - 99,4
(second
largest after trade and services sector)
 On average 5% growth over the last
decade
Land and crop indicators
 Arable land is 22% of the total territory
 Cultivated crop areas: cereals and leguminous
– 63,8%, potato and vegetable – 10,2%, fodder
crops – 23,5%, industrial crops – 2,5%
 In 2014 Crop production – 51%, Livestock
production – 49% (shift towards livestock, 56 and
44% respectively in 2013 )
Export Performance
 Second largest exporter after oil and gas
 Major agro-food export products: fresh and
canned fruit and vegetables, nuts, caviar,
wines, etc.
 Main agro-food export destinations: CIS
countries mainly (Russia, Ukraine, Belarus),
EU states, Turkey, etc.
Main national strategies on
agricultural development
 State Program on reliable provision of
food (2008-15): self-sufficiency objective
 Vision into Future: Azerbaijan 2020:
agriculture could be a major contributor
to doubling of GDP in 2020
State support to agriculture
 Tax exemptions (profit tax, VAT, simplified tax, property
and income tax) for agricultural producers, except land tax
 Input subsidies (farm machines, seeds, pedigree
animals, fertilizers, lubricants, irrigation water)
 Acreage based subsidies
 Soft loans for producers and processors (for
construction of cold storage facilities, greenhouses,
broilers, cattle rearing complexes, etc.)
Agro-food trade turnover
between Azerbaijan and
Belgium
 Major agro-food imports from Belgium:
for almost 40 tariff lines (pastries,
confectionaries, chocolates, pears, live animals,
products made from potato, etc)
 Major agro-food exports to Belgium: nuts
(in a very limited amount)
Platforms for
Cooperation
 Food and Agriculture Exhibition held
annually in May, in Baku, Azerbaijan
 Intergovernmental Agreements on
Agricultural Cooperation (in veterinary
and phytosanitary fields)