How does the war between Iran and the USA affect prices in Azerbaijan?

"A war between Iran and the USA could have a direct and indirect impact on the countries of the region, including on the economy of Azerbaijan."

This was stated to BAKU.WS by the chairman of the Azerbaijan Society of Appraisers (ASA) Vugar Oruj.

According to him, this process primarily manifests itself in the rise of energy and logistics costs:

"The increase in oil and fuel prices raises transportation costs. This creates additional expenses both in bringing imported and local products to market. As a result, price increases can be observed in practically all product categories," the expert noted.

Vugar Oruj also added that vegetables and fruits imported from Iran to Azerbaijan are particularly affected by this process. Wartime conditions complicate logistics and create problems in production, leading to a reduction in the volume of products entering the market and a rise in prices.

"In addition, price increases are inevitable in the construction sector as well. The fact is that part of the cement, rebar, and other construction materials are imported specifically from Iran. A reduction in supplies leads to an increase in construction costs.

A similar trend is felt in the market for medicines, medical products, and automobile spare parts. Even if the price increase in these areas is not direct, it manifests indirectly — through changes in global markets," he concluded.

Orkhan Huseyn