(MENAFN- Trend News Agency ) Baku, Azerbaijan, Oct. 17
Trend:
Interview with Azerbaijan's Economy Minister Shahin Mustafayev on the Azerbaijani-Russian relations, the 25th anniversary of which is celebrated this year.
Q: How would you briefly describe the current state of relations between Azerbaijan and Russia?
A: First of all, I would like to note that the Azerbaijani-Russian relations, the 25th anniversary of which we celebrate this year, are steadily developing and today, thanks to the efforts and political will of our heads of state, they have risen to the level of strategic partnership. At all meetings held as part of official visits, various events, they constantly emphasize the need to expand cooperation. It is gratifying to note that at present, multifaceted cooperation is successfully developing between our countries, This cooperation covers such spheres as trade, investment, industry, fuel and energy, agriculture, transport and transit transportations, tourism, humanitarian spheres, etc.
Q: Traditionally, agricultural products have been the main item of export from Azerbaijan to Russia. What measures are being taken at the interstate level to increase export in this direction?
A: I should note that the need to expand trade in agricultural products, as well as to increase the supply of vegetables from Azerbaijan to Russia, was repeatedly pointed out at the meetings of our presidents.
In pursuance of these agreements, back in 2014, a working group on cooperation in agriculture and on the issues of supplying agricultural products was established under the intergovernmental commission on economic cooperation between Azerbaijan and Russia. The co-chairs of the working group from the Azerbaijani side are the deputy minister of economy, and from the Russian side - the deputy minister of agriculture.
Issues of creating more favorable conditions to increase the supply volume of fruit and vegetable products to the Russian market, accelerating electronic exchange of phytosanitary and veterinary certificates issued in both countries, as well as other issues are regularly discussed at the meetings of the working group. In addition, representatives of the relevant ministries of Russia repeatedly visited our country in order to get acquainted with the activity of our companies. It should be noted that they also visited Green Tech LLC (Azersun Holding LLC), which is one of the biggest producers of vegetables, including tomatoes, and highly appreciated the work done.
On September 25, 2014, during the visit of Mayor of Moscow Sergey Sobyanin to Azerbaijan, the issues of export of agricultural products from Azerbaijan to Russia were widely discussed.
As a result of the discussions, 48 memorandums of mutual understanding on the export of agricultural products and processed products were signed among 16 Azerbaijani companies and 3 big trade networks and logistics centers of the Russian Federation. At present, the work is carried out to implement memorandums.
We regularly inform producers and farmers about the additional opportunities that are being created to enter the Russian market. We apply various incentive mechanisms to increase production and export products.
Q: The statements have been recently made at various levels in Russia that the export of tomatoes from Azerbaijan to Russia is being increased due to the re-export of tomatoes from Turkey. How can you comment on this?
A: As a result of the abovementioned measures and taking into account the increased demand, tomato production only in enclosed grounds increased by 1.6 times in 2014-2016.
In January-June 2017, 261,700 tons of tomatoes were produced in enclosed grounds. In total, 502,700 tons of tomatoes were produced in 2016.
As for the statements about illegal export of Turkish tomatoes to Russia, I would like to note that, firstly, in accordance with the "Rules for Determining the Country of Origin of Goods in the CIS" dated November 20, 2009, joined by Azerbaijan as well, ST-1 certificates of origin are issued.
The certificates are issued on the basis of examination carried out by the authorized body on the territory of the producer to reveal the availability of lands, greenhouses or leased areas for carrying out this agricultural work. The batches of goods, as well as packaging and labeling, are checked on the basis of the submitted documents.
Secondly, taking into account the increased production volumes, a specific duty has been imposed for the import of tomatoes in the volume of $0.4 per kilogram upon the decree of the Azerbaijani Cabinet of Ministers dated September 23, 2016.
As a result, imports of tomatoes from Turkey decreased in quantitative terms by 81 percent, while in value terms by 76 percent in January-September 2017 compared to the same period of 2016. Tomatoes have not been imported from Turkey at all since May 2017.
After the imposition of the duty, the average import price for each kilogram of tomatoes was $ 1.15, while the average price for export of tomatoes to Russia was $0.97, which testifies the inefficiency of re-export of Turkish tomatoes to Russia.
Thirdly, with the exception of Azerbaijan's Nakhchivan Autonomous Republic, Azerbaijan does not have a common border with Turkey. Taking into account the fact that as a result of the occupation policy of Armenia, Nakhchivan has been blocked, it is practically impossible to transport any cargo.
Thus, those statements are false.
MENAFN1710201701870000ID1095957214
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.