1. PRESENTATION 2013

2. Establishment: 28 May 1918 Independence: 18 October 1991 Area: 86.6 thousand km 2 Population: 9.168.000 Official Language: Azerbaijani Government: Presidential Republic Membership in: UN (Non-permanent member of UN Security Council for 2012-2013), Council of Europe, OSCE, Non-Aligned Movement, OIC Highlights: 1st democratic republic in the Islamic world 1st Opera in the Islamic world Women voting right in 1918 (while in Italy - 1946; Switzerland - 1971; France – 1944). www.scip.az ABOUT AZERBAIJAN brief

3. Total: Per capita: Growth rate: 69.2 bln USD 7490 USD 2.2 % Total: Share in total GDP: Growth rate: Non-oil GDP / 2012 36.6 bln USD 52.9 % 9.7 % www.scip.az ABOUT AZERBAIJAN stable economy 2012 GDP / 2012

4. Investment / 2012 www.scip.az ABOUT AZERBAIJAN stable economy 2012 Total: Domestic: Foreign: 25.7 bln USD 15.4 bln USD 10.3 bln USD Inflation: 1.1 % ; Strategic currency reserves: 46 bln USD ; Budget balance: +3.6 % of GDP ; Average monthly wage: 502 USD ; Unemployment: 5.2 % ; Population income growth: 13.8 %

5. 43.8 bln USD 34.2 bln USD 9.6 bln USD www.scip.az ABOUT AZERBAIJAN stable economy 2012 Trade / 2012 Trade: Export: Import: Inflation: 1.1 % ; Strategic currency reserves: 46 bln USD ; Budget balance: +3.6 % of GDP ; Average monthly wage: 502 USD ; Unemployment: 5.2 % ; Population income growth: 13.8 %

6. www.scip.az ABOUT AZERBAIJAN competitive economy Global Competitiveness Report 2012-2013 Georgia Kazakhstan Czech Republic Bulgaria Azerbaijan Turkey Romania Italy Serbia Russia 67th among 185 countries 9 49 65 66 67 71 72 76 86 112 Turkey Barbados Lithuania Azerbaijan Malta Brazil Kazakhstan Iran Russia Armenia Georgia 82 77 67 66 51 48 47 46 45 44 43 1 st among CIS countries (4 times running) Macroeconomic environment – 18 th ; Government budget balance – 5 th ; General government debt – 12 th ; Labour market efficiency – 26 th ; Capacity for innovation – 39 th ; Technological readiness – 61 st ; Registering property – 9 th ; Starting a business– 18 th ; Enforcing contracts – 25 th ; Getting credit – 53 rd WB Doing Business Report 2013

7. Sovereign Debt Ratings www.scip.az ABOUT AZERBAIJAN competitive economy

8. On November 22-nd, 1949 – By the decision of the Board of the Presidium of the Supreme Soviet of Azerbaijan Sumgait was given a status of city; Area – 83km 2 ; Population – 358,000; During the USSR up to the end of 1980-s more than 40% of petrochemicals were produced in Sumgait. www.scip.az ABOUT SUMGAIT brief The existing plants: Azerkimya Production Union; Carton Factory; Sumgait Technologies Park; Azguntex Plant; Brick-making Plant; Polymer Materials Construction Plant ; Superphosphate Plant ; Sumgait Chemical Industrial Park (SCIP) was established due to the Decree № 548 of the President of Azerbaijan Republic; Sumgait High Technologies Park.

9. www.scip.az ABOUT SCIP facts & figures

10. Development of the country’s industrial production competitiveness by the means of innovative and high technology; Promote and support entrepreneurship; Ensure stable development of non-oil sector; Increase of industrial employment of the population; Offer foreign investors a modern approach to greenfield industrial development. www.scip.az ABOUT SCIP the purpose of the foundation of SCIP

11. www.scip.az KEY BENEFITS FOR INVESTORS favourable geographical location TURKEY IRAN Trabzon KAZAKHSTAN TURKMENISTAN BLACK SEA Tbilisi Sumgait Astrakhan RUSSIA GEORGIA AZERBAIJAN CASPIANSEA UZBEKISTAN Poti Aktau Turkmenbashi Bandar-Abbas To Europe trough Georgia Mediterranean Sea To China through Kazakhstan Kars Ceyhan Armenia Natural bridge between Europe and Central Asia; easy access to Asian, Gulf, CIS and European markets; Baku-Tbilisi-Kars railway; an access to Baku – Rostov international transport highway and close proximity to harbour; an airport in 35 km away from SCIP

