Araz Expands Through $10.5 Million ADB Deal to Boost Food Security in Azerbaijan

In a significant move to enhance food security and promote sustainable agriculture in Azerbaijan, the Asian Development Bank (ADB) has joined forces with Araz Supermarket LLC by signing a $10.5 million financial package. The deal comprises a $10 million loan for capital expenditures and a $500,000 grant for technical assistance. This collaboration aims to expand Araz's infrastructure and open new stores, integrating 200 local farmers into its supply chain and creating 3,500 jobs. Additionally, it emphasizes the use of energy-efficient technology in new facilities to reduce carbon emissions by 673 tons annually. The technical grant will aid 750 farmers mainly in Lankaran-Astara and Central Aran regions by providing training on eco-friendly and climate-resilient farming techniques. This initiative underscores the importance of modern retail in improving food quality and safety, supporting food security, and fostering inclusive development. As the leading supermarket chain in Azerbaijan, Araz operates 250 stores, sourcing produce from local farmers and aiding them with agricultural services. ADB's Director General for Private Sector Operations, Suzanne Gaboury, highlighted the project's focus on supporting smallholder farmers who face challenges due to climate change. Veyseloglu Group's Founder, CEO Aydin Talibov, reiterated the group's commitment to enhancing access to quality food and promoting sustainable practices.