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Economy of Ganja

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Ganja on the map

Ganja is the second largest city of Azerbaijan, according to its population (331.4 thousand (1 January 2017), however, it is behind Baku and Sumqayit in terms of industrial production. The city is located in Ganja-Gazakh economic region (12.48 thousand square kilometers).[1] The economy of Ganja embraces the issues connected to the economy of the city of Ganja. Industry, tourism, agriculture, and transportation are the major branches of its economy.  Most of the total volume of industrial products is accounted for non-ferrous metallurgy, light and food industries, electronics industry and home appliances.[2]

Industry

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Ganja Aluminum Factory

The industry of Ganja is composed of extraction and processing industries. There are also enterprises of production of electrical devices, communications equipment, and enterprises for repairing cars and agricultural machinery operating within the machinery industrial sector which are considered as the leading branches of heavy industry.[3][4] Ganja Automobile Plant meets the important part of the local demands of Agriculture within the country.[3]  Iron ore, alunite, limestone, marble, gypsum, and zeolite extracting from the districts of Ganja-Gazakh is mainly produced by enterprises that are located in Ganja.[3][4] Ganja aluminum plant, for instance, is specialized in production of aluminum oxide (alumina), primary aluminum and semi-final aluminum products (such as aluminum sheet – in list and roll forms, both sides painted sheet and lists) of bauxite and alunite ore.[5] Electroenergetics constitute another branch of heavy industry. Ganja heating and power station are two main examples of this area.[6] Chemical industry products like sulphuric acid, potassium fertilizer are also manufactured by large plants operating within the city. Moreover, porcelain earthenware plate production exists in Ganja.[6]

The total number of operating enterprises in industry, in 2016, was around 130. Actual prices of industrial productions are comparably higher than previous years, so that it approximately increased by 2 times to 380402 manat in 2016 compared to 2010. The share of private sector in industrial production increased to 53.4 percent that initially was around 26.4 percent in 2010.[6][7] The following table shows the total contributions of industry over years.[7]

2010 2012 2013 2014 2015 2016
Number of operating enterprises total, unit 125 116 116 125 134 130
Industrial product (actual price of the relevant year), thousand manat 112315 191345 182127 199326 239954 380402
Industrial product, relative to previous year, in percent (at comparable prices) 134 238.2 107.3 111.1 117.7 131.3
Remaining balance of finished goods for the year, thousand manat 2702 6536 4723 6523 26414 19579
Share of non-public sector in industrial product, in percent 26,4 67,6 59,3 51,1 52,7 53,4
Average number of employees - total, people 7079 5810 7515 6154 4807 4882
Average monthly salary of employees, manat 217,7 272,6 296,2 328,1 378,4 395,9
Availability of the main industrial and production assets (at the end of the year with the balance sheet), million. manat 228,8 562,3 642,5 707,1 593,9 603,5
Production of basic types of products in natural expression:
Cotton fabrics, thousand square m 774,2 94,2 288,4 547,6 545,9 259
Sugar confectionery products, tons 34,6 51,1 62,7 23,7 28,9 12,1
Sausage products, tons 44,6 61,4 62,7 66,9 67,3 15,5
Flour, thousand tons 40,8 63,1 57 47,7 53,5 52,4
Wheat bran, tons 13124 5024 5300 4639 5373 7759
Brandy (cognac), thousand dekaliter 5,5 4,9 3 3,5 1,1 1,2
Vodka, thousand dekaliter 221,7 249,7 264,7 284,4 168,3 127,9
Grape wine, thousand dekaliter 308,7 454,3 476,8 450,7 288 291,2
Aluminum oxide, thousand tons - 101,8 - - - -
Heat energy, thousand 11,9 2,2 4,3 20,3 46,6 30,3
Including commodity 11,9 2,2 4 16,4 45,6 29,3
Fruit juices, thousand 3,3 3 30 2,4 2,4 -
The finished aluminum alloys are initially tone - 52241,8 - - - -
On Saturday, October 18, 2014, the President of Azerbaijan Ilham Aliyev attended the groundbreaking ceremony for the new plant.

The construction of a plant had been launched for the production of railway cars by the Swiss company Stadler Rail Group in the city of Ganja in the West of Azerbaijan.

The plant, with an initial capacity of 50-60 passenger cars a year, would provide local Economy not only for the domestic market, but also for the neighboring countries.

The head of Azerbaijan Railways Arif Askerov said that the construction is scheduled for completion in the Spring of 2016. Since then unfortunately this project never have been completed.

