CATALOF INVESTMENT PROJECTOGS IN AZERBAUEIJAN 2015 CONTENTS HEAVY INDUSTRY HEAVY LIGHT INDUSTRY FOOD INDUSTRY CONSTRUCTION AGRICULTURE TOURISM 28 34 22 61 16 4 INTRODUCTION

Azerbaijan Investment and Export Promotion Foundation (“AZPROMO”) is a key partner for international investors in exploring business opportunities in . Established by the Ministry of Economy and Industry of the Republic of Azerbaijan as a joint public private initiative in 2003, AZPROMO’s main objective is to increase the volume of non-hydrocarbon foreign direct investment in Azerbaijan, as well as to stimulate the strengthening and expansion of the country’s non-hydrocarbon export capacities.

AZPROMO serves as a “one-stop-shop” for international investors possessing an in-depth knowledge of investment opportunities and market features of the country. We advise foreign investors on legal issues related to doing business in Azerbaijan, guide them in their negotiations with all relevant Government agencies and local entrepreneurs, help with logistics, organise trade missions, fairs, business forums and other events in Azerbaijan as well as abroad. Five core pillars of our investment promotion activities include; image building, investment generation, investment facilitation, investor servicing and aftercare, and policy advocacy.

Today, Azerbaijan is one of the most attractive destinations for FDIs in the region. Since the mid 90’s we have doubled our economic potential, enabled and sustained macroeconomic stability and undertook a wide range of economic and regulatory reforms ensuring sustainable business and investment environment. Our economy is the 38th most competitive economy in the world and 1st among CIS countries according to the Global Competitiveness Report 2014-2015 compiled by World Economic Forum; taking the lead in competi- tiveness in the CIS region. Moreover, investment grade from leading international rating agencies is continuously improved. Azerbaijan shows stability of sovereign investment ratings with ‘BBB–‘ long term and ‘F3’ short term credit ratings from Fitch Ratings and ‘BBB–‘ long term and ‘A3’ short term credit ratings from Standard and Poor’s.

Azerbaijan is a country with a wide range of investment opportunities and is undoubtedly one of the most attractive destinations for foreign direct investments (FDI) in the region. Since 1995, over 199.4 bln USD was invested in the Azerbaijani economy, of which more than a half was invested by foreign businesses. We believe there are a number of key positive factors behind our success in attracting FDI. These are years of political stability, rapid economic development together with traditional Azerbaijani hospitality, as well as the presence of abundant resources and a favorable location on the crossroads of Eurasia with the best infrastructure in the region.

Today, we are pleased to share information on potential investment projects in priority areas proposed by different entities from the private and public sectors, in Azerbaijan. AZPROMO encourages and welcomes businesses from other countries to visit Azerbaijan, seize the investment opportunities, and witness the growth of your business with the support and collaboration of AZPROMO and the wider business community. population for 2008-2015 for population the to foodproducts of supply reliable the on Program • State purp the for imported tax land for except taxes, • NO Advantages: and foodindustryforimportsubstitutionaswellexport. food and beverage sector. Being one of the leading producers of agricultural goods in CIS, Azerbaijan seeks to the in further tastes develop consumer its in agriculture changes and consumption in growth rapid a to led have economy national the in development fast of years The turing output. The food-processing sector constitutes an important component of the national economy and accounts for around 37% of national manufac- agricultural activity. The fertile lands, abundance of water and climatic diversity create favourable conditions for a strong agricultural sector. Agriculture is one of the most important sectors of the economy in Azerbaijan, a country that is considered as one the earliest sites of human Overview Source: TheStateStatisticalCommitteeoftheRepublicAzerbaijan M F G C land: Arable land: Agricultural GDP: in agriculture of Share M Employed population in agriculture: in population Employed ood production: matic zones/types: limatic ss o ross n export partners in agri-f in partners ain export n exported agri- ain exported put of agriculture: of utput food products: e of using in agri-f in using ose of ood industry: ood production • Animal h • Animal • Beverages products • Sugar • V vegetables and • Fruits • D deve Mainly iticulture ry products airy usbandry gar, vegetable oil, sugar, vegetable vegetables, and fruits fresh ing subsectors loping (37.1% oftotalemployedpopulationineconomy) alcoholic and non-alcoholic beverages non-alcoholic and alcoholic CIS, Central As Central CIS, More information on www.azpromo.az on information More 9 out of 11 existing in the world the in 11 of existing 9 out (increased 3.7timessince2001) (increased 5timessince2001) • Cereals • Cereals • Haze • Tea production oils • Organic • Apiculture • Fisheries 5.3% (3.9billionUSD) 3.3 billionUSD(2012) , Middle Ea ia, Middle 1.68 millionpersons 6.7 billionUSD lnuts 1.9 millionha. 4.8 millionha.

