Agribusiness incubators to appear in Azerbaijan
Agribusiness incubators maybe established in Azerbaijan to provide instructive and supportive environment for entrepreneurs during the critical stages of starting up a new business.
Agribusiness incubators maybe established in Azerbaijan to provide instructive and supportive environment for entrepreneurs during the critical stages of starting up a new business.
The measure is envisaged in the Strategic Road Map for the manufacture and processing of agricultural products.
Under the document the process is expected to be implemented till 2020 within 5 stages, which include strengthening of consulting services in the sphere of agribusiness, increase of business skills of start-uppers, provision of support for business doing and attraction of investments, provision of access to finances, as well as provision of continuous operation of business incubators.
The preliminary work will include total analysis of the business environment in the sphere of agriculture. The analysis is expected to define the most optimal value chain and a model of agribusiness incubators.
Some 10 such incubators are planned to be created in the country, while they are expected to be located particularly in Absheron, Lankaran, Guba-Khachmaz and Ganja –Gazakh economic regions.
Nearly 50 residents will be selected for each region, for instance, residents of Guba-Khachmaz region will comprise suppliers, producers, distributors and traders of fruit and vegetables. Residents will pass relevant training and prepare business plans. The authors of the best business plans (some 25 people) will get a chance to participate in more specialized training on business management. The most successful residents will be able to get an initial capital, which will be repayable. To provide sustainable operation of business incubators, residents will also pay commission charges within the repayment of the initial capital.
Graduates of business incubators will also get support in getting of finances and further expansion of businesses. The introduction of special mechanisms may be considered to facilitate issuance of loans and preferential credits for those applying to banks or credit organizations upon the recommendation of business incubators.
Some 20,000 new workplaces will be created in the country until 2020, while the increase in GDP will amount to 1.2 billion manats ($ 0.68), according to the document.
The direct effect of the measures envisaged in the Road Map will amount to 575 million ($ 328.1 million), while indirect effect will provide an additional increase of 660 million manats ($ 376.5 manats).