Page 72 - Azerbaijan State University of Economics

Gulbaniz T. Aliyeva: The issues related to formation of competitive structure of industry in Azerbaijan

means of customs tariffs. At the same time in some cases the production is not

limited locally and customs policy does not affect it. Therefore during the

preparation of the strategy it is important to consider such points. In general, we

believe that entrance of Azerbaijan to the World Trade Organization will have

minor negative effects.

In order to support the local products which enter the foreign markets with

advertisement, marketing and realization, it is important to establish Organization

of Support of Export Development. The establishment of this organization together

with interested companies would be efficient.

The researches show that, the substitution of imports and provision of

financial allowances is limited from industry and competitiveness development

points of view. Therefore it is important to develop the technical base of the

industry in order to achieve these results. The basic role of the government in this

direction is establishment of development institutes. These institutions should

finance and create the appropriate conditions for the private sector.

During the recent years the most representative example of collaboration of

the government and private sector was establishment of “Azerbaijan Investment

Company” based on decree of the President on “Measurements for development of

investment activities” dated by 30 March 2006. The purpose of the entity is capital

injection to the companies engaged in the non-oil sector and their further

71