*2013 st, EU 4 4 AGRICULTURE * AGRICULTURE * AGRICULTURE (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Nitrogen, Phosphorus, Potassium-containingfertilizers (NPK) Project objectives&description Location Project name Initiator: AZPROMO Investment plan 7 year 2 year negotiable 225 mln. USD nitrogen, phosphateandpotassiumelements. Demand forNPKhasgrown duetothehighyieldsgainedthrough theuseof to supplythechemical elementsthatare vitalinthenutrition ofplants. The combinedfertilizerNPK, isthemosteffectiveamongstsubstanceused Sumgayit (SumgayitChemicalIndustrial Park) 5 AGRICULTURE * AGRICULTURE * AGRICULTURE (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Fruit andgreenhouse vegetablegrowing Project objectives&description Location Project name Initiator: “Orkhan” company Business plan 10 years 10 years 60% -Investor 40% -Company 1 100000USD planned toopen20newvacanciesinframes oftheproject. production andsalesbecomepossibleduring 8monthsofyear. Itis close toindustrial production. Therefore, byapplyingconsecutivecropping Although greenhouse isanagricultural production area, production there is cropping system, willbethebasisforsuccessfulrealization oftheproject. products, which are tobecropped on1hectare greenhouse byconsecutive Veysal Mirzayev. Startingfrom 2ndyears salesoftomatoesandcucumber 1 hectare ofgreenhouse onthelandbelongingtoentrepreneur Mr. Habil It isplannedtocrop 10hectares ofintensivetypeapplegardens and Guba region 6 AGRICULTURE * AGRICULTURE * AGRICULTURE (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost rjc aeDevelopmentofgrape-growing Project objectives&description Location Project name Initiator: “Lider Max” company Business plan 7 years 3 years 75% -Investor 25% -Company 5 400000USD The project purpose isexpansionofgrape production. Gakh region 2. Development ofirrigation system 1. Cropping ofnew200hectares ofgrapes garden 7 AGRICULTURE * AGRICULTURE * AGRICULTURE (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost rjc aeDevelopmentof shery Project objectives&description Location Project name Initiator: “Girkhbulag Trout FishingFarm” company Business plan 5 years 1 years 49% -Investor 51% -Company 1 540000USD products. The project purpose issupplyingpopulationwithdifferent types of shery Shaki region 3. Installment of newequipmentmeetinginternational standards 2. Attraction ofadditionalwater sources 1. Increase inproduction of shery products upto500tons 8 AGRICULTURE * AGRICULTURE * AGRICULTURE (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost rjc aeIncreasing ofproduction volumeoforganic rose oil Project objectives&description Location Project name Initiator: “Jaliar” company Business plan 3 years 7months 5 years 76% -Investor 24% -Company 1 mln. USD 4 kgupto100kg. It isplannedtoincrease production volumeoforganic rose oilfrom current Zagatala region international standards willbeestablished 2. A newcomputerized enterprise withequipmentsmeetinghighest ofrose plantations 1. Rawmaterial stock willbeincreased bycropping ofnew100hectares 9 AGRICULTURE * AGRICULTURE * AGRICULTURE (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost rjc aeDevelopmentofsheepfarming Project objectives&description Location Project name Initiator: “Azmark ltd” company Business plan 2 years 1 years 70% -Investor 30% -Company 3 200000USD Capacity/year: Ismayilli region 10 000sheep, 15000lamb, 50000kgsheepcheese, 300000 kgmeat 10 AGRICULTURE * AGRICULTURE * AGRICULTURE (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Developmentoftea-growing Project objectives&description Location Project name Initiator: “Lenkeran Chay-5”, Lenkeran “Bioora” LLC Business plan 4-5 years 2 years 50% / 158 000USD ecological pure teawillbeproduced andpackaged. The project considers establishmentof9hectares teaplantation where produce. working placesandsupplythedemandofteain Azerbaijan withlocal of Azerbaijan. The realization oftheproject willensure theopeningofnew The project isaimedatthedevelopmentoftea-growing insouthern regions Haftoni village, Lenkoran region, Azerbaijan 11 AGRICULTURE * AGRICULTURE * AGRICULTURE (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Production ofcombinedfeed Project objectives&description Location Project name Initiator: “Shamil” LLC Business plan 3 years 6 months 33% -Investor 67% -Company 1 mln. USD create favourable conditions fortheproduction ofcombinedfeed. in theNorthern regions. Risingdomesticdemandandreal customers (waste products remaining bypoultry, meat, appleandtomatoprocessing) materials The project considers production ofcombinedfeedusingexisting raw in theNorthern regions of Azerbaijan. The project purpose issatisfactionofincreasing demandforcombined feed region, Azerbaijan 12 AGRICULTURE * AGRICULTURE * AGRICULTURE (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Greenhouse construction Project objectives&description Location Project name Initiator: “Incomeservice” company Business plan 5 years 7 years 50% -Investor 50% -Company 1 406072 AZN train staffoftheenterprise. foundation ofthegreenhouse, purchase andinstalltheequipment, hire and creation oftheinfrastructure andconstruction ofutilities, complete Company needstoidentifythesupplierofgreenhouse equipment, facilitate product oflocalandforeign markets. For implementingtheProject the designed fortomatoproduction,which isoneofthemostdemanded The Project envisagesconstruction of1hasquare greenhouse facilities modern greenhouse facility. Production ofvegetables(tomato)inGaradagh district viadevelopment of , Garagah district, Alyati settlement 13 AGRICULTURE * AGRICULTURE * AGRICULTURE TURE L

Project name Expansion of the cattle production

Location Amsar village, Region

Project objectives & description For purpose of increasing production of meat products, it is important to

develop technological base, purchasing 6-8 months kettles, and production AGRICU * related equipments.

In additional the project will provide breeding and sale of calve. TURE L Project cost 45 000 USD

Proposed nancial scheme 30% Company

& share distribution 70% Investor

Implementation period 1 years

Project payback period 3 years AGRICU * Documents available Investment plan business plan

(business plan, etc.) :

