The economic division

Different regions of the country differ from other in respect of level of development for its natural conditions, resources, economy and territorial structure of the area,  population characteristics, historical development of and settlement of population. Therefore, only in a certain part of the country to produce this or any other product and develop the service areas is relatively effective compared to other regions. As a result, the formation of labor-territorial division takes place.  

As a result of the labor-territorial division of the economic regions, the specialization direction of the farm area is taken as the key factor.

The economic region is territories distinguished according to the directions of specialization of economy in different areas throughout the country.

Each economic region has specific economic, geographic location, natural conditions, natural resources, economic structure and the national composition of the population. Economy specialization and complex development are the main characteristics of economic region.

According to the economic division of 1995 the republic is divided in to 10 economic regions:  Absheron, Guba-Khachmaz, Sheki-Zagatala, Mountainous Shirvan, Ganja-Kazakh, Upper Karabakh, Kalbajar-Lachin, Aran, Lankaran-Astara and Nakhichevan are the existing economic regions in the country. They were combined in 5 natural-economic zones. Natural-economic zones are compatible with the physical-geographical regions.

Greater Caucasus region is the most contradictory region. Due to big internal differences it is divided into the following economic regions: Absheron, Guba -Shaki, Upper Shirvan, Sheki-Zagatala.

Absheron economic region

Absheron economic region includes the subordinated part of Baku, Sumgait, Absheron and Khizi administrative regions.

The economic region is located in the east coast of the Caspian Sea, in a very favorable economic and geographical position. The economic region is considered as the main transport hub in republic.

Absheron is an oil kingdom. The oil sector is in advanced position in the development of the industry. The region provides 60% of the total industrial output of the republic. All production areas of non-ferrous metal and petrochemical industries have been established here. 

The new and rapidly developing areas of Azerbaijani machine-building like instrument-making, electrical engineering and radioelectronics were concentrated in Absheron economic region.

The base of agriculture in Absheron economic region comprised of the milk-dairy cattle-breeding, poultry, sheep, vegetable, horticulture, viticulture and dry-subtropical fruit growing.

Sanatoriums have been established on the basis of rich natural balneology resources of the Absheron peninsula. At the same time that it is the only economic region, which has no natural fresh water. Absheron receives water from Shollar, Kura-Baku and Samur-Devechi channels. It is expected to be put in use the new pipeline from Qabala.

The territory of the economic region consists of Guba, Gusar, Shabran, Siyazan and Khachmaz administrative regions.  Guba-Khachmaz is located in the north-west of Absheron, on the shores of the Caspian Sea. In connection with gaining of the independence by the country the geographical position of the region\'s economic importance is growing. Communication lines connecting Azerbaijan with Russia pass through this region.

Oil, natural gas, shale, sand, gravel, clay are main natural resources of the region.

Agriculture is the basis of the economic region. Vegetable-and fruit-growing areas are its main specialization areas. For vegetable harvesting Khaschmaz and Gusar regions, and for fruit crops Guba, Gusar and Khachmaz regions are leaders. Besides, in Khachmaz, Siyazan  and Shabran  regions grapes, and in Gusar region potatoes are cultivated. Wheat is planted in every part of the region populated.  

Lower areas are centers for milk-meat cattle breeding, and mountainous regions of sheep herding. Alternation of summer and winter pastures here creates favorable conditions for the development of the sheep herding. There are poultry facilities in Siyazan, Charkhi and Davachi.

The economic region includes Balaken, Gakh, Gabala, Zagatala, Oguz, Sheki administrative regions and Sheki city.

Sheki-Zagatala is located in the north of the republic, at southern slopes of Great Caucasus Mountains.  The main natural resources of Sheki-Zagatala economic region is polymetallic ores, sand, gravel, clay, gypsum, etc found in the basin of Filizchay. Forests in the slopes of the mountains spread on 27% of the region\'s territory. They have supply importance.

Sheki-Zagatala is one of the key regions of the rest-sanatorium. The favorable natural conditions, mineral springs, forests, historical and architectural monuments as well as an important recreation are important rest and tourism centers.

Industrial enterprises located in Sheki-Zagatala mainly process agricultural products. Light industry is represented by the silk and textile industry in Sheki. Other sectors of the industry based on local raw material base are Zagatala furniture factory, brick factory, etc.

Alazan-Ayrichay Valley, the foothills of the Caucasus ridge areas, lowland Ajinohur are important agricultural areas. Tobacco cultivated in these areas, fruits, nuts, grain, cocoon are the key areas of agriculture in the region. According to the tobacco crops regions of Sheki and Zagatala are leaders, and for fruit harvest - Sheki, Oguz, Balakan, Zagatala, Gakh districts are ahead. In Sheki, Baku, Gabala regions grain harvesting is key areas of agriculture.

The territory of the economic region includes Shamakhy, Ismayilli, Aghsu and Gobustan administrative regions. 

