As Azerbaijan pursues economic diversification, reducing reliance on oil revenues has emerged as a strategic imperative. Over the past decade, the government has prioritised the development of non-oil sectors, particularly manufacturing, agriculture and high-tech industries. Industrial parks have become the cornerstone of this transformation, providing the infrastructure, investment incentives and policy support necessary to attract domestic and foreign investors while fostering innovation and employment. However, the long-term effectiveness of this model will depend on whether industrial output and export competitiveness can be sustained as global market conditions evolve and fiscal incentives are gradually reduced.

On January 27, President Ilham Aliyev attended the inauguration of the Azermirror LLC mirror sheet production plant within the Sumgayit Industrial Park, underscoring the government’s commitment to expanding industrial capacities and non-oil exports. Minister of Economy Mikayil Jabbarov highlighted that 104 enterprises are now operational in Azerbaijan’s industrial zones, generating over 11,000 permanent jobs and producing goods worth 19.4 billion manats, with 6.1 billion manats exported to 70 countries. At the next stage, an additional 1.74 billion manats is expected to be invested in ongoing projects. While these figures demonstrate tangible progress, they also raise questions about productivity growth, value added per employee and the resilience of exports in the face of global demand fluctuations.

Industrial parks are not merely production hubs — they are strategic instruments of economic policy. By concentrating resources and infrastructure, these parks enhance production efficiency, enable technology transfer and encourage the........

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