Initiator: Huseynov Shakir (entrepreneur) TURE L

14 AGRICU tomatoes, grapes, cucumbers, greens, early potatoes, rice, tealeaves, citrus fruits, onions, etc.) * * * * Priority investmentareas * * * * * * * * * * * * * * Aquaculture Apiculture Seed farming Production offertilizers Construction ofrefrigerated storage facilities Greenhouse production Production andprocessing ofmedicinalherbs Horticulture Development ofveterinary services Establishment ofstock-farm formilkproduction andprocessing purposes Production offresh fruits andvegetables(apples, cherries, persimmons, pomegranate, kiwi, hazelnuts, feijoa, Production ofnurseling Pedigree cattlefarms Establishment ofbroiler enterprises Floriculture andornamental plantproduction Establishment ofmills Establishment ofsilkworm breeding farm Production ofsaffron 15 AGRICULTURE * AGRICULTURE * AGRICULTURE (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Wine-makingfactory Project objectives&description Location Project name Initiator: Azmark ltd. Initial feasibility study 3 years 1 year 70% -Investor 30% -Company 1 960000USD of fruit vodka. enterprise withproduction capacityof200000dklwineand 50 000dkl industry production offruit vodka. Therefore, itisplannedtoestablish vodka madeinIsmayilliregion isgrowing rapidly. Yet, there isalack of capacity ofgrapes increases annually. At thesametime, demandforfruit moment restoration ofvineyards isbeingimplementedandproduction one ofregions withtraditionally widelydevelopedvine-growing. At the The project purpose isproduction offruit vodkaandwine. Ismayilliis Ismayilli region 16 FOOD INDUSTRY * FOOD INDUSTRY * FOOD INDUSTRY (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost “NURUD” waterproduction Project objectives&description Location Project name Initiator: “Fahrali” enterprise Under preparation 10 years 6 months Upon negotiations 770 000USD system, cleansbile). cleans stoneandsaltsfrom kidneys, eliminatesgasesingastroenteric The characteristics oftheproduct: very highimportanceascure (diuretic, tonnes monthly. The enterprise usesnatural spring waterforproduction. water andjuicesunder “NURUD” brand. Itsproduction capacityis500 activity in1999.Theenterprise isproducing competitivesparkling andstill water “NURUD” and zzydrinks. “Fahrali” enterprise started business The project isamedattheproduction andsalesofsparkling and still region, villageUchbulag 17 FOOD INDUSTRY * FOOD INDUSTRY * FOOD INDUSTRY rjc aeProduction ofvegetableoil Project objectives&description Location Project name (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Initiator: Gakh region “Ilisu” company Business plan 5 years 2 years 75% -Investor 25% -Company 1 030000USD 3. Establishment ofprocessing zonemeetingmodern standards 2. Cropping ofnew300hectares ofsoybeanareas 1. Cropping ofnew400hectares ofsunowerareas 18 FOOD INDUSTRY * FOOD INDUSTRY * FOOD INDUSTRY (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Production oftheconfectionery products “New Chinar” Project objectives&description Location Project name Initiator: “Ganja Gannadi” JSC Feasibility study 5 years 1 years Depends onnegotiations 4.5 -5mln. USD new equipmentsforproduction ofconfectionary products sweets production plantofCaucasusregion. There isaneedinobtainingof The project considers restoration ofsweets production inoneofthebiggest ments andproduction offamous “Chinar” sweets. The objectiveoftheproject istorestore theproduction ofthenewassort- region,Ganja Azerbaijan 19 FOOD INDUSTRY * FOOD INDUSTRY * FOOD INDUSTRY (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Confectionery production plant AZPROMO Business plan 5 year 2 year negotiable 20 mln. USD businesses operating inthis eld. the importvolumeisalsoincreasing. Therefore, there isahugeneedfornew is excessdemandfortheseproducts. As itcanbeobserved from statistics, Despite thefactproduction ofconfectionary isincreasing yearby year, there The relevant region 20 FOOD INDUSTRY * FOOD INDUSTRY * FOOD INDUSTRY * * * * Priority investmentareas * * * * * * * * * * * * * * * * * * Honey processing andpackaging Production ofsunoweroil Production ofdairy products Poultry production Production ofmeatandproducts Packaging andlabelling Production offruit juices Production oftomatopaste Production ofsalt Production ofmayonnaise, ketchup andothersauces Production ofdried fruit andberries Canned fruits andvegetablesproduction Wine production Establishment ofgrape processing manufacture Production ofolivesandoliveproducts Production ofchild food Nuts processing facility Production offrozen fruits andvegetables Bakery andoury products Confectionery production Potato processing (production ofpotatochips, potatoour, etc.) Production ofmineral andnatural waterandpackaging 21 FOOD INDUSTRY * FOOD INDUSTRY * FOOD INDUSTRY public in the years of 2010-2014 of years the in Republic deve the on Program • State hospitality of standards • International • Incre FIRST EUROPEANOLYMPICGAMES2015 as such events international • Hosting of economy with with economy of beaut Azerb here. travel to begun already have countries Azerb Overview • Construction, renovation and expa and renovation • Construction, recreational recourses mount forests, (sea, landscape • Perfect Advantages: Source: TheStateStatisticalCommitteeoftheRepublicAzerbaijan the f the Top nation inc Total inc Total N N N N N ber of hotels and hotel-type enterprises: hotel-type and hotels of umber tourists: of umber ber of beds: of umber ber of overnight stays: overnight of umber ber of tourism enterprises: tourism of umber airy ul natural scenery, delicious cu delicious scenery, natural iful jan aijan an attrac only is not aijan ing tourist arrivals tourist asing ke travels and adventures, ac adventures, and travels like e of tourism enterprises tourism ome of enterprises hotel-types and hotels ome of has ies v alities l the nece the all mense potential and and potential immense iting Azerbaijan isiting ary ingredients of a tourist-friendly country: ho country: tourist-friendly a of ingredients ssary nt of tourism in Azerb in tourism of lopment ve destination for international business, but it is also is also it but business, international for tive destination ion of international airpor international of nsion ine and exotic f exotic and isine ve rest in paradise oases and ag and oases paradise in rest tive ns, meadows) and rich rich and meadows) ains, portunities. It is, is, It opportunities. ds, and many many and oods, jan aijan thein role enunciatedimportant an assigned moreover, a ts ts more. Tour nst a background of turq of background a ainst itable people, rich cultural, historic and religious diversity, diversity, religious and historic cultural, rich people, spitable • sport and adventure tourism tourism adventure and • sport tourism • religious • eco-tourism • b tourism • recreational tourism heritage and • cultural deve Mainly m sector became one of the fastest deve fastest the of one became sector ism Russia, Georgia, Turkey, Iran, Ukraine,UnitedKingdom, Iran, Turkey, Georgia, Russia, iness tourism usiness emer ng as a new tour new a as ging ing subsectors loping 1 674065(increased10.4timessince2001) 33 951(increased3.5timessince2001) 2 129500(increased3timessince2005) ise waves, contemplate and cogn contemplate waves, uoise Kazakhstan, Uzbekistan,Germany,Italy 530 (increased5.7timessince2001) More information on www.azpromo.az on information More 196 (increased11timessince2001) m destination. The The ism destination. irations of the the of spirations 218.3millionUSD ing seg loping 45.5 millionUSD here of of sphere *2013 nts ments ve itive 20 22 TOURISM * TOURISM * TOURISM * TOURISM (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost “Ideal” tourism andhealthy catering centre Project objectives&description Location Project name Initiator: “Ideal” company Business plan, draft project, conceptualplan 8 years 4 months 70% -Investor 30% -Company million AZN 2.2 Daily capacity: serving 250-300guestssimultaneously persons, open-airrestaurant for180persons andotherauxiliary facilities. guest housefor12persons, restaurant for100persons, banquethallfor200 Innovation incatering service basedonnatural andorganic food. Buildingof Oghuz region, Padarvillage, Oghuz-Bakuhighway 23 TOURISM * TOURISM * TOURISM * TOURISM (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost BakuGolfClub Project objectives&description Location Project name Initiator: 3 -4years 8 -9months 6 000 AZN Caddy Master. With viewstothe nishinghole, across thelakeandstreams. The ClubHouseoffers facilitiessuch asF&Bservices, pro shop, locker rooms and place forspendingweekendswithwholefamily. The GolfCourse is18kmfrom citycenter(20minutes)andwouldbewonderful outstanding hazards, allfeatures aGolfcourse shouldpossess. very uniqueGolfcourse withStrategy, variety, diverse androlling terrain, beautyand senior memberoftheEIGCA(European instituteofGolfcourse Architects) Created a Baku GolfclubisdesignedbyCourse Architect Alan Rijksfrom The Netherlands, waterfall. construction ofdriving range (250meterlong), ClubHouse, arti ciallakesand The conscruction of9hole, 35par, ChampionshipGolfCourse which includesthe Baku, Mehdiabad settlement “Bakhchasaray” LLC 24 TOURISM * TOURISM * TOURISM * TOURISM (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Tourism andrecreation centerlocatedinthevillageof Armudlu, Qax. Vagif Karimli (entrepreneur) Business plan 10 years 2 year 70% foreign investor 30% localpartner 10 mln. USD facilities fortourists tospendleisure time. cottages (42seats), 1of cebuilding, 14restaurants, various entertainment 100-seat centeroftourism andrecreation. Creating of1corpus (56local), 14 Creation oftheappropriate tourism services andtheconstruction ofthe Armudlu region, Qax 25 TOURISM * TOURISM * TOURISM * TOURISM (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: cinema studionamedJ.Jabbarli Rehabilitation andrestructuring “Azerbaijan” The Ministry ofCulture and Tourism ofRepublic of Azerbaijan Investment plan 7 year 1 year negotiable 60 mln. USD center for lmproduction. equipped withthehighesttechnical standards, includingreconstruction ofthe a lmproduction studio, the “Azerbaijan lm” cinemastudiocanbefully In accordance withtherequirements ofthemodern material-technical basefor Baku City 26 TOURISM * TOURISM * TOURISM * TOURISM * * * * * * * * * Priority investmentareas National souvenirs, gifts, copper platesandothers Development ofadventure facilities Development oftouristic sites Development ofmedicinal, religious, mountainous, winterandsledge, historical, cultural andeco-tourism Development ofinfrastructure forrecreation zones Adventure tourism andrecreation Construction ofSPA hotels (Re-) Construction oftourism complexes Construction of3-4starhotels 29 27 TOURISM * TOURISM * TOURISM * TOURISM • Contin sector hotel in demand major req of production • Local inc • Growing • Incre Advantages: technology construction art the of state of - introduction - devel materials, construction of types new of - production ware - logistical complexes - tourism regions the in hotels quality and city capital the in hotels - brand sector withincreasingnumberofstronglocalandforeigncompaniesabletodeliverthehighestinternationalstandardsinconstruction. competitive very a into area business this evolved has projects gas and oil to related infrastructure local in investment capital large The years. few last the in sector construction the of development rapid the behind reasons several are There market. construction booming a is Azerbaijan Overview Source: TheStateStatisticalCommitteeoftheRepublicAzerbaijan N work: construction in share companies’ Private type: by work construction Implemented work: construction of Volume GDP: in Share Volume of total invest total of Volume ber of issued construction permits: construction issued of umber nt of arch of opment ing demand in residential construction market construction residential in demand asing ost the sector the boost to strategies and reforms uous e of population and concessional loans loans concessional and population ome of uses, houses, ectural and engineering services services engineering and itectural ments: red construction materials materials construction uired • infrastructure • infrastructure • ware • hotel sector sector • hotel sector • residential deve Mainly use sector house ing subsectors loping 11.1 billionUSD(increased5.4timessince2005) 22.8 billionUSD(increased14.4timessince2001) More information on www.azpromo.az on information More International Airport Airport International Baku at Terminal • New Tr Sea International Baku • New • Baku-Tb pr infrastructure Major ade Port 11.8%(8.7billionUSD) ilis New construction66.2% Kars Railway Line Railway i-Kars Capital repair17.6% Current repair2.9% 1, 667(2012) Other 13.3% ects ojects *2013 81.3%

