Belarusian butter bought at comparable prices sells for 50% less or more in Georgian stores than in Azerbaijan, economist Asif Ibrahimov says, citing customs charges and limited competition among the reasons for the gap.
Azerbaijan imported $113 million worth of butter and $223 million worth of vegetable oils during the first nine months of 2026, according to figures cited by Globalinfo.az.
The increase in imports has coincided with continued price growth in the domestic market.
Ibrahimov said Azerbaijan’s dependence on imported food and rising prices reflect economic problems that have accumulated over years.
Food, alcoholic beverage and tobacco prices rose 6.9% in January-September from the same period of 2025, according to Azerbaijan’s State Statistical Committee.
“I consider the management of agriculture and the economy ineffective in terms of results,” Ibrahimov said. “Fundamental changes have long been needed to expand local production, resolve farmers’ problems, develop processing and reduce dependence on imports.”
Customs Charges Raise Prices at the Border
Ibrahimov said allocating land to farmers is not enough to develop production. Producers also need access to financing, equipment, irrigation, quality seeds, processing facilities and markets.
They must also be able to compete with imported goods, he said.
“Excessive customs tariffs are a separate problem. The State Customs Committee raises the price of a product at the border with a single action. As a result, butter bought from Belarus at the same price is sold in Georgian stores for 50% less or even more than in Azerbaijan,” Ibrahimov said.
He argued that if domestic production cannot meet demand while consumers pay steadily higher prices, the results of economic policy require serious evaluation.
Consumers Bear the Cost
Ibrahimov said weak links between agriculture and industry, insufficient processing, high production costs and limited competition perpetuate dependence on foreign supplies.
The final burden falls on consumers, he said.
He called for a review of agricultural and economic policy and said authorities should explain why local output remains insufficient, what obstacles farmers face and what specific measures are being taken to contain prices.
“The effectiveness of economic management should be measured by results, not by the amount of money allocated or the number of promises made,” Ibrahimov said.
AZE.US