Mountainous Shirvan is located in west of Apsheron , in the south-east foothills of the Great Caucasus Mountains. Due to the closeness to highly developed Absheron economic region from a socio-economic point of view, the geographical economic position of Mountainous Shirvan is favorable. Food and light industry has been developed.

The economy of the region is dominated by agriculture. Non-irrigated farming is the key area. Viticulture, grain growing and livestock are well developed.

In connection with diversity of landscape, natural resources, climate and etc it is divided into three economic regions:

Ganja-Gazakh, Kalbajar-Lachin, the Upper Garabakh.

The territory of economic zone includes Gazakh, Aghstafa, Dashkesan, Gadabay, Goranboy, Samukh, Geygol, Tovuz and Shamkir administrative regions. Here Ganja and Naftalan cities of republican subordination are located.

It is located in the west of the republic, at on railway, roads connecting Azerbaijan with Georgia and the Black Sea coast, in very favorable economic and geographical position. For economic and socio-cultural potential, Ganja-Gazakh ranks the second after Absheron economic region.  

Oil, natural gas, iron ore, alunite, limestone, bentonite clay, marble, gypsum, zeolite, cement raw materials, etc. are the main underground reserves of the region. Part of the Kura River, flowing from here is rich in hydropower resources, and these opportunities are widely used. Gey-gol-Hajikend zone, the northern slopes of Murovdagh, Naftalanın treatment oil, around of Mingachevir water reservoir, the mineral springs, forests are natural-recreation reserves of economic region.

On machine-building fields the electrical devices, communication equipment manufacturing, repair of motor vehicles and agricultural machinery has been established in the economic region. Heavy industry sector has an important role in the structure of the economy of this region. There are facilities for wood processing, construction materials, the production of consumer goods in settlements. 

In light and food industry enterprises, mainly the local raw materials are processed.

Agriculture has been developed in the region. Viticulture, potato growing, grain growing areas are main specialization areas of the region in agriculture. For grapes harvesting Gazakh, Aghstafa, Shamkir and Samukh regions are in leading position and for potatoes harvest Gadabay, Shamkir and Tovuz regions. For grain harvest Goranboy and Shamkir regions are ahead. Here, cotton (Goranboy), horticulture, vegetable growing, fruit growing and cattle breeding was developed as well. Jeyranchol is one of the most important winter pastures of the republic.

Economic region includes  Kalbajar, Lachin, Zangilan and Gubadly administrative regions.

Kalbajar-Lachin is located in the south-west of Azerbaijan, at Garabakh plateau and in the basin of Hakari River. The economic- geographical position of the region is not suitable.

Gold, mercury, chromium, construction materials (marble, perlite, copal) are the main underground resources of the region. Here Istisu, Minkend, Tutquncay mineral springs, climate-balneal conditions, mountain forests may be used for resort-recreational purposes. 

Sub-alpine and alpine summer pastures on the high mountain areas and hayfields have big significance. Meadows and areas suitable for beekeeping.

At one time, Kalbajar-Lachin was one of the livestock zones of the republic. Tobacco-growing, viticulture, fruit growing, grain growing areas are important fields of planting. The industrial enterprises are based on the processing of these raw materials. Meat and dairy products were processed in the economic region, carpets were produced.

The economic region includes Aghdam, Tartar, Khojali, Khojavand, Fizuli, Jabrail, Shusha administrative regions. Khankendi and Shusha cities of republican subordination are located here.  

Upper Garabakh is located in the south-east of natural-economic zone of the Lesser Caucasus, between Kalbajar-Lachin and Aran economic regions. In the south the border of the economic region with Iran passes along the Araz River. The region has favorable economic and geographical position. 

In the mountainous part of Garabakh, in regions dominated by Armenians Nagorno-Karabakh Autonomous Region was established in 07.07.1923, and its was liquidated in 26.11.1991 in connection with the war situation and the Armenian separatism.

Polymetallic ores (Mehmana field), oil, natural gas, various construction materials (marble, cement raw material, building stone) are the main mineral resources in Upper Garabakh. Mineral springs (Turshsy, Sırlan), climate-balneal conditions, forests and other natural and historical-architectural monuments can be used for rest and treatment.

Viticulture, grain, tobacco, cotton and livestock are the main agriculture areas in Upper Garabakh. Fruit, potatoes, garden-grown vegetables are grown in the region.

Wine-making, canned products, other agricultural products, food processing industry are the main directions.

Aran (Kur-Araz) economic region

The region includes the administrative districts located on the Kur-Araz lowland. They are Agdash, Agjabedi, Beylagan, Bilasuvar, Barda, Zardab, Imishli, Yevlakh, Kurdamir, Goychay, Neftchala, Saatli, Sabirabad, Salyan, Ujar and Hajigabul regions. Republican subordinated Mingachevir, Yevlakh and Shirvan cities are also situated here.