Light industry

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Carpet market in Ganja (XIXcentury)

The light industry of Ganja comprises cotton cloth, wool cloth, production of textile goods, carpet weaving enterprises which primarily relies on the processing of local raw material that comes from the other districts of Ganja-Gazakh economic region.[4][6][8] Textile goods under name of Ganja silk are exported to Russia, Georgia, Turkey, and Tunisia.[9]

Food industry

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The food industry depends on processing of agricultural products such as production of wine, cognac, meat-dairy products, confectionery, and canned production.[4][6] The project named “New Chinar” aimed to restore the production of the new types and production of famous “Chinar” sweets. After restoration “New Chinar” brand will be one of the biggest sweets manufacturer of the Caucasus region.[10]

Construction industry

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The main enterprises operating in construction industry are large panel household building construction company, metal-concrete, brick ceramics and marble plants.[4] Limestone, marble, and gypsum are the main natural resources utilized in construction industry.[4][6] The total amount of investments in construction works, in 2016, is around 254094.3 thousand manat that is relatively high compared to previous years.[11]

                                   Statistics of construction works in Ganja
2010 2012 2013 2014 2015 2016
Putted into operation:
Main funds (thousand manat) 38680,4 269035,3 251206,4 353247,7 332419,4 95401,9
Houses, total area (thousand  square meters) 14,1 24,4 116,4 45,9 36,7 58,9
of which private houses 11,5 15,2 29,7 14,5 36,7 36,9
Investments in main capital (thousand manat) 99518,8 176496,5 334069,1 387245,1 355472,6 278893,3
including:
construction works 64470,0 168726,7 311903,8 348036,4 315717,0 254094,3
Number of construction companies 28 22 23 27 23 20
The number of employees working there 887 956 997 407 387 280

Agriculture

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The major agricultural specialization areas in Ganja are potatoes, viniculture, and wheat production. 13-14% of agricultural output in the republic, including 80-85% of potatoes, 28% of grapes, 15% of livestock goods belongs to Ganja-Gazakh region's share along with the city of Ganja.[4][6][12] The weight water-melon, vegetable-growing, fruit-growing and cattle breeding in agriculture increases annually.7. The following table indicates the total changes in the agriculture of Ganja from 2010 to 2016 and also provides detailed information in all areas of agriculture.[12]

2010 2012 2013 2014 2015 2016
Total area of sown agricultural crops (ha)                   
Cereals and cereal legumes 12 12 15 28 22 13
Including wheat 4 7 15 23 22 10
Sunflower for seed production - 1 - - - -
Potato 22 21 21 22 20 13
Vegetables 49 48 48 48 47 28
Fruit and berry 108 117 117 117 117 310
Grape 286 288 68 68 86 94
Cereals and cereal legumes     9 21 33 64 49 14
Including wheat 5 15 33 55 50 13
Sunflower for seed production - 1 - - - -
Potato 132 148 159 161 240 162
Vegetables 823 1190 1194 756 916 231
Fruit and berry 369 560 572 580 602 917
Grape 1462 2239 583 460 279 817
Productivity (in all categories of farming), centner / ha
Grain 8,2 17,3 21,9 22,9 22,1 13,0
Including wheat 13,2 21,0 21,9 23,9 22,1 12,5
Sunflower for seed production - 8,4 - - - -
Potato 59 72 76 73 120 127
Vegetables 55 71 73 79 82 83
Fruit and berry 37,9 55,0 56,2 57,0 53,7 32,8
Grape 47,8 79,5 78,5 58,7 31,4 98,9
Number of Livestock (in total
cattle 1364 1249 1646 1579 1133 1300
including cow and buffalo 577 535 586 594 398 426
Sheep and goats 5590 2753 2825 2650 2017 2670
Pigs 76 - - - - -
Birds 11181 9260 12000 12335 22885 21500
Bee families 14 19 19 16 4 8
Production of cattle product, ton
Meat 28 33 34 29 26 20
Milk 385 446 520 569 588 394
Eggs 287 232 254 276 288 384
Wool (in physical weight) 5 3 3 3 4 3

