2024-04-28 19:17:06
Azerbaijan is introducing a system of permits for activities related to the production and import of tobacco products.
As Day.Az reported on Tuesday, this issue was reflected in the amendment to the law “On Tobacco and Tobacco Products,” which was discussed at today’s meeting of the Milli Majlis (parliament).
The bill notes that for this purpose, registration and maintenance of the Register of business entities operating in the field of production and import of tobacco products will be carried out.
This mechanism is aimed at ensuring the interests of society, including public health, and preventing cases of abuse. Thus, the non-compliance of a number of tobacco products produced on the territory of Azerbaijan with sanitary and hygienic standards and the sale on the market of goods of low quality and unknown origin, along with becoming a source of danger to public health, leads to widespread cases of tax evasion.
It should be noted that the introduction of the licensing system is aimed at protecting the interests of responsible and professional business entities operating in this area, protecting the domestic market from low-quality products, ensuring the protection of public health, regulating production and turnover, preventing cases of tax evasion and illegal production , creating a competitive investment climate in the existing field, increasing the export potential of manufactured products and ensuring prospects for the use of local raw materials.
Considering that the production of tobacco products is carried out on the basis of special equipment, and building a production line based on this equipment requires large investments. To install one production line based on the mentioned equipment, funds in the amount of 10 million US dollars are required. For the normal operation of the enterprise, it is important to have two production lines consisting of this equipment. The specified amount includes not only the cost of technological equipment, but also other expenses associated with the formation of the enterprise.
Taking into account the above, there is a need to determine the minimum amount of investment in equipment in the amount of 34 million manats during state registration of entities wishing to carry out activities in the field of cigarette production. The establishment of such regulation will lead to increased competitiveness of domestic tobacco manufacturers in the international market, attracting investments into the country that will meet global challenges, increasing investment and labor productivity, contributing to the formation of a competitive production process.
The requirement for a certificate of verification of measuring instruments used in the production of tobacco products, a certificate of approval of a standard sample or type of measuring instrument, as well as documents confirming the conformity of products, tools, measuring instruments and testing equipment in accordance with the Law of the Republic of Azerbaijan “On Technical Regulation” “in production is introduced with the aim of ensuring compliance of the equipment and instruments used with international standards and creating conditions that ensure the production of products in accordance with the requirements of international standards.
At each stage of the tobacco product production process, the composition of the product must be determined and laboratory tests must be carried out to ensure compliance with standards for the content of substances harmful to human health. Manufacturers who have undergone laboratory testing of the product promptly identify defects at each stage of production, checking the product for quality indicators. For this reason, one of the main conditions was determined that the manufacturer has an accredited testing laboratory in the relevant field to conduct quality and safety tests, as well as the existence of an agreement with the laboratory that will conduct such tests in the absence of such a laboratory.
After discussion, the amendment was put to a vote and adopted in the first reading.
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