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Farm size and agricultural productivity in Azerbaijan: challenges and policy implications

Parviz Aliyev Fuad

parviz.aliyev@atm.gov.az

272 ­ ­ EN ­ ­ 47. July 2025 ­ ­­ ­ farm size agricultural productivity Azerbaijan wheat yields land consolidation irrigation precision agriculture rural development

This study examines the relationship between farm size and agricultural productivity in Azerbaijan, using data from the Electronic Agriculture Information System (EAIS) and Farm Data Monitoring System (FDMS). The analysis reveals that medium and large farms achieve higher wheat yields compared to smallholders, primarily due to better access to irrigation and mechanization. Regression results indicate that farm size and irrigation have statistically significant positive effects on productivity, while fertilizer use shows no significant impact. Policy implications highlight the moderate importance of optimizing existing land use through voluntary land consolidation, strategic irrigation investments, and the adoption of precision agriculture. The study contributes to the debate on optimal farm structures in transition economies and provides evidence-based recommendations for agricultural development in Azerbaijan.

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AUTHORS

 

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Aygun. Salimova

Student of Azerbaijan State University of Economics (UNEC)

   

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Ceyran. Babirova

Ph.D. student Azerbaijan State University of Economics (UNEC)

   

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Aytekin. Huseynova

Ph.D. student of Azerbaijan Cooperation University

   

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Firdovsi. Fikratzade

Doctoral student at the Institute for Scientific Research on Economic Reforms

  Doctor of Philosophy in Economics  

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Heydar. Agayev

Ph.D. student of the Azerbaijan Cooperation University

   

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Akif. Valiyev

Agricultural Economics Research Center

  Doctor of Economics  

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Khayala. Guliyeva

Ph.D. student of the Agricultural Research Center

   

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Samir. Akhmedov

Ph.D. student of the Agricultural Economics Research Center

   

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Nijat. Muradov

Ph.D. student of the Institute of Economics, Ministry of Science and Education of the Republic of Azerbaijan

   

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Mekhman. Rzayev

Sumgait Chemical-Industrial Park

  doctor of agrarian sciences  

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Turan. Hajiyeva

Specialist of the Agricultural Research Center

   

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Abbas. Safarov

Ph.D. student of the Agricultural Research Center

   

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Manzar. Nasibova

Senior researcher

   

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Aytan. Shukurova

Azerbaijan Cooperation University, senior teacher, dissertator

   

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Gulnara. Jafarova

Agricultural Economics Research Center, leading specialist

  Doctor of Philosophy in Economics  

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Teymur. Nagibeyli

Ph.D. student of the Agricultural Economics Research Center