Article language: English.
Abstract
In recent years, the primary focus of international political debates has been on raw materials essential for economic development. The demand for raw materials critical to the production of modern technological tools, such as cobalt, platinum and lithium, is increasing globally. In general, the processing, development and production of critical raw materials constitute stages of the supply chain and are carried out over a long period, involving enormous investment. For this reason, the intention of foreign investors to make large profits in a short period of time leads to a careless approach to internationally accepted requirements, such as respect for human life, health and the environment. In particular, the dependence of developing countries' economies on these investments leads to a “turning a blind eye” to such violations in those countries and, as a result, to violations of many international obligations assumed by states.Based on the above, the “sustainable” development of the critical raw materials sector is significant for ensuring the well-being of the local population and protecting the environment. This article examines the obligations of foreign investors in this sector and analyzes, in detail, international experience. At the same time, the Critical Raw Materials Act and other European Union documents, which provide the most detailed regulations in this area, are reviewed with respect to their scope of application, the entities they regulate and the obligations they impose on investors and relevant gaps are identified. Additionally, the article examines the availability of critical raw materials in the Republic of Azerbaijan, the regulation of the investment climate in this area and the legal obligations of foreign investors.