Azerbaijan abolishes VAT on grain import

The Azerbaijani Cabinet of Ministers made a regulation to exempt the imported grain, meslina (a mixture of wheat and rye), wheat and rye flour from VAT, the Cabinet of Ministers said.

This decision enters into force after signing (December 3) and will run until August 1, 2011.

The decision is made on the basis of the proposal between the Ministry of Economic Development, the Ministry of Agriculture, the Ministry of Emergency Situations, the Ministry of Finance, the Ministry of Taxes and the State Customs Committee.

According to the state program on providing Azerbaijani population with food products in 2008-2015, the volume of grain production in the country must hit 2,8 million tons per year. Roughly 147,000 hectares less were sowed in 2010 than in 2009.

VAT makes up 18% in Azerbaijan.


/Trend/