The purpose of the research - to determine the main directions for ensuring the development of the regional agro-processing industry and to highlight the shortcomings of the state's current regulatory framework in this area, and to suggest improvements.

The methodology of the research - observation, analysis, comparison, grouping techniques

were used during the research.

The practical importance of the research - the proposed methods and tools for the development of the regional economy can be used by state institutions and entrepreneurs.

The results of the research – in the development of the regional economy, the significance of the development of mutual economic ties among the agricultural sectors have been studied.

The originality and scientific novelty of the research - the analysis reveals that the agro-processing industry, which has an important role in the growth of agricultural sector in Azerbaijan, is unevenly distributed and mainly concentrated in the capital Baku also the cities and regions close to it. The state needs to actively encourage the development of the agricultural areas in the regions through targeted projects and initiatives. To ensure regional development, there is currently a greater demand for innovative regulatory strategies and frameworks. Therefore, the proposed mechanisms for administrative, economic, and institutional methods for economic regions are novel.

Keywords: agro-processing industry, agriculture, crop production, regional development, income, farmer.

http://doi.org/10.59610/bbu2.2024.2.11