AGHDAM, Azerbaijan, July 19. A new tobacco manufacturing plant launched in Aghdam district has an investment value exceeding 58 million manat ($34.1 million), Elchin Kazimov, the spokesperson of the Economic Zones Development Agency, told reporters, Trend reports.
Speaking during a media tour at the newly inaugurated manufacturing facility in Aghdam Industrial Park, Kazimov highlighted the significance of this development for the region and the country’s economy:
“I would like to note that during the recent historic visit of the President to the Karabakh economic region, several important milestones were achieved. Notably, the tobacco products manufacturing facility commenced operations in the Aghdam Industrial Park, increasing the total number of active enterprises in Azerbaijan’s industrial zones to 99.
The launch of this facility is set to stimulate growth in the country’s non-oil sector, expand export markets, accelerate economic diversification, create significant employment opportunities, and most importantly, support the revitalization of Karabakh,” he emphasized.
The investment value of the tobacco products manufacturing enterprise exceeds 58 million manat ($34.1 million), and the factory currently employs approximately 400 permanent staff. The enterprise produces more than 120 varieties of tobacco products under over 20 different brands. Utilizing advanced technologies sourced from Germany, Italy, and the United Kingdom, the facility operates nine production lines," he said.
Kazimov highlighted that the enterprise has an annual production capacity of 20 billion cigarettes.
“The products are exported to the United Arab Emirates, Georgia, Uzbekistan, and Iraq.
Moreover, it is important to note that the Aghdam Industrial Park was established by a presidential decree on May 28, 2021, with the goal of restoring the liberated territories and developing industrial potential. The park provides a favorable business environment to support entrepreneurial activity. As a result, Aghdam Industrial Park ranks as the second-largest industrial park in the country by number of residents, following the Sumgayit Chemical Industrial Park.
To date, 30 business entities with total investments exceeding 270 million manat ($158.8 million) have been granted resident status, while 4 entrepreneurs hold non-resident status. Investors have already injected over 121 million manat ($71.1 million) into the park, creating more than 650 permanent jobs. The tobacco products manufacturing facility alone has generated around 400 new jobs, with the majority of employees coming from Aghdam and neighboring areas.
At present, 10 enterprises are operational within the Aghdam Industrial Park, construction is underway on 7 more, and design work is in progress for an additional 16 enterprises. More than 70 percent of the park’s territory has already been allocated for entrepreneurial use.
Entrepreneurs in the industrial park have sold products worth over 471 million manat ($277 million) to date, with exports accounting for 17.7 million manat ($10.4 million). In addition to serving the domestic market, these products are exported to countries such as Georgia, the United Arab Emirates, Uzbekistan, and Kazakhstan under the "Made in Azerbaijan" brand.
Business operators in the Aghdam Industrial Park benefit from state-funded infrastructure and enjoy full exemptions from property, land, and income taxes for ten years from their registration date. They are also exempt from VAT and customs duties on the import of machinery, technological equipment, and production facilities. As of July 1, this year, 150 certification documents have been issued to entrepreneurs in the park, enabling savings of over 8.5 million manat ($5 million) on imported machinery and equipment.
Meanwhile, Azerbaijan currently has 13 industrial zones, with 159 business entities holding an investment portfolio exceeding 8 billion manat ($4.7 million). Among these, one entity has been granted residency, while 13 entrepreneurs have been awarded non-resident status," he concluded.
Stay up-to-date with more news on Trend News Agency's WhatsApp channel
