Industrial districts to be controlled (Azer News)

Industrial districts in Azerbaijan will be managed by special organizations, the Cabinet of Ministers decided.

This was noted in the approval of “Exemplary provision on industrial districts” published in the official press on May 21.

The document notes that the objectives of industrial districts are providing an enabling environment for small and medium-sized businesses operating in the field of industry and services, increasing employment in the service sector.

“Industrial districts can be created on land owned by the state and municipalities. The decision on creation of industrial districts on the land owned by the state and municipalities is approved by the Azerbaijani president based on the proposals of the Economy and Industry Ministry, the document read.

Land of municipalities can be involved under industrial districts based on the rental agreement or the provisions of the Civil Code of Azerbaijan, the decision further noted.

The document said a managing organization under the auspices of the Economy and Industry Ministry is engaged in the organization, management and development of industrial districts.

The Ministry will also prepare an annual report and submit it to the head of state.

A member of the industrial district cannot transfer lands to rent or use them for purposes other than those specified in the lease. An industrial district is eliminated in case no agreement on business activities is concluded within five years from the date of the decision on the establishment of an industrial district.

Elimination of the industrial district does not entail the elimination of the managing organization and does not prevent the continuation of the activities of all legal entities and individual entrepreneurs on the territory.

Earlier, the country put forward an idea stipulating the development of industrial districts and parks in the country.

Today, Azerbaijan is developing two industrial parks in Baku’s suburb and in the second biggest industrial city of the country – Sumgayit.

The first industrial district will be created in the Neftchala region. The district was established for the development of the non-oil industry by creating commercial and processing enterprises to promote small and medium entrepreneurship.

A ten-hectare big area was allocated for this purpose in Neftchala. The district will have all the needed conditions including internal and outer infrastructures.

The State Program for the Development of Industry in 2015-2020 says Azerbaijan will establish some industrial parks in Ganja and Mingachevir cities in 2015-2018.

Azerbaijan will also create favorable conditions for other countries to participate in the industrial parks.