Economic Development in Azerbaijan

[LegionnairE]

maybe we should merge national banks and start using the same currency

 

[Azeri440]

Pirallahi High Technology Park , the first phase of the project is focusing on education and will provide 3,000 jobs.

 

[Azeri440]

Ukraine offers to use Trans-Caspian route

Ukraine has offered its cargo carrier companies to use the Trans-Caspian International Transport Route for transporting goods to Central Asia bypassing Russia.

The Ukrainian Infrastructure Ministry reported that a test container train will depart from Ilyichevsk on January 15on the Ukraine-Georgia-Azerbaijan-Kazakhstan-China route (via the Caspian Sea and the Black Sea).

"This route is a new direction of Silk Road and an alternative, which will allow redirecting cargo traffic in an easterly direction, bypassing the Russian territory. It includes ferry crossings of the Black Sea and the Caspian Sea (Ilyichevsk-Batumi and Alat-Aktau) and is designed to become competitive to the traditional overland route," the ministry said.

The opportunities of Trans-Caspian International Transport Route, which enjoys an opportunity to become attractive and profitable for consignors from European countries, were presented to the cargo carrier companies of Ukraine during a road show on November 16, 2015 and at the international forum “Bridging Europe and Asia: a new look at the formation of transcontinental routes” in Odessa on December 3.

"Technologies, accelerated delivery times and tariff conditions were agreed and its operators were defined to run the container train. The test container train will open up an alternative way to deliver cargo from Ukraine to the countries of Central Asia. The container train will include approximately 20 wagons," the ministry added.

The Trans-Caspian International Transport Route will transport approximately 300,000-400,000 containers by 2020, bringing hundreds of millions of manats in profit to Azerbaijan.

The first container train on this route arrived at Baku International Sea Trade Port from China in August. The train, consisting of 44 wagons, departed from the Alashankou export station of the Chinese Urumqi-Xinjiang province and arrived in Tbilisi in eight days transiting through the territory of Azerbaijan.

An agreement creating a coordinating committee to develop a Trans-Caspian International Transport Route was signed by Kazakh, Georgian, and Azerbaijani representatives in late 2013.

The project is being implemented by Kazakhstan Temyr Zholy, China Railways, Azerbaijan Railways, Azerbaijan Caspian Shipping Company and Baku International Sea Trade Port.

Ukraine offers to use Trans-Caspian route - AzerNews

 

[Kebapçı Erhan]

Manat went down. Oil prices had big effection maybe!

 

[Azeri440]

Joint working group to be established with Microsoft at Ministry of Communications and High Technologies

First Deputy Minister of Communications and High Technologies and Acting Minister Ramin Guluzade met with Michael Koegler, Microsoft’s General Manager for Central and Eastern Europe.
The ministry told AZERTAG that the meeting discussed the issues of Microsoft software licensing used in Azerbaijan’s government agencies and acting of the Ministry of Communications and High Technologies as partner in this issue, application of new technologies in electronic signature algorithms.
Michael Koegler said that Microsoft is interested in cooperation with Azerbaijan and expansion of this cooperation.
Ramin Guluzade said the ministry is open to the cooperation and it was suggested that a working group be established on the basis of proposals put forward.
The working group is to examine the current state and develop concrete proposal regarding prospects for cooperation.

Joint working group to be established with Microsoft at Ministry of Communications and High Technologies - TASİM

 

[Azeri440]

Manat went down. Oil prices had big effection maybe!

Azerbaijan actually handled the collapse of oil prices fairly well, there was simply nothing left to do about Manat.
When you compare to other countries such as Algeria,Saudi Arabia and other countries, Azerbaijan only has a deficit of 3-4% while they have a deficit of 20+%.

Azerbaijan simply didn't have enough time to diversify its economy, Azerbaijan only started benefiting from oil for a little over a decade. In that time Azerbaijan went from one of the poorest countries in the region to one of the most developed.
Azerbaijan had major infrastructure problems, massive environmental problems, health care problems, education problems.

 

[Azeri440]

Another major port will be built in Azerbaijan to support the future industry that will be created in Hovsan
Hovsan is a new development project by Azerbaijan Investment Company

Administrative buildings in the Port area.

