Seba JSC Ready to Receive Document on Investment Promotion

Next to the owners of the largest retail chains, the leadership of Seba JSC asked the Ministry of Economy for tax benefits. However, the producer of broilers, unlike the traders, does not ask to cancel VAT or provide tax breaks - the company intends to implement an investment project to increase the efficiency of production with the use of advanced technologies and improvement of conveyor lines for cutting, processing and packaging of poultry meat with a minimum specific weight of manual labor, which will, among other things, reduce production costs and increase production capacity from the current 17 thousand to 25 thousand tons of poultry meat a year.

The total cost of the two-year project is 1 million 283 thousand manats, and if the government approves it and issues a document to encourage the investment, then, according to the presidential decree on the promotion of such projects, exactly half of the company's profits will be derived from under the tax legally. In addition, benefits (zero customs duty and VAT, as well as property tax and land) will last over 7 years, including the import of production equipment and facilities.

Seba JSC is currently composed of five companies - JSC Devechi Broiler, CJSC Garabag Takhil, CJSC Baku Food Company, CJSC Bilesuvar Agro, and JSC Devechi Broiler Derin Emal.

There are no reports over the past year, but if the 2013 margin was 6.9%, according to the results of activity in 2014 there was a loss (minus 4.8%). The average price of 1 kg of poultry was 2.82 manats at an average salary of 560 manats. --17D-