MTN, Baku – Azerbaijan will host halal business and tourism forum, next year. What will it be like?
Reported from aitf.az, an MOU for Azerbaijan Halal Business and Tourism Forum 2024 just signed.
This Memorandum of Understanding on organization of the Azerbaijan Halal Business and Tourism Forum was signed within the framework of the 35th meeting of the Board of Directors of the Islamic Chamber of Commerce, Industry and Agriculture (ICCIA).
The signing of the Memorandum of Understanding took place at the opening ceremony of the 35th meeting of the Board of Directors of the Islamic Chamber of Commerce, Industry and Agriculture held in Baku. The document was sealed by Orkhan Mammadov, the Chairman of the Board of the Small and Medium Business Development Agency of the Republic of Azerbaijan (KOBIA), Fuad Nagiyev, the Chairman of the State Tourism Agency, Marat Kabayev, the President of the International Association of Islamic Business, Yusif Khalavi, the Secretary General of ICCIA, and Bahruz Hidayatzade, the executive director of “Caspian Event Organizers” LLC.
The Memorandum of Understanding regulates joint activity on issues related to the organization of Azerbaijan Halal Business and Tourism Forum in 2024, as well as mutual cooperation on the implementation of joint projects.
Caspian Event Organisers LLC (CEO) is the organiser of a series of annual international exhibitions and conferences in Azerbaijan.
The scale and importance of the events arranged, including the “ADEX” Azerbaijan International Defence Exhibition, “Caspian Agro” Azerbaijan International Agriculture Exhibition, “InterFood Azerbaijan” Azerbaijan International Food Industry Exhibition, “AITF” Azerbaijan International Tourism and Travel Exhibition, “BakuBuild” Azerbaijan International Construction Exhibition, “TransLogistica Caspian” Caspian International Transport, Transit and Logistics Exhibition and others indicates the high professionalism of the services provided by CEO.
Dr. Firdaus Fanny Putera Perdana in LinkedIn, analyzing Azerbaijan’s halal industry potential, using S.W.O.T (Strengths – Weakness – Opportunities – Threats) method. Here is his analysis.
Azerbaijan, a nation with a rich history and a significant presence in the global oil market, is embarking on a strategic journey with its Halal industry potential. This comprehensive initiative represents a pivotal shift toward economic diversification, steering the country beyond its traditional reliance on the oil sector. Leveraging its stable economy, favorable climate, and commitment to ongoing reforms, Azerbaijan is positioning itself for sustained economic development, increased trade engagement, and the flourishing of its Halal industry. This multifaceted approach not only ensures the nation’s long-term economic stability but also strengthens its resilience in the face of global uncertainties.
Strengths
Azerbaijan boasts several strengths that form the foundation of its Halal industry potential. The country’s stable economy, characterized by price stability, provides a conducive environment for business growth and investment. The favorable climate for agriculture and livestock further supports the development of a robust Halal industry.
Rich resources for Muslim-friendly tourism, combined with the growth in the transport and communication sectors, present opportunities for diversification. The Caspian Sea, a strategic asset, contributes to fishing and caviar production, adding another dimension to Azerbaijan’s economic potential. Strong political stability and commitment, along with key infrastructure projects such as new ports and railways, reinforce the nation’s capabilities.
Weaknesses
Despite the strengths mentioned above, Azerbaijan faces certain weaknesses that require strategic attention. The delayed privatization of major firms, coupled with a lingering reliance on oil revenues for exports and budget, poses challenges to economic diversification. Customs procedures present obstacles, and infrastructure gaps with outdated technologies need addressing.
The underdeveloped financial sector for Islamic banking and existing sectorial monopolies underscore the need for comprehensive reforms. Regional development disparities and transportation barriers between regions demand targeted interventions to ensure inclusive growth.
Opportunities
Azerbaijan’s Halal industry potential aligns with a spectrum of opportunities that can catalyze its economic transformation. Increased foreign investment in non-oil sectors is a key avenue for diversification, offering the potential for sustainable growth. The nation’s commitment to deepening integration into the global economy positions it as an attractive partner for international trade.
Azerbaijan’s strong transition to a free-market economy enhances its competitiveness, while its strategic location at trade and historical crossroads opens up avenues for value-added opportunities in logistics and free economic zones. Participation in North-South transport corridors connecting Iran, Russia, and Europe, as well as a crucial role in China-Europe trade via the Silk Road, positions Azerbaijan at the center of evolving global trade dynamics.
Threats
Amidst the opportunities, Azerbaijan faces certain threats that require careful navigation.
The absence of direct access to the sea and ocean limits maritime trade options, emphasizing the importance of optimizing existing transportation routes. Strong competition in the corridor, including alternatives like the Trans-Siberian – Kazakhstan and sea freights, as well as the combination of railways in Iran and Turkmenistan, underscores the need for strategic planning to maintain Azerbaijan’s competitiveness.
Conclusion
Ultimately, Azerbaijan’s Halal Masterplan represents a bold and strategic initiative poised to propel the nation into a new era of economic diversification and growth. The strengths of a stable economy, favorable climate, and rich resources, combined with opportunities for increased global integration, position Azerbaijan for sustainable development. However, addressing weaknesses and navigating threats, including geopolitical challenges and regional competition, is crucial for the successful implementation of the Halal industry initiatives. As Azerbaijan embraces this multifaceted approach, it sets the stage for long-term economic stability and resilience in an ever-evolving global landscape.