BAKU, Azerbaijan - Azerbaijan has opened a draft law on the agrarian sector for public consultation, outlining 32 responsibilities for the state and a broad set of proposed support tools for farmers and agricultural businesses.
The draft was prepared on the initiative of President Ilham Aliyev, according to reports published on Oct. 2. It remains a proposal and may be revised following the consultation process before it is submitted for formal consideration.
Under the draft, state support could include subsidies, concessional loans and financial leasing, grants, public investment, tax and customs benefits, agricultural insurance and guarantees for the production of strategically important goods. The document also provides for public-private partnerships and the creation of sales venues for agricultural products.
Other proposed state responsibilities include information and advisory services, agricultural research, laboratory services and agricultural education. The draft would also allow compensation for losses caused by particularly dangerous animal diseases.
The procedure for granting subsidies would be set by the authorized state body. Data from Azerbaijan’s electronic agricultural information system, together with producer ratings, would be taken into account when allocating support.
The proposal does not specify subsidy amounts, lending limits or the size of possible guarantees. Those details would depend on later rules and implementing decisions if the measure is adopted.