Image

Azerbaijan’s Council of Agricultural Subsidies decides on subsidy distribution ratios

02 September 2019

Starting next year, agricultural subsidies will be issued according to the coefficients determined by Azerbaijan’s Council of Agricultural Subsidies, Trend reports referring to the Ministry of Agriculture.

The council made the corresponding decision in accordance with clause 2.4 of the "Rules for subsidizing agricultural production" approved by the decree of the president of Azerbaijan on the distribution of crop production and crops by region, production and seed ratios, quotas for seedlings and determining the need for sowing.

As per the decision, the sowing coefficients and the amount of subsidies for agricultural plants are to be determined at a base cost of 200 manats in the following order, starting from 2020:

Types of crop production

Seeding rate

 Subsidy for sowing

(manats per  hectare) 

Wheat

1.0

200

Rice

1.4

280

Soybean

1.3

260

Sorghum

0.5

100

Other cereals and legumes (barley, rye, millet, oats, peas, lentils, etc.)

0.8

160

Buckwheat

0.9

180

Peanut

0.9

180

Saffron

2.0

400

Sunflower

1.0

200

Tobacco

1.4

280

Cotton

1.1

220

Sugar beet

1.4

280

Potatoes

1.2

240

Vegetables

1.2

240

Gourds

1.1

220

Other plants

0.5

100

Grapes:

   

Within 4 years from the date of landing

3.0

600

After 4 years

1.2

240

Tea:

   

Within 7 years from the date of landing

3.5

700

After 7 years

1.2

240

Intensive orchards (excluding walnut crops with green peel)

   

Within 4 years from the date of landing

4.0

800

After 4 years

1.2

240

Intensive orchard crops with green peel (walnuts, hazelnuts, etc.)

   

Within 4 years from the date of foundation of the garden

2.0

400

After 4 years

1.2

240

Other orchards

1.2

240

Berries

1.0

200

 

According to the council’s decision, the following orchards with drip irrigation system are referred to as intensive fruit orchards:

- apple trees, pears, cherries (sweet and sour cherries), plums, peaches (nectarines), apricots, cherry plums and almonds - a garden with a density of vegetative seedlings of at least 650 units per hectare;

- persimmon and pomegranate - a garden with a density of seedlings of at least 450 units per hectare;

- lemon, orange, mandarin and feijoa - a garden with a density of seedlings of at least 650 units per hectare;

- hazelnuts - a garden with a density of foci of 330 units per hectare;

- medlar, dogwood, silverberry, figs, walnuts, olives and others - gardens with a seedling density of at least 330 units per hectare.

Subsidies for grape and intensive fruit orchards will apply to orchards established since 2019. Other subsidies for planting will be issued with a coefficient of 1.2, provided that the density of seedlings is not less than 90 per hectare.

According to the decision,

  1. The rice coefficients are applicable to Aghdash, Aghsu, Astara, Bilasuvar, Goychay, Lankaran, Masalli, Salyan, Samukh, Ujar, Yevlakh, Sheki and Zardab districts, and are equal to zero in relation to other districts.
  2. Cotton coefficients are applicable to Aghjabadi, Aghdam, Aghdash, Aghsu, Beylagan, Bilasuvar, Jabrayil, Jalilabad, Fuzuli, Goranboy, Hajigabul, Imishli, Kurdamir, Neftchala, Saatli, Sabirabad, Salyan, Samukh, Tartar, Ujar, Yevlakh and Zardab districts, and are equal to zero in relation to other districts.
  3. Tobacco coefficient is applicable to Aghstafa, Balakan, Gadabay, Goranboy, Ismayilli, Lerik, Masalli, Oghuz, Gakh, Gazakh, Gabala, Sheki, Tovuz, Yardimli and Zagatala districts, and equals zero in relation to other districts.
  4. Hazelnut coefficient is applicable to Aghstafa, Balakan, Zagatala, Khachmaz, Gakh, Gabala, Guba, Sheki, Oghuz, Gusar, Gazakh, Shabran and Ismayilli districts, and equals zero in relation to other districts.
  5. Tea coefficient is applicable to Astara, Lankaran, Masalli and Zagatala districts, and equals zero in relation to other districts.

The council decided to issue subsidies in the amount of 100 manats per ton of cotton, 50 manats per ton of dry tobacco, 5 manats per ton of wet tobacco, and 4 manats per ton of sugar beet handed over to processing facilities. The issuance of subsidies for these coefficients will begin in 2020 and will be carried out through the Electronic Agriculture Information System.