07 September 2026, 11:40

By a decision of the Agricultural Subsidies Council, new subsidy mechanisms and amendments to subsidy conditions have been approved in line with the targets set out in the “State Program on the Development of Agricultural, Fishery and Aquaculture Production and Processing Sectors in the Republic of Azerbaijan for 2026–2030”, approved by the Order of the President of the Republic of Azerbaijan dated May 25, 2026. The amendments cover increasing productivity and production in agriculture, expanding the application of modern irrigation technologies, promoting processing and export-oriented production, improving the breed composition in livestock farming, as well as strengthening the country’s food security.

Commenting on the issue, Ayxan Gadashov, Head of the Azexport.az portal operating under the Center for Analysis of Economic Reforms and Communication, stated that at a time when competition in global markets is intensifying and quality and food safety standards are becoming stricter, government support for agricultural producers in accessing foreign markets is of great importance.

“One of the key directions of the new subsidy policy from an export perspective is support for international certification. Compliance with international standards is one of the main prerequisites for accessing European, Gulf countries and other high-purchasing-power markets. Subsidizing the costs of obtaining international certifications such as “Global G.A.P.”, “FSSC 22000”, “HACCP”, “GRASP”, “BRCGS”, “FSMA” and international organic certifications, ranging from AZN 7,000 to AZN 36,000, as well as annual maintenance costs at 10 percent of the respective amount, will help reduce the financial burden on producers and increase the reliability and competitiveness of local products in foreign markets. This support may expand the opportunities for our producers to access markets where high standards are applied,” A. Gadashov noted.

A. Gadashov stated that increasing export potential is closely linked to the application of sustainable and innovative production methods, as well as diversification of the product portfolio. Under the Council’s decision, subsidies of AZN 7,500 per hectare are provided for establishing new export-oriented crops that generate high added value, including aronia orchards, while AZN 6,000 per hectare is provided for rose cultivation intended for essential oil production. This support may create conditions for expanding the production of these products, as well as increasing opportunities for integration into international supply chains in the pharmaceutical and cosmetics industries.

At the same time, the promotion of small-scale (boutique) winemaking, the provision of AZN 20,000 per hectare in support for super-intensive vineyards, and the target of establishing 20 new boutique wineries by 2030 create new opportunities to increase the added value of local viticulture and winemaking products and present them as branded products in foreign markets.

The Head of the portal also emphasized the growing importance of environmental sustainability and efficient resource use in international trade against the backdrop of global climate change.

“Today, global markets focus not only on the quality of a product, but also on the environmental impact of its production process and the efficient use of resources. Cultivation subsidies applied to modern irrigation systems, laser land leveling and fourth-generation greenhouses with glass coverings will contribute to increasing resource efficiency and environmental sustainability in production, as well as adapting to the relevant requirements emerging in international markets,” A. Gadashov said.

Emphasizing that the targets set also serve to strengthen domestic supply and develop the processing industry, A. Gadashov noted that the scope of the decision is broad. Support directed towards raw materials such as grapes, olives, dates, roses, almonds and milk delivered to processing enterprises may create conditions for expanding local processing and increasing exports of high-value-added finished products.

In addition, the introduction of product subsidies for sturgeon and salmon species in fisheries for the first time, support for intensive cattle and small ruminant farming, including the national “Karabakh” and “Dilbaz” horse breeds, as well as the application of discounts of up to 60 percent for seed production and agricultural machinery, are aimed at increasing production and productivity across various areas of the agricultural sector. The provision of 30 percent of subsidies to farmers in advance is also important in terms of financing the current expenses of farms and increasing operational flexibility.

A. Gadashov stated that support for international certification, promotion of sustainable production and strengthening the supply of the processing industry with local raw materials create additional opportunities for the development of agricultural exports: “New government support mechanisms serve to help producers comply with international standards, expand export-oriented production and increase access to foreign markets for high-value-added products. The measures implemented in this direction are important for strengthening Azerbaijan’s position in the global agri-food market and integrating local producers into global value chains.”


Center for Analysis of Economic Reforms and Communication
www.ereforms.gov.az