Page 93 - Azerbaijan State University of Economics

Bahruz Babayev: Main Directions of the Non-Oil Export Sector in Azerbaijan
62.
63.

Moreover, the above-mention sectors have been made a part of the strategic roadmaps
for the development of the national economy. Besides, a very special focus has been
given to the development of other non-oil sectors, including tourism, regional
transportation routes, information technologies, innovations, and logistics centres at the
state level. While entrepreneurship, agriculture and the non-oil industry may enjoy huge
export potential, innovation and technological advancements can enhance international
competitiveness and productivity in these areas. Therefore, the development of the non-
oil export sector is regarded to be closely correlated with the development of
technology, innovation and information technologies.

MAIN DIRECTIONS OF THE NON-OIL EXPORT SECTOR IN
AZERBAIJAN
Regarded as one of the earliest engagements of the local population in Azerbaijan
since ancient times, an agricultural sector today employs 37% of the population
working in the country’s economy. When looking at Azerbaijan’s foreign trade
indicators, exports of agricultural products are second after the exports of oil
products. Productive soils, natural water resources and a diversity of climate zones
offer tremendous opportunities for a developed agricultural sector in Azerbaijan.
The state has made serious investments in agriculture in recent years and large-scale
reforms are underway. Experts predict that the agricultural sector will experience a
rapid rise in the years ahead.

It must be mentioned that Strategic roadmap on Agricultural Development (2016:
41) outlines the state’s agricultural development goals. The state’s objective by 2025
is to strengthen the competitiveness of agricultural production and manufacturing
industry (2016: 45). In addition, the strategic map illustrates that the introduction of
innovations and agricultural automation is required to create modern farms to
enhance productivity (2016: 45). Furthermore, farmers’ access to financial resources
will be strengthened, the country’s agro-industrial complex will be transformed,
significant investments will be made in irrigation systems, and rural electrification
will be consolidated by 2025 (2016: 45-47). Experts and policy-makers mention that
agriculture is an important field that can decrease Azerbaijan’s dependence on oil
and gas exports.

Industrial development is a second part of the non-oil export sector. The national
industry of Azerbaijan includes industrial sector, mining industry, manufacturing
industry, electricity, gas, steam production, distribution and supply and water
supply, waste treatment. The industrial sector also includes light industry which is
textiles, clothing, carpet weaving, leather products and footwear production
(Ministry of Industry of Azerbaijan, 2016: 2). The main features characterizing the
93