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

Parviz Aliyev Fuad

parviz.aliyev@atm.gov.az

4549 ­ ­ EN ­ ­ 47. July 2025 ­ ­­ ­ farm size agricultural productivity Azerbaijan wheat yields land consolidation irrigation precision agriculture rural development

 

https://doi.org/10.30546/2788-8754.47.01.2025.09

UOT: 338.23, 338.43

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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Nigar. Gasimova

Agricultural Research Center, senior specialist

   

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Faig. Huseynov

Azerbaijan State University of Economics (UNEC)

   

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Narmin. Sattarova

Ph.D. student of the Odlar Yurdu University

   

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Farman. Guliyev

Scientific Research Institute of Fruit-growing and Tea-growing

   

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Fakhraddin. Aghayev

Vegetable Research Institute

   

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Ruhiyya. Mammadrzayeva

Research Institute of Plant Protection and Technical Plants

   

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Galib. Hajiyev

Department of “Economy of enterprise” of Azerbaijan State University of Economics (UNEC)

  Ph.D., docent  

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Tamraz. Tamrazov

Vegetable Research Institute

   

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Lotanna. Emediegwu

Department of Economics, The University of Manchester, UK | Department of Agricultural Economics, University of Ilorin, Nigeria | Department of Economics, Policy and International Business, Manchester Metropolitan University, UK

   

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Aykhan. Gadashov

Head of the portal azexport.az Ph.D. student of the Agricultural Research Center

   

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Firidun. Taghiyev

Head of department of Ministry of Agriculture of Azerbaijan Republic

   

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Sarvan. Jafarov

Ph.D. student of the Agricultural Economics Research Center

   

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Huseynaga. Asadov

Ministry of Science and Education of the Republic of Azerbaijan, Institute of Dendrology

  Ph.D., ass, pr  

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Galib. Sharifov

Head of the Department of Quality Management of "Agro Procurement and Supply" OJSC, ISO standards expert

  Doctor of Philosophy in Economics  

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Andriy. Popovych

Instytut Ekonomiki Rolnictwa i Gospodarki Żywnościowej, Warszawa, Polska / Agricultural and Food Economics State Research Institute, Warsaw, Poland

  Ph.D.  

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Hagar. Namazova

Ph.D. candidate of the Azerbaijan State Economic University (UNEC)