The laying of the foundation of the Nakhchivan Industrial Park within the framework of President Mr. Ilham Aliyev's 17th visit to the Nakhchivan Autonomous Republic, as well as the strategic goals voiced by the head of state in his interview with Azerbaijan Television, indicate the transition of the region's economic development to a new stage. The implemented projects possess exceptional value in terms of Nakhchivan's deeper integration into global trade, the acceleration of the industrialization process, and the expansion of international transit potential. The newly emerged economic realities bring Nakhchivan to the forefront as a giant production and logistics hub connecting the East and the West.
Commenting on the topic, Aykhan Gadashov, head of the "Azexport.az" portal of the Center for Analysis of Economic Reforms and Communication, stated that in an era where global supply chains are being reshaped, the new initiatives put forward regarding the Zangezur corridor fundamentally change the geo-economic significance of Nakhchivan, promising immense advantages for our local producers and foreign investors. These reforms should be viewed not merely as a regional development program, but as a vision for transforming Nakhchivan into a massive transit, production, and digital hub connecting the East and the West. The most crucial point underlying the philosophy of this strategic vision is that this is not just an ordinary transit route; it is an exceptionally important corridor that ensures the integration of the economic potential of Karabakh and Eastern Zangezur with Nakhchivan, serving to increase and further expand the economic power of those regions. The location of the 310-hectare Nakhchivan Industrial Park—the foundation of which was laid during the visit—to the south of the Sadarak highway will provide this emerging vast economic potential with direct access to the markets of Türkiye and, from there, to global logistical routes.
A. Gadashov noted that the envisioned infrastructure projects will play a decisive role in increasing logistical efficiency. The Zangezur corridor is not just a regional road; it is the main junction of the East-West trade route stretching as far as Pakistan and China. As emphasized by the head of state, rapidly increasing the cargo-handling capacity of the existing railway from 1.5 million tons to 15 million tons, as well as restoring the missing links in the Ordubad and Sadarak areas at Azerbaijan's own expense, will transform Nakhchivan into an intercontinental transit center.
Currently, modern and intensive orchards are being established across thousands of hectares in our liberated territories. With the operationalization of the corridor, the rapid and cost-effective transportation of agricultural raw materials grown in our country's western regions and liberated territories to Nakhchivan will be ensured. Consequently, Nakhchivan will function not merely as a transit point, but as a giant deep-processing center where these raw materials are received and converted into industrial products. The high value-added products manufactured here will be exported globally—namely to European and American markets—more rapidly and with minimal logistics costs by passing through the territory of brotherly Türkiye.
The head of the portal noted that to realize these complex production and export operations, the state offers a chain-like support mechanism for entrepreneurs. For instance, if an entrepreneur wishes to establish a deep-processing enterprise in the Nakhchivan Industrial Park, at the initial stage, while importing modern technologies and equipment into the country, they are fully exempted from import duties and VAT in accordance with the regulations of the Tax Code and customs legislation. Additionally, based on the relevant decisions of the Agrarian Subsidy Council, the purchase of innovative agro-industrial and deep-processing equipment is directly subsidized by the state. Alongside all these financial concessions, the state provides the entrepreneur with ready infrastructure, fully equipped with water, gas, electricity, communications, and a road network. Once the production process begins, the enterprise is completely exempted from profit, property, and land taxes for a period of 10 years, which drastically reduces the production costs.
After the finished product comes off the production line, the process of obtaining the international certificates required for its entry into Western markets, particularly Europe and the US (e.g., "ISO", "GlobalGAP", etc.), begins. At this stage, in accordance with Decree No. 1063 of the head of state dated October 5, 2016, certification costs are covered by the state. Once the quality is verified, the next decisive step is accessing the foreign market. It is exactly at this phase that the "Azexport.az" portal provides direct support to producers in finding potential customers and reliable partners on a global scale, and in establishing digital sales channels.
Once a customer is found, the biggest issue facing the exporter—logistics costs—is resolved by the state. Thus, according to the Decree signed by the President, which will come into force on September 1, 2026, transportation support covers shipments to both international and domestic markets. In accordance with the new mechanism, up to 70 percent of the transportation costs of non-oil goods exported to foreign countries are compensated at the expense of the state budget. The Decree also envisages a special instrument for Nakhchivan. Namely, 70 percent of the transportation costs of products manufactured in Nakhchivan and transported by land to other parts of the country are also directly paid by the state. This established favorable business environment, combined with Nakhchivan's proximity to transport hubs and its transit advantages, creates an opportunity for our producers to have unhindered and rapid access to both domestic and international markets, thanks to this comprehensive chain of state support.
Aykhan Gadashov emphasized that one of the most remarkable aspects of the emerging favorable investment climate is the convergence of energy potential with the logistical and industrial capabilities of the region at a single point. A completely unique economic and digital ecosystem is being formed in Nakhchivan. On the one hand, the Zangezur corridor is turning into a global transit line connecting Asia with Europe and America. On the other hand, giant deep-processing and production clusters are being established along this very route through extensive state support. At the center lies a massive resource that feeds all these international operations, namely Nakhchivan's complete energy security and a 200-megawatt generation capacity that exceeds demand. Global trade, logistics, and production processes implemented on such a scale inherently necessitate the continuous processing of massive databases. In the modern era, where artificial intelligence technologies and global data centers demand huge amounts of energy, such abundant energy will encourage international technology giants to build their digital infrastructure directly along this corridor.
Thus, Nakhchivan is transforming into a global ecosystem where logistics, production, and advanced technologies are concentrated in a single space, and from where digital services are exported.