Gubad Ibadoglu: "The economy has to be tangible, not declared"

To stimulate agribusiness, food security and the elimination of unemployment in the regions AZN 1.2 bn of concession loans has been allocated, 83% of which is invested in agribusiness through the National Fund for Entrepreneurship Support entrepreneurs (NESF).

These figures were cited by President Ilham Aliyev, speaking at a conference in the fourth year of the "State Program on socio-economic development of the Republic of Azerbaijan in 2009-2013".

According to him, the country has virtually ensured its own food security. Last year, the demand for meat and meat products by 92% were satisfied by domestic production, and in 2013 this figure will reach 95%. On poultry meat production it was 88%, but will reach 93%, on chicken eggs it was 96%, but will be 100% and on vegetable oil it was 70%, and will be 75%.

Figures on butter are 50 to 52%, on milk and dairy products - 73 vs. 78%, grains - 65 vs. 70%, salt - 71 versus 75%. On grapes it is 94 to 96%, and on potatoes it is already 100%.

Figures for melon crops are 100% against 104%, for fruit - 126% to 130%, and for vegetables - 99 to 108%.

According to the Minister of Economic Development Shahin Mustafayev, this year, 77% of public capital investment (5.3 billion manat) will be spent on regional development. He added that in 2012, the region registered 44,500 taxpayers. Last year was put into operation more than 410 regional industrial, agricultural, commercial enterprises, the construction of more than 400 companies.

Experts believe that the reports of senior officials are far from reality. The opening of the regional companies did not affect budget revenues - the chairman of the non-governmental Centre for Economic Research, PhD Gubad Ibadoglu. Thus, the region's share of the state budget for the year 2012 amounted to only 3.4%. In this case, only the city of Sumgait was budget supplicant. This year due to tax revenues to local governments self-go will be achieved in the Absheron region and the city of Shirvan. However, this is a drop in the ocean, according to the economist.

According to him, the nonsense is that, on the one hand, the alleged steadily increasing agricultural production, on the other hand, increasing food imports. The State Customs Committee did not sound in tune with the numbers the president. Thus, in comparison with 2011, the last year has increased imports of wheat (24.1%), animal and vegetable fats (21%), and butter (17.5%). In addition, imports bloomed for fruits and vegetables (13.28%) and sugar (10.4%), although Imishli has a specialized factory reporting exports.

Expenditure in the regions of their investment programs do not relate to people, as evidenced by the annual influx of people in Baku, where the focus of financial flows and economic projects, including trade and construction.

The regions are more or less profitable tourism. Farming is not profitable at all - the price of rent equipment, purchase of seeds, irrigation, cultivation, electricity, paying by the day workers make unprofitable fruit and vegetables. Due to lack of storage and low purchase prices, high transport rates unprofitable products export from the field, and the field speculators buy it for a song, said Ibadoglu.

The economy is growing at a real competition. In Azerbaijan, ostensibly competing economic regions, in fact, the vertical of power does not give an incentive to do so. Really could compete with each other areas and activities under identical natural and economic conditions, such as electric utilities Shirvan and Mingachevir, famous citrus and canned Masalli and Lankaran regions.

The economy must be a real, tangible, not declared, concluded the scientist. - 17D-