30 28 CONSTRUCTION CONSTRUCTION * CONSTRUCTION (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Production ofcompositepanelsformodular houseconstruction Azmark ltd. Initial feasibilitystudy 2 years 1 year 70% -Investor 30% -Company 1 050000USD houses (1perweek)andbuildingsitseconomicef ciency. increasing atthemoment. The reason forthisisvery fastconstruction ofsuch annually. Demandforquickly builtmodularhousesandof cebuildingsis The project purpose isproduction of500000sq.m. ofcompositepanels Ismayilli region 29 CONSTRUCTION CONSTRUCTION * CONSTRUCTION (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Fiber gypsumboard production line “Azmark” LTD Business plan 1 years 1 year 70% -Investor 30% -Company 1 900000USD district. In rst stageplannedtoproduce 1mln. Square meterFBGper year. rest ofmaterials (upto3components)locatedandproduced within Ismayilli the production -gypsumislocatedjust120kmfarfrom production area. And reproof material forconstruction industry. Main source ofraw materials for and repair. This material provides more cost-effective, eco-friendly and Fiber GypsumBoard (FBG)isanotherpromising newmaterial for construction Ismayilli region 30 CONSTRUCTION CONSTRUCTION * CONSTRUCTION (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Basalt products production plant “Azmark” LTD Business plan 3 years 1 year 90% -Investor 10% -Company 6 000USD capacity for rst yearwillbe10000ton/year. roads andbuilding, basaltisolationmaterials andtubes. Total production established companyisplanningtoproduce basalt berarms forconstruction have beensuccessfullyusedbymanyconstruction companiesworldwide. The especially intheconstruction industry. Basaltarms andbasalticpipe ttings Share ofusageproducts madefrom basalt berisincreasing intheworld, Ganja region 31 CONSTRUCTION CONSTRUCTION * CONSTRUCTION (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Basalt beranditsproducts AZPROMO Investment plan 5 year 1 year negotiable 19 mln. USD of Marneuli, Georgia. deposits inQazakhand Aqstafa regions of Azerbaijan, aswellintheregion strength properties. Moreover, there are more than10millionm3ofbasalt This product is5timeslighterthanmetalarmature yethas2times more countries, especiallyintheconstruction ofhighbuildings, bridges, tunnels. The basalt berreinforcements havebeguntobewidelyusedinmany Sumgayit (SumgayitChemicalIndustrial Park) 32 CONSTRUCTION CONSTRUCTION * CONSTRUCTION * * * * * * * * * * * Priority investmentareas Construction ofmachinery plants Production ofcementandconcrete blocks Construction oflogisticalwarehouses Production ofaluminum Production ofconstruction glass Construction ofbrick factory Production oflime Production ofceramic coatingtiles Production ofconstruction materials Production ofartificialmarble Production ofbuildingfinishingmaterials 33 34 CONSTRUCTION CONSTRUCTION * CONSTRUCTION of the industrial sector industrial the of economic and production regulating framework legal • Favourable force labour skilled ca industry in experience • Historical production industrial total in sector • Ac sectors industrial deve the for materials raw of range • Wide Advantages: Overview • Economic reforms and strategies to stipulate the deve the stipulate to strategies and reforms • Economic Source: TheStateStatisticalCommitteeoftheRepublicAzerbaijan and technologies new of introduction products, national of competitiveness know-how, attractionofinvestmentsandencouragingtheprocessingindustrydevelopment. the increasing facilities, equipment industry, food metallurgy, machinery, chemistry, sectors, related and energy mainly include country the in GDP the of half produce that Azerbaijan of sectors Industrial The Azerbaijan. in investments foreign of recipient major and sectors developed most the of one is industry The Structure of production: of Structure products: industrial of Volume GDP: in Share Volume of total invest total of Volume : industry of structure Sectoral ve privatization policy and incre and policy privatization tive ac vity in industry industry in tivity ments: ing formulation of of formulation using are of private private of share asing nt of various various of lopment nt lopment • Balakhani Eco-Industrial Park Eco-Industrial • Balakhani Park Techno • Park Industrial Chemical • Sumgait projects industrial Major industry • chemical • machinery • meta industry • light deve Mainly llurgy ing subsectors loping 43.1 billionUSD(increased4.4timessince2005) 9.5 billionUSD(increased8.6timessince2001) More information on www.azpromo.az on information More Manufacturing industry21.1% foreign investments53.4% local investments46.6% 46.3% (34billionUSD) Mining industry73% Private sector81.1% Public sector18.9% Others 5.9% *2013

