Page 61 - Azerbaijan State University of Economics

THE JOURNAL OF ECONOMIC SCIENCES: THEORY AND PRACTICE, V.75, # 2, 2018, pp. 47-63

and elimination of impediments to the economic growth. Azerbaijan recognizes the
role of international agricultural trade in achieving sustainable, balanced and inclusive
growth and is ready to work with its partners.

As the result of successful reforms, during recent years, the number of Azerbaijan’s
trading partners exceeded 180, the country signed, more than 60 bilateral trade and
economic partnership agreements, the country’s external trade increased several
times. Azerbaijan, as the initiator of large-scale trans-regional projects and enabler of
regional connectivity, will continue to mobilize more resources to increasing its share
in the global and regional trade, improving logistics and soft transport infrastructure.

According to the UNESCAP studies, Azerbaijan’s development cost of being
landlocked equals to 11.24% [UNESCAP, 2015]. Hence, taking into account country’s
geographical disadvantages due to landlockedness, Azerbaijan highly appreciates the
Vienna Programme of Action for landlocked developing countries, as a strategic
guidance for successful realization of its long-term economic sustainability objectives
and further ensuring country’s efficient integration into the global economy.

The Republic of Azerbaijan attaches importance to trade facilitation, simplification of
customs formalities and liberalization of foreign economic activities. As a party to the
revised Kyoto Convention on Simplification and Harmonization of the Customs
Procedures, the country is constantly working towards harmonizing its national
legislation with the best practices available.

FAO’s Partnership and Liaison Office was inaugurated in 2016 in Baku. It marks a
milestone in the collaboration between Azerbaijan and FAO. This partnership is
expected to strengthen the ongoing work and will open new horizons to working
together in the pursuit of common goals. The partnership, which begins with a 5-year
portfolio will focus, at the national level, on priority activities such as enabling
environment for investments in agriculture, rural development, food security,
improved crop and livestock production, animal health, plant protection, as well as
capacity building and strengthening the policy and institutional framework as set forth
in the FAO Country Programming Framework for 2016-2020.

Agriculture remains as one of important sectors in Azerbaijan’s non-oil economy.
Like on a global level, climate change negatively affects agricultural progress in
Azerbaijan. In this regard, Azerbaijan was included in the list of countries with a
climate-sensitive production and/or yields [FAO, 2018]. Being one of the leading
producers of agricultural goods in the South Caucasus region, Azerbaijan aims to
continue its expansion strategy to break into strategic markets. Multinational and
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