Azerbaijan will be able to help Russia only in re-exports of melons and fruits

Analysis by Turan News Agency showed that the marked increase in August on food by 12.5%​​, and especially at the melons in the range of 20% was not seasonal.

Comparative analysis of markets agency review last year of the month for the previous years showed stable condition with minor variations in prices. Usually prices of seasonal products begin to rise in September, marking the growth of more than 20%.

Different conclusions about the impact of Western sanctions against Russia and Moscow's reply by refusal of a number of European products on the rise in prices of agricultural products in Azerbaijan are justified.

Azerbaijan does not hide the fact that domestic entrepreneurs have been quick to take advantage of slightly open "window" for the export of tomatoes, cucumbers and other in Russia.

Azerbaijan ready to increase the supply of products to Russia in the long term, not just for the period of sanctions, Azerbaijani Ambassador to Russia Polad Bulbuloglu. Moreover, the ambassador insists on long-term guarantees from Russia, as this project will require the construction of logistics centers in Russia and the establishment of the supply chain, storage and sale of products.

The Chairman of the international commission of the Public Chamber of Russia Sergey Markov expects doubling citrus exports from Azerbaijan. However, it is unlikely that Azerbaijan will be able to provide strong support for Russian consumers of agricultural products, as most of the melons and fruits are seasonal in nature and the production of a number of product lines has already finished.

The share of agriculture in GDP was not more than 5.3% in 2013, and the first 8 months of this year the total agricultural production fell by 3.7%, crop production - by 9.2%. Last year Azerbaijan imported citrus fruits to Russia for $ 242,170, vegetables, fresh or chilled – for $ 390,810, fresh apples, pears and quinces - for $ 2,620,450, tomatoes - for $ 472 530. This is a meager share in the Russian agricultural market.

Azerbaijan is largely dependent on the import of melons and citrus fruits, especially in the offseason. Basically supplies are from Iran and Turkey, where prices are much lower and manufacturer importoorientirovan.

Of course, the Azerbaijani business community in Russia, specializing in Soviet times in the import of agricultural products, take advantage of the circumstances and arrange deliveries from Iran and Turkey in the form of re-export or import of goods from third countries under the brand name «Made in Azerbaijan» in order to use the preferential taxation and duties. This experience has already been involved in the import of tea, sugar, etc. to the Russian market.

Southern neighbors are also ready to take advantage of the "window" in Russia. The Iranian Agriculture Minister Mahmoud Hojjati offered Azerbaijan to act as a mediator for the organization of the supply of agricultural products from the country into Russia. -0

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