35 34 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA Initiator: (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proosed financingscheme Project cost Project objectives&description Location Project name “2M Engineering” Company Being prepared 3 years 1 year 51% /49%; 80%/20%; otheroptionscanbediscussed Depends onagreement: 2-3 mln. USD etc. neighboring countries, such asRussia, Georgia, Kazakhstan, Turkmenistan, assemble artsintoread roduct andfinallorganie salein erbaianand It isconsidered todeliverpartsofboilers to Azerbaijan from abroad, then in Azerbaijan. systems The aimoftheproject istobecomethepremier manufacturer of heating city,Baku Azerbaijan Manufacture ofheatingboilers 35 36 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA Initiator: (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proosed financingscheme Project cost Project objectives&description Location Project name “Baku Steel Wire” JSC Business plan 2 years 1 -1.5year Will bedetermined uponmutualnegotiations 5 mln. USD tons ofsteelropes annually. for steelwire manufacturing wouldleadtoproduce andsaleabout 20,000 supplies. Completetechnical upgrading andinstallationofnewequipment works, installationandexploitationofmodern technologies, raw material The project considers rebuilding ofexistingplant, construction andrepair enterprise. The purpose oftheproject istorestore the activityofexistingsteelwire city,Baku Azerbaijan Reconstruction ofequipmentpark of “Baku Steel Wire” JSC 36 38 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA Initiator: (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proosed financingscheme Project cost Project objectives&description Location Project name “Bullur Electronics” JSC Business plan 2 years 1 year Will bedetermined uponmutualnegotiations 12.7 mln. USD Research andDesign-Constructor Institutes. nano technologies tisalsoconsidered toattract theseeral cientific nerg efficientlamsillbemanufacturing iththeemlomentof equipment. products considered forproduction are white LEDlightsandmasslighting works, installationandexploitationofmodern technologies. The main The project considers rebuilding ofexistingplant, construction andrepair equipments (lamps)basedonnewgeneration ofwhiteLEDs. The mainpurpose oftheproject istogainthemassproduction oflighting city,Ganja Azerbaijan Production ofenerg efficientlams 39 37 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Reconstruction oflimeproduction plant “Matanat A”Company Being prepared 4 years 2 years 30% -Company 70% -Investor 12.8 mln. EUR The limeproducts willbeusedinoil, chemical, foodandagricultural sectors. The project considers production oflimewiththeuselatest technology. purposes. The purpose oftheproject istorestore the production oflimefordifferent region,Gazakh Azerbaijan 38 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Incubator andfarming equipmentmanufacturing “Azmark” LTD Business plan 1 years 1 year 70% -Investor 30% -Company 1 500000USD analogs from Russiaor Turkey. of 2-3mlnUSD. Insamelevelqualityprice willbefor30%lessthanimported incubators, andmodern farm househeaters. First yearturnover willbeinrange equipment, cooling andchilling equipmentforfarms, industrial andmini meat grade chicken production houseequipment, automateddiary farm The Newestablishedcompanyisplanningtoproduce automatedeggsand an increasing demandforhighqualityequipmentandservices forthisarea. In viewofthelarge-scale projects already startedandbeingplanned,there is Ismayilli region 39 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Harvesting agricultural equipmentmanufacturing Qurbanov Maharram Business plan 2 years 1 year 70% -Investor 30% -Company 1 500000USD equipment aswellprovide repair service forthosekindofequipment. industry. The newestablishedcompanyisplanningtoproduce harvesting the eldofharvesting, there isaneedtoprovide qualityequipmentforthis In viewofthelarge-scale projects already startedandbeingplanned in Agcabadi region 40 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Oil andair lters forCars AZPROMO Investment plan 3 year 1 year negotiable 25 mln. USD annually. Market research showsthedemandfortheseproducts is growing at15-20% The production ofoilandair lters forCars. Project objectivesanddescription: Sumgait (SumgaitChemicalIndustrial Park), Ganja 41 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Power accumulators AZPROMO Investment plan 3 year 1 year negotiable 25 mln. USD is increasing. We stillhaveahighimportvolumeofthisproduct. In accordance withtheincreasing numberofcars, thedemandforspare parts Ganja, Sumgait 42 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Acyclic alcoholsandtheirderivatives AZPROMO Investment plan 5 year 1 year negotiable 55 mln. USD production onsite. manufacturing ofcosmeticremedies. The locationhasidealattributes for indoor andoutdoorpaints, adhesives, protective equipment, includingthe Acyclic alcoholsandtheirderivatives are widelyusedintheproduction of Sumgayit (SumgayitChemicalIndustrial Park) 43 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Chlorides, hydroxides, sodium(causticsoda)andcausticpotash AZPROMO Investment plan 7 year 2 year negotiable 155 mln. USD mainly are usedsulphur, pyrite, phosphorite, tableandpotassiumsalts. synthesis ofotherchemical products. Inthenon-organic chemical industry agriculture andfoodindustry. Similarly theyare usedasaraw material inthe These chemicals are widelyusedintheproduction andprocessing ofoil, Sumgayit (SumgayitChemicalIndustrial Park) 44 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: GTL (GastoLiquid)plantforsyntheticmotoroilsproduction AZPROMO Investment plan 8 year 2 year negotiable 350 mln. USD also asraw material forrest chemical products. development ofotherhighvalueaddedchemical products. GTLcouldbeused is wellplacedtodevelopthistechnology. Itwillbeamaindriver forthe Taking intoaccountthebigreserves ofShahdeniz2gas elds, Azerbaijan Yet, thisengineoilcanbeproduced through GTL(GastoLiquid)technology. Azerbaijan, the volumeofimportishighandincreasing. aggregates intheautomotiveengines. As there isnosuch oilproduction in The majorcarmanufacturers recommend usingsyntheticoilsand their Sumgayit (SumgayitChemicalIndustrial Park) 45 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Car tires AZPROMO Investment plan 3 year 1 year negotiable 25 mln. USD be advisable. million unitsofannualproduction capacityoftires forcars andtrucks would 3-4 million, with anaverage annualgrowth rate inthelast5years of10%. 