Caspian Energy (CE): Mr. Mammadov, what role do exhibitions play during fragile global economic situation?
Farid Mammadov, Executive Director, Iteca Caspian: In the period of fragile global economic situation showcases continue playing an important role. Indeed, exhibitions are one of the most important tools of trade, industrial, investment and foreign economic policy of a country, the efficient way to modernise and improve competitiveness of economy. Exhibitions are the place where large purchase-sale deals are concluded on goods, services and technologies that produce a tremendous trade and economic effect. The exhibition activity seems to be strongly in-demand nowadays, when showcases become a universal key for companies to make prompt and right decisions, to search new formats for business development. Also, trust becomes considerably important against the backdrop of the uncertain economic situation. These are namely exhibitions that offer opportunity to meet with partners vis-à-vis, better know each other, establish personal contacts for future promising cooperation.
CE: How may this factor as well as the drop in oil prices affect the number of organised showcases?
Farid Mammadov: It stands to mention that we work according to certain plan and all exhibitions are to take place according to the schedule. We also keep on developing new niches. So, this year we continue developing ‘luxury tourism’, a new for the region topic presented by Boat and Yacht Show CIBS. This year this exhibition will be hosted for the second time. With regard to dates, it coincides with the International Travel and Tourism Fair AITF. It’s another matter that the fall in oil prices may affect the size of exhibition areas of some showcases, like Caspian Oil and Gas. Traditionally oil companies that participate in such exhibitions book large areas. This is the reason why we can expect some companies to revise decisions with regard to reserved areas. Still, they recognise how important it is to participate in the Baku exhibition because the matter is not whether to participate or not. The matter is how to optimize expenditures at the exhibition in Baku.
CE: How tight is the schedule of events for 2015 year? What are your expectations from the calendar year?
Farid Mammadov: Our expectations are very positive. In total, this year we are going to host 20 exhibitions and conferences. Many exhibitors, who indeed benefited much from their participation in exhibitions, booked expo areas already in the last 2014 year. On average, rebooking at each showcase comprised not less than 40% and exceeded 55% for such exhibitions like Caspian Oil and Gas, Baku Build, Bakutel. It enables us as organisers to expect 5 percent growth of exhibitions in Azerbaijan in 2015. The detailed schedule of exhibitions is available at our site: www.iteca.az.
CE: Considering the global economic conditions, which areas of exhibitions become popular this year?
Farid Mammadov: We see the keen interest to the Travel and Tourism Fair AITF. This year roughly 80 tourism areas are widely exposed at the AITF exhibition. Partially the reason lies in the fact that many countries have lost tourists from Russia. As a result, many tourism companies are now trying to enter new markets. Though our market is not as large as the Russian one, still tour operators are strongly interested in cooperation with Azerbaijan, which has positioned itself as politically and economically stable country with the tremendous tourism potential. In Azerbaijan, government-initiated large-scale infrastructure projects are implemented at fast pace. Construction of hotels, sports complexes, road junctions as well as upgrading of the housing stock, etc. spark interest to Baku Build exhibition.
Also, I would like to say that since the year 2015 was declared as the Year of Agriculture in Azerbaijan, food industry exhibition World Food Azerbaijan and agriculture exhibition Caspian Agro to be hosted in May gain a special popularity. The exhibitions are actively supported by the Ministry of Agriculture of the Republic of Azerbaijan.
CE: Could you please tell about how work of ITECA Caspian is organised in the process of preparations and at a day of event?
Farid Mammadov: An exhibition itself is just like a top of an iceberg. Hard work throughout the year is crucial for hosting a good exhibition. Involved in the process is a team of professionals, who work not only in Azerbaijan. We have many partners worldwide, who heavily contribute to each exhibition. It is very difficult and responsible, but at the same time interesting work. We see its results at an exhibition when it is hosted.
CE: What do you think about competition in the field of organisation of exhibitions in the Azerbaijan market?
Farid Mammadov: At present Baku can be referred to as a centre for organisation of world class events. The service market in Azerbaijan is constantly growing and so is supply. Every day Baku hosts conferences, forums, annual meetings, workshops organized by foreign, for instance Turkish and British, operators. The local company CEO (Caspian Event Organisers) started working in Aril 2014 and we successfully cooperate with it on a number of projects. Competition always boosts a quality of activities. In our competitive battle we have one key argument, which is 15-year experience in the exhibition services market in Azerbaijan. That is why we are optimistic about our future, we have lots of plans, many new exhibitions, which I believe will also make their contribution to the development of economy in the country.