 

[Azeri440]

Ukraine offers to use Trans-Caspian route

Ukraine has offered its cargo carrier companies to use the Trans-Caspian International Transport Route for transporting goods to Central Asia bypassing Russia.

The Ukrainian Infrastructure Ministry reported that a test container train will depart from Ilyichevsk on January 15on the Ukraine-Georgia-Azerbaijan-Kazakhstan-China route (via the Caspian Sea and the Black Sea).

"This route is a new direction of Silk Road and an alternative, which will allow redirecting cargo traffic in an easterly direction, bypassing the Russian territory. It includes ferry crossings of the Black Sea and the Caspian Sea (Ilyichevsk-Batumi and Alat-Aktau) and is designed to become competitive to the traditional overland route," the ministry said.

The opportunities of Trans-Caspian International Transport Route, which enjoys an opportunity to become attractive and profitable for consignors from European countries, were presented to the cargo carrier companies of Ukraine during a road show on November 16, 2015 and at the international forum “Bridging Europe and Asia: a new look at the formation of transcontinental routes” in Odessa on December 3.

"Technologies, accelerated delivery times and tariff conditions were agreed and its operators were defined to run the container train. The test container train will open up an alternative way to deliver cargo from Ukraine to the countries of Central Asia. The container train will include approximately 20 wagons," the ministry added.

The Trans-Caspian International Transport Route will transport approximately 300,000-400,000 containers by 2020, bringing hundreds of millions of manats in profit to Azerbaijan.

The first container train on this route arrived at Baku International Sea Trade Port from China in August. The train, consisting of 44 wagons, departed from the Alashankou export station of the Chinese Urumqi-Xinjiang province and arrived in Tbilisi in eight days transiting through the territory of Azerbaijan.

An agreement creating a coordinating committee to develop a Trans-Caspian International Transport Route was signed by Kazakh, Georgian, and Azerbaijani representatives in late 2013.

The project is being implemented by Kazakhstan Temyr Zholy, China Railways, Azerbaijan Railways, Azerbaijan Caspian Shipping Company and Baku International Sea Trade Port.

Ukraine offers to use Trans-Caspian route - AzerNews

Ukraine sending first cargo to China through Azerbaijan.

 

[asia2000]

Those new buildings look amazing.

 

[Azeri440]

Seems I missed this development, SOCAR will become a massive company within a decade.

Azeri LNG Hub in Malta

The MOU targets strategic collaboration in the oil and gas sector as part of the government’s vision to transform energy and petroleum sectors into key value added economic activities. To this end, both sides identified a number of key areas.

The European Union is also looking southwards to develop a “southern gas corridor” for natural gas from Azerbaijan to fuel the European mainland.

A key policy that also ties in with the Maltese government’s prospective energy shift to gas, supplied by Azeri state corporation SOCAR, will be the creation of the southern corridor running from the Caspian region and into Italy.

The more interesting keyword is the “Mediterranean gas hub” which the EU would like to develop in the south of Europe together with North African and Eastern Mediterranean partners.

Malta will be supplied with natural gas on an 18-year charter of a floating storage unit from SOCAR Trading, which has the exclusive right to supply LNG to a new 200MW plant at Delimara.

Prime Minister of Malta Joseph Muscat will be visiting Azerbaijan late next month. Muscat's delegation comprised chief of staff Keith Schembri, spokesperson Kurt Farrugia and energy minister Konrad Mizzi, ostensibly to discuss long-term gas supplies for the LNG power plant that ElectroGas will construct at Delimara.

Azeri LNG Hub in Malta

 

[Saithan]

How does this route bypass Russia ? I can't get a good picture of how this trans-caspian route goes all the way from one end to the other.

 

[Azeri440]

How does this route bypass Russia ? I can't get a good picture of how this trans-caspian route goes all the way from one end to the other.

Ukraine uses ferries to reach Georgia and once again ferries are used from Azerbaijan to Kazakhstan.

 

[Azeri440]

Germany’s EPC Group launches industrial equipment plant project in Azerbaijan

The presentation of the project on the construction of a competitive plant for production of industrial equipment has been conducted today.

At the presentation Deputy Economy Minister Niyazi Safarov has stated that design and engineering work within the project will be carried out by German engineering company EPC Group.

