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Azerbaijan confidently moving towards consumer-to-producer model - analyst

Politics Materials 29 January 2026 19:41 (UTC +04:00)
Azerbaijan confidently moving towards consumer-to-producer model - analyst
Ali Gasimov
Ali Gasimov
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BAKU, Azerbaijan, January 29. Azerbaijan is confidently moving towards the model of a country that turned from consumer into producer, the political analyst Azer Garayev told Trend.

According to him, in recent years, one of the top economic directions in Azerbaijan has been the policy of industrialization and expansion of the non-oil sector.

He said that amid volatility in global energy markets, geopolitical risks, and growing uncertainties in the world economy, it has become a vital necessity for countries to move away from a model based solely on natural resources and towards a sustainable and diversified economic structure.

The analyst noted that Azerbaijan has correctly assessed these challenges promptly and entered a new stage of development based on production, industry, and an export-oriented economy.

"In this context, the new enterprises commissioned and laid the foundations in the Sumgayit Industrial Park this month are not just individual economic projects, but a concrete expression of the future economic model of the country as a whole. Sectors such as mirror production, the cardboard and packaging industry, and polypropylene bags may seem small at first glance. However, in fact, these sectors constitute the main pillars of the industrial ecosystem and give impetus to the development of hundreds of other sectors.

The concept of industrial parks and industrial districts has been formed as a strategic tool in the country's economic policy. The state applies not only an incentive, but also a systematic approach to this area: it establishes infrastructure, provides concessions, and financial and institutional support. As a result, risks for entrepreneurs are reduced, and the investment environment becomes more predictable," he mentioned.

The analyst explained that the real results of this approach are already clearly visible.

"The industrial parks covering the territories of Sumgayit, Garadagh, Pirallahi, Mingachevir, Balakhani, Hajigabul, Aghdam, and Jabrayil have become not only production sites, but also economic centers where new technologies, professional personnel, and export-oriented business models are concentrated. The enterprises established there operate in an interconnected manner, forming an added value chain within the country. Mirror production plants, cardboard and packaging enterprises, and polypropylene bag factories - all of these are of great importance in terms of reducing dependence on imports. For many years, the majority of such products were imported from abroad. This meant both a loss of currency and dependence on supply chains. With the establishment of new production areas, Azerbaijan gains the opportunity to meet the needs of the domestic market with local products. This is especially important in times of crisis.

Against the backdrop of disruptions in global trade, logistics problems, and price increases, domestic production becomes the mainstay of economic security. At the same time, these enterprises are not only for the domestic market. Their products are now exported to dozens of countries. This means an increase in non-oil exports, strengthening of the national currency, and strengthening of the country's international economic positions," he said.

Garayev emphasized that the opening of new factories means jobs for thousands of people.

"This is not just a statistical indicator - each job means the well-being of a family, the confidence of a young person in the future, and the social stability of society. Industrial districts created in the regions, in particular, play an important role in preventing migration to the capital and in the economic activation of local communities. The jobs created in industrial parks are not only physical labor, but also include areas such as engineering, technology, logistics, marketing, and management. This incentivizes the expansion of the professional personnel base in the country and the orientation of young people towards modern specialties.

Most of the new enterprises are built on the basis of advanced technologies from countries such as China, Germany, and Türkiye. This means that the industry in Azerbaijan is moving to a qualitatively new stage. Automation, digital management, energy efficiency, and environmental standards are now becoming an integral part of production. This increases the competitiveness of the country's products in international markets. In other words, it's about manufacturing not just many, but also high-quality and standard-compliant products," he said.

According to him, one of the main distinguishing features of Azerbaijan's industrial policy is the partnership model formed between the state and business. The state establishes infrastructure, provides concessions, and provides financial support, while the entrepreneur builds production, generates jobs, exports, and pays taxes.

"Tax and customs concessions, cheap loans, and ready-made industrial sectors are the main pillars of this model. As a result, the interest of both local and foreign investors in the country is increasing. Industrial parks are no longer perceived as a 'risky project', but as a place of 'forecasted revenue'. The establishment of industrial parks, especially in liberated areas, marks the beginning of a new stage. The Araz Valley Economic Zone, formed in the direction of Aghdam and Jabrayil, is not only an economic project, but also an important element of socio-political rehabilitation. The establishment of production in these regions creates the basis for the return of internally displaced persons, the revival of the regions, and the restoration of economic life," he noted.

The analyst pointed out that every new factory opened in Azerbaijan today, every new line built is an investment in the future of the country.

"This is not measured only by economic indicators. This means independent decision-making capabilities, social stability, regional strength, and global competitiveness. The mirror, cardboard, and polypropylene enterprises opened in Sumgayit are only part of this grand strategy. The main issue is that Azerbaijan is confidently moving towards the model of a country that is no longer a consumer, but a producer, and this path is the most reliable guarantee of long-term prosperity, economic security, and national development," Garayev added.

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