PremiumForeign trade of Azerbaijan (January-May 2015)

The foreign trade turnover with 133 world countries amounted to $9.35 billion in January-May 2015, or 28.01 percent less than in January-May 2014. The volume of exports decreased by 44.28 percent and amounted to $5.28 billion compared to January-May 2014. The volume of import increased by 15.91 percent and amounted to $4.07 billion.

Azerbaijan exported 1,424 goods and imported 5,285 different goods.

As of January-May 2015, the nominal index of export exceeded import. This formed the foreign trade surplus to the amount of $1.2 billion compared to over $5.9 billion in the same period of 2014.

The exports amounted to $1.01 billion, while imports - $665.1 million in May 2015.

The country's foreign trade surplus hit $346.88 million last month.

As in previous periods, oil, gas and oil products were mainly exported from Azerbaijan in January-May 2015.

Main products exported from Azerbaijan

Source: Azerbaijani state customs committee

Most of Azerbaijan's exports as of January-May 2015 (76.4 percent) fell to the export of crude oil. The exports of crude oil decreased by 50.85 percent compared to January-May 2014. This is connected with a decrease in the world oil prices.

Currently, SOCAR supplies oil from Azerbaijan to about 30 countries in Europe, Asia and America. Some 10-15 percent of Azerbaijani oil was supplied outside the Mediterranean 10 years ago. But this figure increased up to 45 percent. Italy (23 percent), Germany (11 percent), France (nine percent) are among its biggest European importers.

SOCAR's share in total exports of Azerbaijani oil is about 70 percent.

The export of Azerbaijani oil to Asia also increased. Some 20 percent of total exports of SOCAR's oil products accounted for the Asian region. Moreover, the supply of oil products to Georgia also increased. Some 12 percent of the total exports of oil products accounted for it.

The export of oil (according to the meters) was 13,869,064 metric tons in January-May 2015, which was 3.1 percent less than in January-May 2014 (14,316,554 metric tons). The export amounted to 2,744,516 metric tons in May 2015. Some 9,698,937 metric tons worth $4,035,238 were officially registered upon the customs declarations in January-May. The revenues decreased by 50.87 percent from year to year, while physical exports - by 3.3 percent.

The physical export of oil products from Azerbaijan continued accelerating in May 2015. This allowed keeping the growth in export revenues, which began in February. The export of oil products from the country amounted to 1,064,386 metric tons worth $378,560,460 in January-May 2015. This is by 8.78 percent less than the export for the same period of 2014 ($415,007,120). The export growth was 1.85 times from year to year. The export of oil products ensured 7.17 percent of the country's total exports in January-May.

The export of gas from Azerbaijan (according to the meters) increased by 4.17 percent in January-May compared to 2014. The gas supplied for export, according to the meters, amounted to 3.842 billion cubic meters in January-May 2015 compared to 3.688 billion cubic meters in January-May 2014. Some 795,560 cubic meters worth $127.346 million were registered upon the cargo customs declarations in January-May compared to 1,087,095 cubic meters in the amount of $189.331 million in January-May 2014. As a result, the physical export of gas reduced by 26.8 percent and revenues - 32.64 percent.

Azerbaijan exported 140.8 million kilowatt / hours of electricity upon customs declarations in January-May 2015 compared to 289.07 million kilowatts / hours exported in the same period in 2014. Azerbaijan exported electricity worth $8.3 million compared to $ 13.4 million for the same period in 2014.

The exports of chemical products increased by three times in January-May 2015. The exports of chemical products reached $57.551 million in January-May or 1.09 percent of total exports. The exports of plastics and its items also increased. As of June 1, 2015, it reached $48.726 million or 0.92 percent of total exports. It increased by 8.5 percent compared to the same period of last year. It hit $44.9 million or 0.47 percent of exports decreasing by 26.4 percent.

The export volume of fruits and vegetables, which is the basis of the agricultural exports of Azerbaijan, has greatly increased. According to the committee, exports of Azerbaijan's agricultural products increased by 3.45 percent in January-May 2015 compared to January-May 2014.

Its supplies to Russia's markets increased. The logistics centers are built in Azerbaijan and outside the country for storage, transportation, export and sale of agricultural products

In this period, the largest amount of export fell on Italy in January-May 2015. Thus, during this period Azerbaijan exported goods totaling $1.24 billion to Italy which makes up 23.55 percent of a total export volume. Oil and oil products are mainly exported to this country.

Thus, Italy was the main buyer of oil produced in Azerbaijan in 2014. Some 23 percent of the total oil exports accounted for this country.

Germany ($687.1 million) and France $356.79 million) hold leading positions. Italy has maintained its leading position since 2008 excluding early three months. Turkey took a lead in January and U.S. in February and March 2008.

