New agricultural subsidy mechanisms and amounts of state support have been determined in Azerbaijan, APA-Economics reports.
According to a decision by the Agricultural Subsidy Council, new subsidies will be introduced in the livestock and fisheries sectors in addition to crop production.
Under the decision, a subsidy of AZN 400 per hectare will be paid for wheat cultivation using modern irrigation systems in 22 specialized districts, while AZN 200 per hectare will be provided for traditionally irrigated and rainfed crops. In areas using modern irrigation, the subsidy has been set at AZN 500 per hectare for potatoes, vegetables, chickpeas, beans and other legumes, and AZN 310 per hectare for melons and gourds.
In mountainous districts and the Nakhchivan Autonomous Republic, potato and vegetable cultivation using modern irrigation will receive a subsidy of AZN 600 per hectare, while AZN 400 per hectare will be provided in other areas.
The production subsidy for cotton will also vary depending on the irrigation method. The subsidy will amount to AZN 200 per tonne with traditional irrigation, AZN 215 per tonne with sprinkler and pivot irrigation, and AZN 300 per tonne with drip irrigation.
Under the new decision, subsidies ranging from AZN 500 to AZN 5,000 per hectare have been set for greenhouses, depending on their technological level and covering material. The highest amount — AZN 5,000 per hectare — will be provided to fourth-generation high-tech glass-covered greenhouses.
The cultivation of new export-oriented crops will also be supported. A one-time subsidy of AZN 7,500 per hectare is envisaged for establishing aronia orchards, while AZN 6,000 per hectare will be provided for rose plantations intended for essential oil production. To develop boutique winemaking, a subsidy of AZN 20,000 per hectare will be provided for super-intensive vineyards covering 5–20 hectares, while intensive vineyards will receive AZN 10,000 per hectare. The goal is to establish 20 new boutique wineries by 2030.
The scope of subsidies for products delivered to processing enterprises will also be expanded. A subsidy of AZN 50 per tonne has been set for wine grapes and persimmons, AZN 30 per tonne for olives and in-shell almonds, AZN 100 per tonne for roses delivered for essential oil production, AZN 10 per tonne for licorice, and AZN 50 per tonne for malting barley.
To facilitate farmers’ and agricultural enterprises’ access to foreign markets, obtaining international certificates will also be subsidized. State support for Global G.A.P., FSSC 22000, HACCP, GRASP, BRCGS, FSMA and international organic certificates will range from AZN 7,000 to AZN 36,000, depending on the type of certificate.
New support mechanisms will also be introduced in livestock farming. In intensive farms established after October 1, 2026, a subsidy of AZN 1,500 per head will be provided for dairy and dual-purpose dairy and beef cattle, and AZN 1,000 per head for beef cattle. In existing farms, an annual subsidy of AZN 500 per head is envisaged for pedigree dairy cattle, AZN 800 per head for dairy cattle bred from local pedigree stock, and AZN 200 per head for crossbred dairy cattle.
To increase milk production, a subsidy of 7 gapiks per liter, or AZN 70 per tonne, will be provided for chilled raw milk delivered to processing enterprises and milk collection points. When milk is delivered through cooperatives, the amount will be increased by an additional 20%.
To encourage the slaughter of cattle weighing 600 kilograms or more at a high live weight, a subsidy of 40 gapiks per kilogram of live weight will be paid. A subsidy of AZN 3 per piece will be provided for cattle hides delivered for processing, 30 gapiks per piece for sheep and goat hides, and 30 gapiks per kilogram for wool.
For the first time, a production subsidy will be introduced in fisheries. The subsidy for salmonids and sturgeons produced in the country will amount to AZN 2,000 per tonne, while the subsidy for cyprinids and catfish will be AZN 600 per tonne.
In addition, incentives for agricultural machinery and technological equipment are being expanded. The subsidized share for combine harvesters, laser land levelers, cold storage facilities, grain silos, membranes for irrigation ponds and solar panels used in agricultural production will be increased to 50%. The incentive will be 60% for locally produced drip irrigation systems and 50% for foreign-produced systems.
For farmers engaged in crop production in designated border settlements, the subsidy coefficient will be calculated at 0.5 points above the nationwide base coefficient.
The new state support mechanisms are aimed at expanding modern irrigation, increasing the production of high-value products, supplying the processing industry with local raw materials, and enhancing export opportunities and the competitiveness of agriculture in line with the targets of the 2026–2030 State Program.
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