"The plant will be constructed by Garadagh plant of metal structures – AzeriSteel. The enterprise will produce various equipment for oil and gas and chemical industries, pharmaceutical and food industries. The cost of the plant project is 32 million euro, and within the project it is planned to open more than 700 jobs," Safarov said.

The construction of plant AzeriSteel was financed due to a concessional loan of AZN 10 million through the National Entrepreneurship Support Fund in Azerbaijan.

Germany’s EPC Group launches industrial equipment plant project in Azerbaijan - ABC.AZ

 

[Azeri440]

Finally.

Construction of Georgian part of Baku-Tbilisi-Kars railway completed

The construction of the Georgian part of Baku-Tbilisi-Kars railway has been completed, director of the Georgian Railways Mamuka Bakhtadze told journalists.

He stressed the importance of the project for the 3 countries.

“We believe that the neighboring countries will finish the construction in time, and the Baku-Tbilisi-Kars railway will be launched this year,” he underlined.

Construction of Georgian part of Baku-Tbilisi-Kars railway completed - AZERTAC - Azerbaijan State News Agency

Baku port can become free economic zone

Baku International Sea Trade Port can become a free economic zone (FEZ), which would enable to bring about $1 billion of foreign investments, Taleh Ziyadov, the port’s director general, told reporters Jan. 19.

“Our idea is to create not only a transit recovery, but also an economic one around the new Baku port. In global practice, this is achieved through the establishment of free, or special economic zones,” Ziyadov said.

He also said there is a proposal to create a free economic zone around the Alat port, as in Hong Kong or Jebel Ali, adding this will give a momentum to the non-oil sector’s development.

“This proposal is still at the project stage,” he noted.

“A part of the work has already been done. The initial conceptual master plan of the FEZ has been prepared,” Ziyadov said. “Conditions will be created in the port not only for transhipment of cargos, but also for packing and storing them. Creating the FEZ is extremely important from an economic point of view.”

This will allow attracting both domestic and foreign investments, he added.

“As practice shows, the state invests in creation of an appropriate infrastructure, and the rest of the investments are put from abroad by individuals. We believe the creation of a free economic zone here is one of the most important areas for attracting foreign investments in Azerbaijan’s non-oil sector,” Ziyadov added.

“It is difficult to talk about the exact amount of investments, but about $1 billion will be attracted in the first few years,” he added.

Baku port can become free economic zone

Several major global ports want to co-op with Azerbaijan – Baku port head

Baku International Sea Trade Port has received proposals for cooperation from a number of the world's largest ports, director general of the port Taleh Ziyadov told reporters Jan.19.

“We receive a lot of applications with an offer of cooperation,” Ziyadov said. “We work closely with ports of Singapore, Dubai, Antwerp and Rotterdam, which have sufficiently attractive offers to come and work here. Large logistics companies also have the same desire, which is associated with strategically important geographical position of Azerbaijan, which is located close to large global markets and has stable economic basis.”

The construction of the new international sea trade port began in November 2010.

Implementation of all three phases of the port’s construction in the Alat settlement will cost 870 million manats.

The first phase, which is the main one, is estimated to cost 540 million manats. The cost of the second and third phases is estimated at 150 and 180 million manats, respectively.

The second phase envisages the construction of additional three cargo berths, and the third one – the construction of additional two cargo berths.

In the second phase, the port’s cargo transshipment capacity will reach 17 million tons of cargo, and 150,000 containers, and once the third phase ends this figure will be 25 million tons of cargo and one million containers.

Several major global ports want to co-op with Azerbaijan – Baku port head

 

[Azeri440]

ATEF Large Power Transformer Plant

Launched in 2015, this facility is designed for the mass production of high-quality transformers with power up to 1000 MVA and a voltage class up to 520kV. The newest of ATEF’s four plants, this location has been fully outfitted with the latest manufacturing technology and is equipped with DEMAG cranes that can handle components weighing up to 500 tonnes, as well as SACMA slitting line, GEORG cut-to-length line, and Hedrich vacuum chambers.

These transformers are exported to Canada, South African Republic, Iraq, Bahrain, Bulgaria, Russia, Ukraine, Moldova, Kazakhstan, Turkmenistan, Uzbekistan, Georgia and other countries.

ABOUT US | ATEF Group