Uzbekistan and Azerbaijan pool investments to establish a new industrial enterprise

The Azerbaijan Uzbek Investment Company (AUIC) will participate in implementing a project to build a packaging film plant in the Alat Free Economic Zone in Azerbaijan. The total cost of the project is estimated at $117.7 million.

The relevant agreement was signed within the framework of the 2nd Azerbaijan International Investment Forum in Baku. The Azerbaijan Uzbek Investment Company, the Azerbaijan Business Development Fund (ABDF) under the Ministry of Economy, and India’s UFlex Group will act as partners of the project. The document exchange ceremony took place with the participation of the President of Azerbaijan Ilham Aliyev.

The new enterprise will be located on a 4.7-hectare plot on the territory of the Alat Free Economic Zone (FEZ). The plant’s design capacity will be 60,000 tons of packaging products per year. The primary focus of production is export supplies and expanding the country’s industrial potential in the non-oil and gas sector. Currently, the project is in the pre-construction phase.

The signing of the agreement became one of the results of the 2nd Azerbaijan International Investment Forum, following which 23 agreements were signed for a total amount of $10.8 billion. The documents cover such areas as artificial intelligence, renewable energy, industry, and the financial sector.

During the forum, special attention was given to the development of transport and logistics links, the Middle Corridor, industrial and free economic zones, energy cooperation, the transition to a green economy, and digital transformation.

The Minister of Economy of Azerbaijan Mikayil Jabbarov, noted that the agreements indicate the growing interest of investors in the country’s economy. According to his assessment, attracting capital to new production projects contributes to economic diversification, the introduction of advanced technologies, and the creation of additional jobs.

Aziza Alimova, UzA