Russia ranks first on largest import volume ($660.78 million) in January-May 2015. About $16.24 percent of the Azerbaijani imports fell to it. The US ranks second - $557.1 million and Turkey - third ($522.3 million).

Most of Azerbaijan's imports or 21.47 percent in the reporting period fell to the import of vehicles and spare parts. They were imported to the amount of $873.50 million in January-May 2015 or by 3 times more than in 2014.

This kind of import ranked first.

However, despite an increase in the value of imports of these products, the physical import of cars to Azerbaijan in January-May 2015 decreased twofold. Some 15,495 cars were imported to Azerbaijan in January-May 2015 compared to 30,576 cars imported in the same period of 2014.

Some 13,912 vehicles of the total number of vehicles imported in January-May 2015 accounted for the cars and motor vehicles. Some 27,444 cars and motor vehicles were imported into the country in January-May 2014. Moreover, some 952 trucks were imported to Azerbaijan in January-May 2015 (2,765 trucks in January-May 2014). The rest import accounted for other types of vehicles.

According to the Georgian National Statistics Service's report on the foreign trade, as of the first five months of this year, the car import decreased from Georgia by five times.

Some 2,019 cars were exported from Georgia to Azerbaijan in January-May 2015 or by 5.4 times less than in the same period of last year. During this period, the vehicles worth $37.9 million were exported from Georgia to Azerbaijan.

For comparison, Georgia exported 10,900 cars in the amount of $121.7 million to Azerbaijan in January-May 2014.

The share of this category in the total volume of Georgian exports to Azerbaijan for five months of this year amounted to 32.5 percent. The share of Azerbaijan in the country's total exports amounted to 17.5 percent. The exports of passenger cars from Georgia to Azerbaijan in terms of value decreased by 3.2 times and quantitatively - by 8,900 cars compared to the same period of last year. For comparison, Georgia exported 10,900 cars in the amount of $121.7 million to Azerbaijan in January-May 2014.

Azerbaijan passed to the Euro-4 ecological standard. That's why, the car supply volumes declined. It has been used since April 1, 2014. The introduction of Euro 4 standard greatly limits the import of used vehicles. Most of vehicles imported from Georgia to Azerbaijan accounted for the used cars.

The vehicles, mechanisms, electrical appliances, equipment in the amount of $861.72 million (a share in total imports - 21.18 percent) were brought to the country.

Thus, the import of ferrous metals ranks second in terms of an import volume in the country during the period. The share of these products in a total import volume of the country hit 16.84 percent in January-May 2015, while this volume was 685.19 million manat in nominal terms.

The cost of grain import increased twofold.

As a result, as of January-May 2015, the cost of almost all goods imported into the country increased. This is connected with the devaluation of the manat.

Main products imported to Azerbaijan

source: Azerbaijani state customs committee

According to the Azerbaijani State Customs Committee, the countries-non-EU and CIS members did not restore their status as the main trading partners of the country in January-May. These countries formed the foreign trade turnover of Azerbaijan by 41.18 percent or $3.850 billion, while the EU countries - by 47.55 percent ($4.446 billion). Only 11.27 percent or $1.053 billion accounted for the CIS.

Azerbaijan's exports to the EU countries amounted to $3.303 billion in January-May, or 62.54 percent of a total export volume ($5.282 billion) amid a 33.25 percent decrease. Imports from EU ($1.142 billion) increased by 5.4 percent and amounted to 28.09 percent of a total import volume ($4.067 billion). As a result, the country had a black ink of trade balance with the EU at the level of $2.161 billion. This exceeded the country's foreign trade surplus ($1.214 billion).

The exports to the countries-non-EU and CIS members dropped by 57.16 percent - to $1.807 billion in January-May or 34.22 percent of a total export volume, while imports increased by 29.98 percent and hit $2.042 billion or 50.21 percent of the total import volume. As a result, Azerbaijan received a $0.235 billion red ink with these countries.

The exports to the CIS countries for the period totaled $0.171 billion (3.24 percent of the total export volume) by decreasing by 44.88 percent and imports - $0.882 billion (21.7 percent) by increasing by 3.34 percent. As a result, the country had a red ink in trading with them to the amount of $0.711 billion.

During this period, about 4,453 legal and physical entities were involved in foreign trade operations, including 2,650 - legal entities and 1,803 - physical entities.

The share of public sector in exports totaled $4.69 billion, private sector - $550.55 million, the share of physical entities - $45.65 million.

The share of public sector in import operations amounted to $824.67 million, the private sector - $3.1 billion, physical entities -$144.23 million.

Azerbaijan's trade operations with foreign countries in January-May 2015

source: Azerbaijani state customs committee