Creation of metallurgical complex in Azerbaijan to reduce dependence on import

“The volume of investments for the establishment of a metallurgical complex, consisting of five plants, in Azerbaijan is estimated at 1.225 billion euros,” said Azerbaijani Economy Minister Shahin Mustafayev.

Mustafayev made the remarks during an event titled “Development of metallurgical industry: new challenges and goals” in Baku on Dec. 20.

During the event, a contract was signed on the construction of a metallurgical complex in the city of Sumgait.

The contract was signed by Chairman of Supervisory Board of Baku Steel Company, Rasim Mammadov, and Chairman and CEO of Danieli Group, Gianpietro Benedetti.

“The construction of the complex is planned to be completed in three years. During the construction work, 4,000 new jobs will be opened as part of the project, and more than 1,200 permanent jobs will be created after commissioning of the complex,” said Mustafayev.

The minister noted that a half of the complex’s products will be exported.

“This is a very important project both in terms of creating new job spots and reducing the dependence on import, expanding export potential of the country,” he said.

Azerbaijan will be able not only to fully meet its demand in metallurgical products, but also export the remaining part of the products, added the minister.

Mustafayev went on to say that the project will be fully implemented thanks to private investments.

“In particular, investments of the companies, as well as banks will be attracted,” he explained. “Meanwhile, these loans won’t be attracted under a state guarantee.”

Addressing the event, Gianpietro Benedetti, for his part, said that the creation of the complex will allow Azerbaijan saving about $500 million per year from the import of steel products. (Trend.az)