12. www.scip.az KEY BENEFITS FOR INVESTORS infrastructure Intended place for natural gas distribution station Intended place for potable water lines Main entrance Vocational school Technical entrance Intended place for gas distribution station Auto park entrance Workshops Warehouses Logistic center Railways Rain water lines Potable water lines Industrial wastewater lines Domestic wastewater lines Underground gallery

13. www.scip.az KEY BENEFITS FOR INVESTORS social zone Checkpoint Administrative building / Business incubators Administrative building /Boutique Hotel / office space Checkpoint Vocational school Square Showroom and conference centre Accommodation Dormitory Kindergarten Laboratory Recreation and sport area

14. www.scip.az KEY BENEFITS FOR INVESTORS raw materials On-Site raw materials In the nearest future Azerbaijan will have abundance feedstock for the production of chemical outputs. Thus, Azerkimya produces polymers from oil and gas and SOCAR is building new oil refinery complex in Alat.

15. www.scip.az KEY BENEFITS FOR INVESTORS raw materials Annual production capacity 570kt 550kt 100kt 60kt OGPC project – It is planned to construct oil-refining and gas-refining plants with a capacity of 10 mln. tonnes and 10 bln. m 3 annually respectively. The project also includes petrochemical production aimed at creating about 2mln. tonnes of basic polymers annually. Guaranteed Feedstock

16. www.scip.az KEY BENEFITS FOR INVESTORS research & development, trainings Vocational school on site specialized in the field of chemistry, mechatronics and construction; A specific laboratory on site supplied with a modern equipment; Skilled scientific personal available, SCIP offers full range of analytical services, laboratories, strong R&D network, on-site tests; 7 different workshops will serve for R&D and students studying; Sumqayit is a traditional chemical city, there are a lot of universities specialized in the field of chemistry. “Gafgaz” University; Sumgayit State University; Oil-Chemistry proccesses Institute on the name of academician Y.H.Mammadaliyev; Institute of chemical problems on the name of academician M.F.Naghiyev; Chemical impurities Institute on the name of academician A.Guluyev; The training and learning center of SOCAR in Sumgayit city.

17. www.scip.az KEY BENEFITS FOR INVESTORS investor support services Information supply Handling investment inquiries; Sectoral investment opportunities; Investment projects. Organizational support Visa facilitation, accommodation, booking and transportation; Site visits; Meetings with local authorities and private institutions. Support in getting established One-stop-shop; Support in receipt of technical conditions, permits, licenses; Work permits; Consultings; Environmental monitoring; Trainings.

18. www.scip.az KEY BENEFITS FOR INVESTORS cost-effective labor force A high quality labor force is a necessary condition for economic growth. Boom in oil and gas sector spurred a demand in human capital specialized not only in oil and gas field but also in a wide range of relevant areas. Azerbaijan Georgia Belarus Russia Kazakhstan Turkey

19. www.scip.az KEY BENEFITS FOR INVESTORS incentives and government support 7 years SCIP’s residents are exempted for 7 years from taxes below: Corporate income tax; Property tax; Land tax; VAT of imported equipments. The expansion of incentives portfolio is under consideration. 0%

20. www.scip.az KEY BENEFITS FOR INVESTORS investment priorities PACKAGING INDUSTRY Growing world demand and the growth potential of Asian markets. BUILDING & CONSTRUCTION INDUSTRY Growing demand based on the construction boom and increased demand of construction materials in emerging markets.

21. www.scip.az KEY BENEFITS FOR INVESTORS investment priorities AUTOMOTIVE INDUSTRY High performance and safety standards increase the importance of plastic usage in automotive industry. ELECTRICAL AND ELECTRONICS INDUSTRY Increasing demand from telecommunication sector in the upcoming years.

22. www.scip.az KEY BENEFITS FOR INVESTORS investment priorities AGRICULTURAL INDUSTRY Great investment potential in the emerging markets. BOPP Long term success and investment in such business will bring very high income and investment returns.

23. www.scip.az KEY BENEFITS FOR INVESTORS investment priorities CONSUMER CHEMISTRY Daily consumer chemistry has ideal investment ground in emerging markets with growing demand. MEDICAL CHEMISTRY Investment in medical chemistry in emerging markets with growing demand will bring high investment returns.

24. www.scip.az CONTACTS ”Sumgait Chemical Industrial Park” LLC Adress: Khatai district, Khojali avenue Tel: 012 488-80-65 Fax: 488-80-64 Email: office@scip.az Website: www.scip.azwww.scip.az