Agrarian subsidies: we and foreign practice

The Russia–Ukraine war, which has been ongoing for four years, has created tension in the Black Sea region, causing serious difficulties in cargo transportation. As a result, the prices of a number of products have risen in global markets. The Food and Agriculture Organization of the United Nations (FAO) linked the increase in wheat prices observed in February of this year to the continuing tension in the Black Sea region.

According to data presented by the State Statistical Committee, 924.7 thousand tons of potatoes were produced in Azerbaijan in 2025, which is 2,700 tons less than in the previous year. It should be noted that in 2025 the area under potato cultivation decreased by 1,800 hectares compared with the previous year. As the figures show, the decline in potato production in 2025 compared with previous years was primarily caused by the reduction in cultivated areas. Unfortunately, the trend of shrinking potato planting areas has continued for many years.

Although the State Statistics Committee reported a 0.4 percent increase in meat production in January 2026 compared with the same period of the previous year, it recorded a decline in the production of other livestock products.

Baku faces a new challenge in its food market after Iran temporarily halted exports of agricultural and food products, a move that could disrupt supplies of low-cost goods widely consumed by poorer households in Azerbaijan.