Industry Portal of Azerbaijan

On the 14th of July 1969 a new stage of the country’s economic, social and cultural life began with the election of Heydar Aliyev as the First secretary of the Central Committee of the Communist Party of Azerbaijan. His election marked an advent of new political atmosphere with higher socio-economic development and better perspectives for the future. Since 1969 the process of creation of the basis of economic development of Azerbaijan had started by directing rich economic potential to further development of country and improvement of the welfare of the people. As a result of targeted measures taken by a great politician important structural changes had been made in the country’s economy, progress in all areas of industry had been achieved, new industrial sectors created, attention paid to strengthen the R&D related to production. Azerbaijan industry achieved one of the leading positions within the USSR due to the application of advanced technologies in production.

During the leadership of Heydar Aliyev in Azerbaijan in 1969-1982 more than 250 plants, factories and production areas had been put into operation. Electronic engineering, radio industry, machinery and equipment production for light and food industry and other advanced production fields had been created in this period. In a result of R&D works carried out through 1971-1985 581 items of new machines and equipment had been put into production line.

After thorough evaluation of the chemical industry Heydar Aliyev put forward a development concept of the industry in 1971. According to this concept of the great leader since 1970 consecutive and targeted measures had been taken on renewing equipment base, introduction of new technologies to production areas of the “Chemical Industry” Production Unity. New sulfate production complex was put into operation in 1975. In 1971 Synthetic Rubber Plant with 15 thousand tons of butyl rubber production capacity was put into operation and the plant became the only enterprise producing this type of rubber in the USSR. In 1981 the country began the construction of ethylene and polyethylene producing EP-300 complex with high production capacity and modern technology. In the early 1980s polyethylene producing “Polymer-120” complex of the state-of-the-art technology and high efficiency had also been put into operation and thus complemented the technological cycle of the EP-300. 

In general creation of a large chemical complex and expansion of a great number of chemical plants is closely tied with the name of Heydar Aliyev. Taking into account the role of oil industry in the economy Heydar Aliyev achieved dynamic development of this field in the 1970s, when modernization of the petrochemical industry had been achieved. In 1972 billionth ton of oil was extracted from Azerbaijani oil fields. In oil refining plants new equipment had been installed for the initial processing of oil and this created favorable conditions for enterprises to produce 90 types of products.

During these years oil machinery plants had been rebuilt in Azerbaijan and new production fields began to operate. The largest steel processing plant in the South Caucasus had been built and commissioned in the 1970s. In 1985 the Deep-water jackets factory produced its first product. In the 1980s and early 1990s great part of oil equipment in the Soviet Union had been produced by the Azerbaijani oil engineering plants. Azerbaijan was ranked second in the world after US in the field of oil equipment.

New tools production enterprises had also been created at the time. The “Ulduz” (“Star”) electrical equipment factory and “Ozone” factory was commissioned in Baku in 1973 and Domestic compressor plant was commissioned in Sumgait in 1971. In 1975 Baku domestic air conditioners plant started its functioning for the first time in the USSR. 

Whereas from the middle of the XIX century until 1969 735 large industrial objects had been built in Azerbaijan, just within the years 1969-1982 the number of factories reached 1048. During these years the average annual growth rate of the industrial output reached 7.9 percent. Compared to 1920 in 1982 the volume of industrial output in Azerbaijan increased 187.9 times. 11 power plants had been built during the leadership of Heydar Aliyev. The production of electricity increased twice and the energy independence of Azerbaijan was ensured.

Along with that in 1970-1982 the largest steel mill in the South Caucasus, non-ferrous metals plant in Ganja City, wood processing plant in Alat region, glass plants in Nakhichevan and Sumgait and other industrial enterprises had been commissioned. In short, all achievements of the after 1969 period were the results of purposeful activities of the great leader Heydar Aliyev.

In 1991 Azerbaijan regained its independence. In the first years of the independence the political crisis, lack of compliance with the requirements of the new economy resulted in a drastic reduction of volumes of the industrial production. Industrial output decline became acute – in 1991 the volume of industrial output was only 10% of that of 1985, in 1992 37%, and in 1993 50%. Heydar Aliyev came to power in 1993 and laid the foundation of momentous changes in the industry. 

Heydar Aliyev was the founder of present industrial potential of Azerbaijan Republic in 1970-1980. After return to the power in 1993 National Leader Heydar Aliyev began to carry out the measures related to reviving oil-gas industry – the locomotive of Azerbaijani economy.

On the 20th of September 1994 the first international “Contract of the Century” was signed in Baku with 11 transnational oil companies representing 8 countries and it was the mark of Azerbaijan’s integration into the world economic system, and the foundation of the country’s energy security. 

In 1996 Azerbaijan signed an agreement allowing its oil exports via Baku-Novorossiysk pipeline. In 1999 the new pipeline Baku-Supsa was put into use; additionally, an agreement on construction of Baku-Tbilisi-Jeyhan was signed, which is currently the major oil exporting pipeline. By the personal initiative of the great leader Heydar Aliyev construction of the Baku-Tbilisi-Erzurum gas pipeline began for the export of Azerbaijani gas to the western markets.

Development of oil machinery had always been in the focus of Heydar Aliyev. One of the most important measures was the creation of the “Azneftkimyamash” Joint-Stock Company that comprised of 17 plants and 4 scientific-research institutes.

At the same time the number of significant measures had been taken for the development of  electric power, electrical, machine-building and automotive sectors. In order to ensure the development of the electric power industry, special attention had been paid to attract investment to this field. “Shimal DRES” and “Yenikand” hydro power stations had been put into operation.

All in all, Heydar Aliyev carried out extensive programs to develop all industrial fields. He had taken purposeful measures to achieve growth and rapid development of industry in the country. Today in Azerbaijan there is no area of industry that is not connected with the name of the great leader as he made invaluable contributions for the formation of industry in Azerbaijan.