Azerbaijan - Sumqayıt Kimya Sənaye Parkı
The Sumgait Chemical Industrial Park (SCIP), sanctioned by Decree №548 of the President of Azerbaijan Republic on December 21, 2011, operates under the Ministry of Economic Development. SCIP’s primary objective is to create a conducive environment for industrial production, emphasizing competitiveness and innovation through high technology. Its broader aim is to bolster entrepreneurship, foster stable development in the non-oil sector, and enhance employment opportunities in the production sphere.
Infrastructure and Tax Incentives at Sumgait Chemical Industrial Park
SCIP, situated 31 km from Baku and near the Baku-Russia highway, spans a total area of 167.66 hectares and is publicly owned. The infrastructure offers points of connection to utilities through a “plug & play” system. Administered by “Sumgait Chemical Industrial Park” LLC under the management of the Ministry of Economic Development Azerbaijan Republic, SCIP extends tax exemptions to residents for seven years, covering corporate income tax, property tax, land tax, and VAT on imported equipment. Discussions are ongoing regarding potential expansions to the incentives portfolio.
The development vision for SCIP is to evolve into the chemical industrial center of the Caucasus and Middle East region. Key benefits for investors include on-site raw materials availability from established entities like SOCAR Polymer, Methanol Plant, Heydar Aliyev Baku Oil Refinery, Azerikimya PU, Azerneftyagh Oil Refinery, Petkim Petrokimya, and Urea Plant.
Investment and Employment Impact at
Sumgait Chemical Industrial Park
Managed by the Economic Zones Development Agency under the Ministry of Economy, SCIP has attracted investments exceeding 5.3 billion manats. Current plans involve additional investments surpassing 300 million manats. The industrial park has significantly contributed to Azerbaijan’s economic diversification, non-oil sector development, increased employment, innovative production organization, and reduced dependence on imports. Over the past 12 years, SCIP has created more than 6,600 permanent jobs, recorded sales of AZN 9.5 billion ($5.6 billion), and exported products valued at AZN 3.3 billion ($1.9 billion). The accumulated results underscore SCIP’s role as a substantial contributor to the nation’s economic landscape.