Uzbekistan, Azerbaijan identify new joint projects as bilateral trade rises 26-fold in decade
Uzbekistan and Azerbaijan are strengthening their direct regional and business collaborations, pinpointing industry, agriculture, textiles, tourism, trade, and logistics as key sectors for new joint ventures. The fourth Forum of Regions of Uzbekistan and Azerbaijan, held in Tashkent on August 22, convened government officials, regional authorities, development institutions, and approximately 420 companies from both nations.
Uzbekistan’s Minister of Investment, Industry and Trade, Laziz Kudratov, and Azerbaijan’s Minister of Economy, Mikayil Jabbarov, attended the forum alongside regional leaders, government agency representatives, and business communities. The discussions centered on fostering interregional economic cooperation and forging direct connections between companies and regional administrations. This forum preceded Azerbaijani President Ilham Aliyev’s state visit to Uzbekistan.
Trade between Uzbekistan and Azerbaijan has surged 26-fold over the past decade, reaching $795 million by the close of 2025, according to figures presented at the forum. Both countries have also expanded their business presence: nearly 260 enterprises with Azerbaijani capital operate in Uzbekistan, while over 130 companies with Uzbek investment are registered in Azerbaijan.
The combined portfolio of investment and trade projects between the two nations has surpassed $10 billion. The provided information does not detail the division of this portfolio among existing, planned, and proposed projects, nor does it offer a sector-by-sector breakdown. Interregional cooperation was highlighted as a mechanism to further boost bilateral economic activity. Prior to the Tashkent forum, heads of Uzbek regions visited Azerbaijan for meetings with regional authorities and businesses. These discussions aimed to generate proposals for linking production capacities, investment platforms, and businesses in specific regions of both countries.
Industrial cooperation is a primary focus. Uzbekistan and Azerbaijan plan to develop production chains encompassing various stages, from raw material extraction and processing to the manufacturing of finished goods. Localization of production and the establishment of new manufacturing facilities were also identified as potential areas for collaboration. This approach seeks to combine the available resources and production capacities of both countries to develop joint manufacturing projects.
Other priority sectors include the agro-industrial complex, textiles, tourism and development, trade, and logistics. In agriculture, horticulture, advanced processing of agricultural products, food manufacturing, and the development of modern refrigeration infrastructure were identified as potential areas for joint projects. These initiatives could involve both agricultural production and the necessary infrastructure for processing, storing, and distributing agricultural goods. Specific investment amounts, individual projects, and implementation schedules for the agricultural sector were not provided. Textile cooperation was also discussed, with both countries exploring opportunities to expand production links and leverage Azerbaijan’s transport and logistics infrastructure to facilitate access to international markets.
The Middle Corridor was identified as a potential route for delivering products to European markets. Cooperation in this area would integrate manufacturing links between Uzbek and Azerbaijani businesses with existing transport routes connecting Central Asia through the South Caucasus to Europe. The forum also addressed tourism and development projects. Existing hotel, tourism, and urban development initiatives were recognized as a foundation for potential cooperation on new tourism routes, resort infrastructure, and integrated territorial development.
The business component of the forum included B2B and G2B meetings involving companies, regional administrations, and government agencies from Uzbekistan and Azerbaijan. Approximately 420 companies from various sectors participated. During these meetings, participants reviewed individual business proposals and discussed the subsequent steps for their implementation. This format aimed to establish direct cooperation between regional authorities and companies, rather than limiting economic engagement to central government institutions.
Following the forum, both sides proposed developing joint action plans for 2026–2027. These plans are expected to outline measures for implementing initiatives identified through regional and business-level discussions. The event concluded with an exchange of bilateral documents formalizing the agreements reached during the forum.