1 The needforautomotivetires in Azerbaijan iscorresponding toapproximately Sumgayit (SumgayitChemicalIndustrial Park), Ganja 46 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Household chemicals AZPROMO Investment plan 3 year 1 year negotiable 25 mln. USD animal oilsfortheproduction ofnatural soaps. rate of4-5%yearly. In Azerbaijan there are theavailablesources ofplantand The importvolumeofthisimportantproductis highandhasanannualgrowth Sumgayit (SumgayitChemicalIndustrial Park) 47 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Epoxy resins andadhesives AZPROMO Investment plan 3 year 1 year negotiable 25 mln. USD complementary production withinSCIP. widely usedineveryday life. The adhesives couldbeaverticallyintegrated, furniture manufacturing, construction, packaging, printing, aswellbeing Epoxy liquidsandadhesivesare usedinmanyareas ofindustry, including Sumgayit (SumgayitChemicalIndustrial Park) 48 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Medical disposablesyringes andsystems AZPROMO Investment plan 3 year 1 year negotiable 25 mln. USD possible withhigh, regional demandfortheseproducts. The potentialforexpansion, inthefuture toneighbouring markets isalso importance oftheproduct, itisimportanttoorganise theproduction onsite. important toorganize production ofsyringes. Taking intoaccountthestrategic to 100%. Considering thestrategic importanceoftheseproducts, itis Import volumeofsyringes, which are usedinmedicineandveterinary equals Sumgayit (SumgayitChemicalIndustrial Park) 49 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Antibiotics Antibiotics AZPROMO Business plan 4 year 1 year negotiable 25 mln. USD potential. including antibiotics. These projects willhavealsobigimportsubstitution independent production. We haveahighdependence onimporteddrugs companies, however, afterthepatenthasexpired, itispossibletohave Initially production ofantibioticscanbeheldunderlicenseforeign Baku, Ganja, Sumgait 50 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Production offoodindustry equipments Project objectives&description Location Project name Initiator: “FAYTON” LLC Investment planInitialfeasibility study 5 years 8 month 70% Investor 30 %Company 10 000USD Produced equipmentswillbesoldtodomesticandforeign markets. and Japan. It isconsidering toestablishaplantbasedonequipmentfrom Germany, Italy products, andproduction ofotherfoodprocessing equipment. Establishing ofproduction fruit drying equipment, theinitialcoolingofmilk Absheron Region, Azerbaijan Republic 51 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: thermal powerplantsinSiyazan The construction ofhybrid electric and State Agency On Alternative And RenewableEnergy Sources Investment plan 15 years 1 year negotiable 96,3 mln. USD and biomasspower. energy isdetermined14 MW. Plantsare considered tobebasedonsolar, wind power ofplantsisdetermined at17MW, and installedcapacityofthermal alternative andrenewable energy source. The installedcapacityofelectric To provide Siyazanregion’s demandforelectricity andthermal energy withan Region, Azerbaijan 52 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Samux Agro-EnergyProject State Agency On Alternative And RenewableEnergy Sources Investment plan 15 years 1 year negotiable 150 mln. USD infrastructure. on. Itisalsoconsidered tocreate modern residence equippedwithallthe will containcorn elds, livestock andpoultry farms,processing plantsandso heat andpowersupplyofgreenhouses willbefundedby ABOEM. The complex residential complex. Itisalsoplannedtobuild30acres ofgreenhouses. The 50 MWand2biogasplanta18geothermal (heat)in Agro-energy It isdecidedtosetup10MWsolarpowerplant, solarheatandpowerplantof and renewable energy sources. as agro-energy residential complexwhich willbecreated), withanalternative To provide Samuxregion’s demandforelectricity andthermal energy (aswell Region, Azerbaijan Samux 53 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Pirallahi Wind PowerStation State Agency On Alternative And RenewableEnergy Sources Investment plan 15 years 1 year negotiable 800 mln. USD economic well-being. lead tothedevelopmentoflocalinfrastructure, which willenhancesocialand electricity andcreating newjobs. Also theimplementationofproject will connects Pirallahi andChilovisland. Itwillplayamajorrole inproviding of Pirallahi windpowerplantproject thatwillbealongthebridge that energy byanalternative andrenewable energy sources. The mainadvantage To provide Pirallahi’s andChilovIslands’demandforelectricity andthermal The partbetweenPirallahi andChilovIslandsoftheCaspianSea 54 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: LED-based lightbulbsindustrial production Research Centre forHigh Technology andINVESTKOM LTD Business plan 4 year 2 year negotiable 10 mln. USD The industrial production facilitywillusethe ‘yaradımasını’ plans. will bebasedonthedesignofLED-basedlamps ‘tecrubi’ InvestkomLTD. This project isundertheauspicesofHigh-Tech Research Center(YTTM). It targets.knowledge-based “isqtisadyyatın” This project isthecreation ofinnovativeproducts andsolutions basedonthe Azerbaijan -High Tech Park 55 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Establishing modern certi cationcenter forelectronic products Communications andInformation Technologies (MCIT) International Relationsand Accounting Centre (IRAC) oftheMinistry of Business plan 7 year 2 year 100% foreign investor 70 000USD experience andrelevant rules. local network compliance, inaccordance totheinternational certi cation modern facilitiesforveri cation andcerti cationoftheirproducts, andfor The purpose oftheproject istoprovide theimporters andmanufacturers with Baku 56 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: Smart homedevices “Sumaks” company Business plan 4 year 2 year 70 000USD (IOT). of Things provider. Sumaksprovides services related tothenewglobaltrend -Internet to customers toensure theirsafetyandcomfortforthesmarthomeservice Sumaks isthe rst localproject thatprovides high-qualitysecurity services enter foreign markets. the sametimeproject planstohaveaccessthedomesticmarket, andto developed bylocalengineers, which offers more safeandcomfortablelife. At The purpose oftheproject istoprovide peoplewithsmarthome devices Baku, Xetairegion, Xocalıpr37Damirchi Tower 57 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Seawaterdesalinationplant Project objectives&description Location Project name Initiator: IDE Technologies Resources Flowsheet installation. Letterfrom theMinistry ofEcologyandNatural 3,5-4 year 2-3 year negotiable Investment unitswithacapacityof12500tons/dayupto1000 000USD and reverse osmosismethods creation andinstallationofdesalinationbasedonacombinationthermal products atSangachal powerstationwillbeused. They project willinvolvethe In order toreduce thecostofdesalination, theexcessheatfrom combustion purposes. Preparation ofdesalinatedwaterfrom theCaspianSeawaterfor different Baku, Karadag region 58 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Project objectives&description Location Project name Initiator: utilising industrial waste. Production ofroad asphaltandwaterproo ng materials, Azerbaijan State Oil Academy business planandproject concept 1 year 1 year negotiable 000 AZN 200 production ofhighqualityroad asphaltandwaterproo ng materials. utilisation ofenvironmentally friendly, technical standards willensure the is increasing in Azerbaijan, dueto theexpansionofroad network. The pyrolysis andacidtarfrom wasteofoilproduction. Demandforroad asphalt The basematerials are availablein Azerbaijan. These includeheavytarof and oilchemistry waste. The Production ofroad asphaltsandwaterproo ng materials, usingre nery Project objectivesanddescription: asphalt-bitumen plants, Baku, Ganja “Azeryaq” plantof Azerbaijan RepublicstateOilCompanyand 59 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA * * * * * * * * * * * * * * * * * Priority investmentareas