Tourism

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Nizami Ganjavi Mausoleum

The convenient natural conditions, clean climate, landscape, and historical monuments and buildings from its past makes Ganja one the main touristic places within Azerbaijan. In fact, Shahsevenler and Shah Abbas Mosques, Comerd Gessab Tomb, Alban temple and Divankhana are the main architectural structures form those times.[6][13][14] The Heydar Aliyev Center and Park Complex in Ganja, the Nizami Ganjavi Museum and Center, the Cultural Center named after Mahsati Ganjavi and Ganja Castle Gates are also on the list of touristic places. The number of hotels and inns in the city was 8 with the total capacity of 1267 according to statistics of 2016.[15] The table below gives data about tourism in Ganja nearly around a decade.[15]  

2010 2012 2013 2014 2015 2016
Number of hotel and hotel type facilities, unit 7 9 9 8 9 8
Number of rooms, unit 511 650 650 469 636 636
Total capacity, places 956 1247 1247 927 1267 1267
Number of persons, persons 8036 15885 11968 8718 17114 11245
Number of accommodations, individual-night 8594 15885 12428 9335 22200 21556

Transportation

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The City is located on the railroad and high road lines connecting Azerbaijan to Georgia and the Black Sea. Ganja-Gazakh-Georgia border highway and Baku-Tbilisi-Kars railway that connecting Trans-Europe and Trans-Asia railway networks through Azerbaijan, Georgia and Turkey passes through Ganja.[4][6][16] Ganja, like the other big cities in Azerbaijan has a large urban transport system. Out of 38819 vehicles for public transportation, 1279 were buses. In 2013, representatives of Alstom, a French transport company, have visited headquarters of Executive Authorities in Ganja, Azerbaijan`s second largest city, to discuss construction of a tram line. However, this project never implemented. The city does not have subway line neither.[4][17]

Statistics for Transportation in Ganja

2010 2012 2013 2014 2015 2016
Cargo transportation, thousand tons 3241 3879 4150 4283 4510 4686
Freight turnover, mlyn. tons 389,9 457,5 490,4 509,3 535,8 557,2
Passenger transportation, thousand people 63205 73041 78300 82615 88233 91939
Passenger turnover, mlin. Passenger km 694,3 808,3 873,0 918,1 981,4 1023,6
Total number of cars, units 34530 40920 43872 41672 43498 44888
including:
Trucks 2849 4321 4562 4296 4383 4383
Buses 1024 1219 1224 1205 1252 1279
Number of vehicles for public transportation 30152 35089 37760 35770 37469 38819
Personal cars 29851 34740 37400 35420 37102 38452
Vehicles for special purposes 252 242 254 254 238 252
Other vehicles 253 49 72 147 156 155

Air

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The Ganja international airport that located in Ganja city of Azerbaijan was built in 2006, has received the status of an international airport. It is the only airport in the north-west part of Azerbaijan.[18]

See also

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References

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  1. ^ "Gəncə-Qazax iqtisadi rayonu 2017". 2017.
  2. ^ "Regionların statistik portreti / Gəncə şəhəri. The State Statistical Committee of the Republic of Azerbaijan". 2017.
  3. ^ a b c "Ganja automotive plant. "From small to great", step by step to development". 2018.
  4. ^ a b c d e f g h i "State Program on Social-Economic Development of Regions of Azerbaijan Republic" for the years of 2004 – 2008. Ganja-Gazakh economic region" (PDF). 2004–2008. Archived from the original (PDF) on 2018-08-15.
  5. ^ "From strong economics to strong state".
  6. ^ a b c d e f g h i Alekperov, A (2012). "INTERNATIONAL GEOGRAPHER. Ganja-Gazakh Economic Region".
  7. ^ a b "The State Statistical Committee of the Republic of Azerbaijan. Industry".
  8. ^ "Gəncə-Qazax iqtisadi rayonu 2017".
  9. ^ "ОАО "ГЯНДЖА ТЕКСТИЛЬ" "GanJa TeXTile" oJsc" (PDF).
  10. ^ "CATALOGUE OF INVESTMENT PROJECTS IN AZERBAIJAN. Production of the confectionery products "New Chinar"" (PDF).
  11. ^ "The State Statistical Committee of the Republic of Azerbaijan. Construction industry".
  12. ^ a b "The State Statistical Committee of the Republic of Azerbaijan. Agriculture".
  13. ^ "TARİXİ OÇERK".
  14. ^ "Gəncənin Tarixi". Archived from the original on 2017-11-20.
  15. ^ a b "The State Statistical Committee of the Republic of Azerbaijan. Tourism and paid services".
  16. ^ "Highways".
  17. ^ "The State Statistical Committee of the Republic of Azerbaijan. Transportation and Communication".
  18. ^ "Azerbaijan Airports". Archived from the original on 2017-07-13.
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