Aran occupies the central and eastern parts of the republic. It reaches the east of the Caspian Sea. Aran economic region located along the main transport lines of national importance along the Kur and Araz rivers has a very favorable economic and geographical position.

The main underground resources of the region are oil, natural gas, iodine and bromine mineral water, various construction materials (sawn stone, sand, gravel, etc.). Here, an abundance of sunlight, hot summer allows heat loving plants (cotton, grapes, wheat), tasty and nutritious melons and vegetables, dry subtropical fruits (quince, pomegranate and other stone fruits)  to grow.  As winter passes mild and rainy in the lowlands the winter crops are planted. However, due to the dry climate in summer, farming is possible only under irrigation.

Industry is highly developed in Aran economic region. Oil and natural gas deposits are located in Shirvan, Salyan, Neftchala, Kurdamir, Imishli and Zardab. State regional power stations in Shirvan and Mingechevir, hydroelectric power stations in Mingechevir and Varvara function . Therefore, the electric power is one of the advanced and specialized sectors of economy. Chemical industry enterprises have been operating in the cities Mingachevir, Salyan and Neftchala.  Plastics plant functions in Salyan, and iodine-bromine plant in Neftchala. 

Mingechevir, Shirvan and Salyan are the major centers of engineering in this region. Here, enterprises manufacturing construction materials, producing food industry products, consumer goods had been established.

Aran economic region is the important agricultural region of the republic. Cotton, grain, viticulture, dry-subtropical fruit-growing, horticulture and animal husbandry are

specialized areas of agriculture.

Lankaran-Astara economic region

The economic region includes Astara, Yardimli, Lerik, Lankaran, Masalli, Jalilabad administrative regions and the republican subordinated city of Lankaran.

Lankaran-Astara is locatedin the southern borders of the country, on the shores of the Caspian Sea. Transport lines connecting Azerbaijan with Iran, pass here. The region\'s economic position is very favorable from the geographical location and very important from strategic point of view.

There is a small amount of saw stone, sand, clay, gravel, and other construction materials in Lankaran-Astara region. The humid subtropical climate of area, sufficient sunlight allows growing here citrus fruits, tea, melons, vegetables, grapes, tobacco. 

The industrial enterprises of the economic region based on growing agricultural products cultivated here and processing of the fish caught from the Caspian Sea. 

Fresh vegetable, humid subtropical (citrus) fruit-and tea-growing are specialized areas of agriculture in Lankaran-Astara economic region. Here, tobacco, rice, cereals, grapes are cultivated as well.

Nakhchivan economic region

The economic region covers the same name Autonomous Republic. It is divided into Babak, Ordubad, Sadarak, Shahbuz, Yesterday, Julfa and Sharur administrative regions. Nakhchivan, Ordubad, Julfa have a status of the city subordinated to autonomous republic.  

Polymetallic ores, copper, molybdenum, rock salt, construction materials (marble, travertine, stone), dolomite, gypsum, there are important natural resources of Nakhichevan. Fertile lands of lowlands, plenty of solar is suitable for growing of heat loving plants, delicious fruit, melons and vegetable crops.

For irrigation of large areas the reservoirs on the Araz River and its tributaries are used. In the forests grown in valleys of the river mountains there are not reserves for supply of wood. Forests occupy 20 thousand hectares of the region. It is equal to is equal to the 0.5% of AR. 

The summer, pastures and hay fields in the upper parts of the mountains have no such importance. Mineral springs, mountain lakes (Batabat, Gey), natural (Ilandag) historical monuments in Nakhichevan are beautiful places for recreation and tourism.

The industry of Nakhichevan is one of the highly developed economic regions. Power (Araz water intake), electrical equipment (Nakhichevan), aluminum cookware, furniture and bottles (Nakhichevan), car repair (Shahbuz) are the leading sectors of the industry. From industry of construction materials the reinforced concrete constructions (of Nakhchivan, Sharur), coating materials’ plants, sand-gravel quarries are functioning there.    

There are textile (Nakhchivan, Julfa), silk (Ordubad), carpet weaving, knitting (Nakhichevan), enterprises from light industry in the economic region. 

Canned food-processing industry (Ordubad, Sharur), tobacco-fermentation, mineral water bottling, meat processing, fish plant (Nakhichevan, Shahbuz, Sharur) enterprises function in food industry.

The main areas of agriculture viticulture, tobacco, fruit and grain farming was developed in the Nakhichevan Autonomous Republic. Here, sugar beet, henna, vegetables, and flowers are also grown. Meat-dairy, cattle-breeding, sheep meat, wool and milk, silkworm breeding, apiculture are the main directions of husbandry.

At the moment only direct air transport is available with Nakhchivan.  City airport is of international level. Julfa city is one of the transport junctions.

Nakhchivan city is important industry, administrative, social and cultural center of Autonomous Republic. Most of the industrial enterprises in the economic region is located in this city. Julfa city is one of the major industrial and transport networks of the republic.