Production ofthrowaway tares Production ofmedicalequipment Production ofcommunalservices equipment Production ofprecious metals Production ofpolymermaterials Production ofelectric equipment Production ofoilfieldeuiment Production ofspare partsforagricultural equipment Establishment ofwoodworking enterprise Production offiberboards Production ofspring beds Production ofpolyurethane sponge Production ofplasticbagsandnylonsacks Production ofpolypropylene sacks Production ofpolyvinylchloride pipesandcomponents Production ofaluminumshape Waste processing facilities 60 43 HEAVY INDUSTRY * HEAVY INDUSTRY * HEA of the industrial sectors industrial the of deve the stipulate to strategies and reforms • Economic sk and expertise • Proven production industrial total in sector • Ac materials raw of range • Wide Advantages: opulence. industry Light Overview Source: TheStateStatisticalCommitteeoftheRepublicAzerbaijan in 20th century. Light industry in Azerb in industry Light century. 20th in Furniture & Textile industry &Textile Furniture S Wool production Wool Cotton production production Cotton M Industry Light k cocoons production ilk cocoons ain ac ve privatization policy and incre and policy privatization tive vity areas of textile industry textile of areas tivity s a sust a has ned trad ained led labour force force labour illed ition in Azerb are of private private of share asing jan incl aijan es production, spi production, udes aijan. The industrial The aijan. nt lopment ed weaving com weaving ized ing and weaving of cotton and s and cotton of weaving and nning Production of special purp special of Production • Production of leather of • Production deve Mainly • Production of furniture of • Production protec of • Production weaving • Carpet • Shoes production • Shoes (excluding textileandmanufactureofwearingapparel,leatherproductsfootwear) portunity of the area of mulberry plantations plantations mulberry of area the of opportunity Increasing fosteredand textiles century 19th late the in menced Leaped up during the last years, sales and exports incl exports and sales years, last the during up Leaped ing subsectors loping Government’s commitmenttodevelopthesector Domestic sheepstockextendedto8.55million Georgia, Ukr Georgia, The export partners generally are CIS countries: countries: CIS are generally partners export The ed uniforms (used in construction, oil sector, sector, oil construction, in (used uniforms osed ve clothing tive Boots, helmetsandotherprotectionoutfits. 16.5 tonsofwoolhasbeenproduced k. ilk. Harvest accountedto57000tons More information on www.azpromo.az on information More ne, Belarus and Rus and Belarus aine, diverse engineering & mining etc.) &mining engineering diverse 29 200hectaresofarableland Annual potentialof9000tons W Accounted to158mln.USD d processing &assemblies ood processing up to25000hectares Fin hed soft furniture soft ished an Federation sian

