Azerbaijan.US
Food prices in Azerbaijan are expected to show mixed dynamics in the near term, with some products becoming cheaper while others may continue to rise. The trend reflects ongoing volatility in global food markets.
According to the latest data from the UN Food and Agriculture Organization (FAO), prices for dairy products, meat, and vegetable oils declined globally in December. At the same time, sugar prices moved in the opposite direction, recording an increase. Grain prices rose month-on-month, although annual indicators still point to an overall downward trend.
Economist Kamran Hajiyev notes that shifts in global food prices inevitably affect Azerbaijan’s domestic market. In his assessment, average price reductions have been observed for products such as grains, rice, and sugar, but these declines remain limited. By contrast, price growth has been recorded in meat, milk, dairy products, and vegetable oils, both compared to last year and across the broader market.
Hajiyev explains that several factors are driving these fluctuations, including geopolitical tensions, economic conditions, and disruptions in import and export processes. Any complications in supply chains, he says, tend to translate directly into price increases or, in some cases, temporary declines.
According to the economist, changes in food prices in major economies usually reach Azerbaijan with a delay. For higher-risk product categories, price increases of up to 10 percent are possible. Typically, the impact of international price movements becomes visible within three to six weeks.
At the same time, authorities are taking steps to reduce dependence on imports. The development of agroparks and the introduction of tax incentives are intended to cushion the domestic market from sharp global price swings and limit their impact on consumers.
