Mikayil Jabbarov: Extension of tax breaks for Baku Shipyard supported due to its strategic importance

The application to extend tax incentives for the Baku Shipyard has been supported by consensus, as the yard's operations are consistent with the country's economic and strategic goals, Azerbaijani Minister of Economy Mikayil Jabbarov said during a discussion of the draft law "On the State Budget for 2026" at a meeting of the Parliamentary Committee on Economic Policy, Industry, and Entrepreneurship, Report informs.

He noted that the yard is also of great importance for the Middle Corridor: "There is no other similar enterprise in the country that produces non-commercial vessels-from firefighting vessels to security vessels. For many years, the yard was unprofitable, but in the last one to two years, it has achieved operating profit, and its utilization rate has increased significantly. Currently, the yard is building approximately 10 vessels at a time. Over the past 12 years, 14-15 vessels have been built, indicating a dynamic production trend. We maintain this dynamic."

On October 24, the Azerbaijani Parliament adopted amendments to the Tax Code and the Law on Customs Tariff in their third reading, extending the Baku Shipyard's exemption from income, property, and land taxes for another six years, until December 31, 2030.

Furthermore, the exemption from customs duties on imported goods for the shipyard's operations will be extended based on amendments to the Law on Customs Tariff.