012 *2012 ude:

44 61 LIGHT INDUSTRY * LIGHT INDUSTRY * LIGHT INDUSTRY (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Handmadecarpets Project objectives&description Location Project name Initiator: “Gadim Guba” LLC Business plan 5 years 1 year 201 000USD-Investor 105 000USD- “Gadim Guba” 306 600USD implemented withintheproject. World markets. Establishmentofshowrooms andgalleries alsowillbe developing ofhandicraft andcarpet-making artanddemonstrating inthe The project considers production ofproducts withexportpotentialfor of Azerbaijan andopeningofnewwork places. The purpose oftheproject isexpansionofcarpet-making inNorthern regions region,Guba Azerbaijan 62 LIGHT INDUSTRY * LIGHT INDUSTRY * LIGHT INDUSTRY (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Expansionofhandmadecarpet production Project objectives&description Location Project name Initiator: “Khoshbext Khalcha” SE Feasibility studyandBusinessplan 2 years 1 year 30% -Company 70% -Investor 57 000USD New typesofcarpets willbesoldgenerally totheforeign tourists. and thecapacityofproduction willbeincreased from 370sq. m. to450sq. m. As aresult ofproject’s implementation, newequipmentswillbeinstalled the range ofgoods. The objectiveoftheproject isexpansionofcarpet production and increasing region,Ismayilli Azerbaijan 63 LIGHT INDUSTRY * LIGHT INDUSTRY * LIGHT INDUSTRY (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Expansionofshoesproduction Project objectives&description Location Project name Initiator: “Sandal” company Feasibility studyandbusinessplan 10 years 2 year 70% -Investor 30% -Company 640 000USD will beproduced forlocalandforeign markets. and numberofemployeeswillbeincreased from 25to50. Newtypeofshoes annual production powerwillbeincreased from 12000pairs to50000pairs production equipmentwillbeinstalled, production area willbeexpanded, production assortment. Newproduction workshop willbeconstructed, new The project purpose isexpansionofproduction area andincreasing of Ismayilli region 64 LIGHT INDUSTRY * LIGHT INDUSTRY * LIGHT INDUSTRY (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Wood processing andfurniture manufacturing Project objectives&description Location Project name Initiator: “Azmark” LTD Business plan 1 years 1 year 70% -Investor 30% -Company 900 000USD based wooddoors, woodwindowsandfurniture. production facilityisplanningtomanufacture usingGerman technology these products are approaching to$1billionUSdollar. The newestablished range of600-1000USDpercubicmeter. The average annualimportsof starts from 150USDforcubicmeter. The price forready products isinthe has increased. The importingaverage price forraw woodfrom Russia wood products, especiallywoodenconstruction materials andfurniture including theconstruction ofprivate houses. Inthiscase, thedemandfor In recent years, Azerbaijan hascarried outalotofconstruction projects, Ismayilli region 65 LIGHT INDUSTRY * LIGHT INDUSTRY * LIGHT INDUSTRY (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Machine knittedwoolcarpet factory Project objectives&description Location Project name Initiator: Azmark ltd. Initial feasibilitystudy 2 years 1 year 70% -Investor 30% -Company 2 500000USD high qualitycarpets bycostef cientmethods. weaving traditions. Byapplyinglatesttechnologies itispossibletoproduce carpets weavedbyhandisstillhighintheworld. Azerbaijan hasarich carpet The project purpose isproduction ofmachine knittedcarpets. Demandfor Ismayilli region 66 LIGHT INDUSTRY * LIGHT INDUSTRY * LIGHT INDUSTRY (business plan, etc.): Documents available Project payback period Implementation period & share distribution Proposed nancialscheme Project cost Plagiarism detectionsoftware inthe Project objectives&description Location Project name Initiator: Applied Mathematicsdepartment atthe Azerbaijan StateOil Academy Business plan 2 years 1 year Open tonegotiation 100 000USD there isnocommercially availablesoftware programme withthiscapability. Azerbaijani language. At present, whilstthere isaneedforthisinUniversities, To developsoftware, capableofidentifyingtheauthorship oftexts, inthe Azerbaijan StateOil Academy Baku, Azerbaijan 67 LIGHT INDUSTRY * LIGHT INDUSTRY * LIGHT INDUSTRY * * * * * * * * * * Priority investmentareas

Establishment ofweavingmill Production ofnursery nappies Production ofleather Establishment ofwoolprocessing manufacture Establishment ofclothing(includinguniform) manufacture Production ofunderwear Shoes production Carpet weaving Production ofprotective clothing Production offurniture 68 47 LIGHT INDUSTRY * LIGHT INDUSTRY * LIGHT INDUSTRY For notes For notes For notes For notes This publication is prepared by:

Azerbaijan Export and Investment Promotion Foundation (AZPROMO)

[email protected] www.azpromo.az