Non-oil exports of the Republic of Azerbaijan by individuals instead of companies
| One point in Azerbaijan's non-oil exports is noteworthy: in terms of the volume of exports in the private sector, the first place is not occupied by a company, but by a person who, despite the high volume of exports, does not have much information about this person in publicly available sources. |
According to the international group Tasnim news agency, last year the Analysis and Communication Center The Economic Reforms of the Republic of Azerbaijan published the “Overview of Exports” report, which includes indicators related to exports in the non-oil sector of this country. According to published statistics, the total export of Azerbaijan in the non-oil sector in 2023 was 3.3 billion dollars. Compared to 2022, a 9.8% increase in non-oil exports was recorded. Despite this growth, the share of the non-oil sector in the total export of this country is still very small. Last year, the share of the non-oil sector in Azerbaijan’s exports was only 9.88%. About 30% of the country’s exports in the non-oil sector are food products. During the year, Azerbaijan was able to sell food products worth 928 million dollars to foreign countries.
Most exported products
In 2022, the country’s most profitable non-oil product is the export of urea (carbamide) worth 210 million dollars. During the year, Azerbaijan earned 403 million dollars due to the export of electricity. The country’s income from electricity exports has increased 3.5 times compared to 2022.
During the last year, approximately 12% of Azerbaijan’s total non-oil exports were provided through electricity. The volume of electricity export has also more than doubled and reached 4.32 billion kilowatt hours from 1.71 billion kilowatt hours compared to 2022.
Among the indicators of the State Customs Committee of Azerbaijan, in the first 11 months In 2023, it is clear that Azerbaijan’s electricity exports have increased due to the sale of electricity to two countries, Turkey and Georgia. Azerbaijan has sold 263 million dollars to Turkey and 111 million dollars to Georgia in the last 11 months of last year.
The fact that electricity is the largest export in the non-oil sector of Azerbaijan indicates that The non-oil sector of this country is also dependent on the oil and gas sector. The fact is that according to the statistics announced by the Ministry of Energy of Azerbaijan, 93% of the country’s electricity is produced from natural gas. has it. Therefore, electricity production in Azerbaijan is cheaper than other countries. In addition, Azerbaijan’s non-oil exports are not only electricity, but also raw materials for several other products such as oil and gas. In this way, it is clear that, in fact, an important part of Azerbaijan’s non-oil exports is based on oil and gas resources, and the real share of non-oil exports from the total export is less than 10%.
Another argument that this Backing up the claim is that, as strange as it may sound, the second largest non-oil exporter in Azerbaijan is the State Oil Company of the Azerbaijan Republic (SOCAR).
The second most profitable product from The mentioned export is gold. Azerbaijan has earned 163 million dollars from gold exports this year. It should be kept in mind that the export of this product was at the cost of the country’s natural wealth, not the amount of production.
Tomato is another non-oil export product. Azerbaijan exported 162 million dollars worth of tomatoes last year. In 2023, dates ($127 million), cottonseed ($122 million) and polypropylene ($110 million) will bring Azerbaijan more than $100 million in revenue.
Which companies export the most?
One point in Azerbaijan’s non-oil exports is noteworthy. : In terms of export volume in the private sector, the first place is not occupied by a company, but by an individual. Therefore, last year a person named “Shirinov Alvin Valeoglu” exported 128 million dollars to foreign countries. Despite the high volume of exports, there is not much information about this person in publicly available sources.
In the reports published in the media so far, it is stated that this person exports agricultural products to The former Soviet republics have sent. After the mentioned person, the company that carries out the most exports in the private sector is “MKT Ishtasalat Kommersiya” company, which is considered the main exporter of cotton in this country. Baku Steel Company is the last company in terms of non-oil exports in the private sector.
Besides the product diversity in Azerbaijan’s non-oil exports, geographical diversity is also limited. In 2023, the country to which the most products in the non-oil sector of Azerbaijan are sent is Russia.
Azerbaijan exported 1.1 billion dollars of products to Russia last year. The volume of exports to Turkey, which ranks second in terms of volume of exports, is 784 million dollars. Therefore, in 2023, approximately 60% of Azerbaijan’s total non-oil exports will be related to only two countries, Russia and Turkey. Azerbaijan’s non-oil exports to Russia have increased by 18% compared to 2022, and its exports to Turkey have increased by 10%.
Georgia ($333 million), Switzerland ($175 million) and Kazakhstan (95 million dollars) are among the five non-oil export destinations of Azerbaijan. In total, the share of the first five countries in Azerbaijan’s non-oil exports is 75%.
The fact that only 5 countries share 75% of exports shows the low interest of countries located in distant regions to The export of non-oil products is Azerbaijan. Compared to 2022, the export of Azerbaijan’s non-oil products to Georgia has decreased by 46%, and exports to Switzerland and Kazakhstan have decreased by 12% and 8%, respectively.
| Publisher | Tasnim News |
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