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Ministry of Foreign Affairs of the Republic of Uzbekistan

Ministry of Foreign Affairs of the Republic of Uzbekistan
Virtual reception the President of the Republic of Uzbekistan Visa of the Republic of Uzbekistan Consular Missions of Uzbekistan overseas

Topical issues

27 February 2018

Export – the main factor of economic stability

On February 27, 2018, a meeting devoted to analysis of execution of tasks on increasing exports and reducing imports, activities that are being carried out in this area in industries and regions was held under the chairmanship of the President of the Republic of Uzbekistan Shavkat Mirziyoyev.

The meeting was attended by the Prime Minister and his deputies, heads of relevant ministries and departments, through videoconferencing – the leadership of the Republic of Karakalpakstan, regions and the city of Tashkent, representatives of local khokimiyats, territorial subdivisions of ministries and departments, exporting enterprises.

The meeting was held in the spirit of critical analysis. The Head of the state deeply considered the shortcomings in the execution of the export plan, defined the main directions and tasks.

Today, important reforms are being implemented on stable development of the country’s economy. Necessary conditions and opportunities for production and export of competitive products are being created. However, no organization has so far tried to consider the structure of imports, the volume and the price of goods imported into Uzbekistan, control in this sphere is neglected, and these facts have been criticized.

Thus, the import reduction plan for 2017 was fulfilled by 88 percent. In one year, washing powder was imported for $20 million, toilet soap – for $13 million, building and synthetic paints – for $49 million, chocolate – for $23 million.

This indicates the fact that localization programs adopted in past years do not have a firm basis, and are only a fraud and a pretext for obtaining benefits, said Shavkat Mirziyoyev.

In reality, the List of investment projects should include only those that are aimed at local production of goods, often imported into Uzbekistan. But responsible persons look at it through their fingers.

At the meeting it was noted that an absolutely new system of organizing activity and control in this sphere will be introduced in the future. The group led by Deputy Prime Minister Nodir Otajonov and First Deputy Prosecutor General Erkaboy Tadjiev will be responsible for organizing and monitoring exports. Regional khokims and first deputies of regional prosecutors will be engaged in export at places.

Republican working group on organizing and monitoring the imports reducing activities will be established in Uzbekistan. The head of Department for combating tax, currency crimes and legalization of criminal incomes at the General Prosecutor’s Office is appointed as its head. The same working groups, headed by the heads of territorial departments, will be organized in the regions. This was reported at the meeting, held on February 27, under the chairmanship of President Shavkat Mirziyoyev.

Tasks of this department will be radically changed in accordance with current requirements in terms of streamlining the import and export issues. As noted, the department should organize systematic work on prevention of uncontrolled leakage of foreign exchange funds from the country, reducing imports, supporting the production of import-substituting products.

These working groups should visit places, work in close cooperation with exporters, provide them with real assistance in increasing exports and create “green corridors”. At the same time, it is necessary to regularly consider the structure of imports, provide comprehensive assistance in implementing specific projects on development of domestic production. Ministers and industry leaders will organize their activity in the same way.

Activity on exports and imports will be discussed twice a week under the leadership of the Prime Minister and the Prosecutor General. Thus, working groups in the districts will assist farmers and the population in growing high-yield fruit and vegetable crops, organize activity on providing them with seeds, cash, fertilizers and fuel. An enterprise on exporting fruit and vegetable products should be established in each district.

At the meeting devoted to analysis of execution of tasks on increasing exports and reducing imports, it was noted that previously made plans and given promises on exports were not executed. In particular, serious misgivings in this respect are caused by activities of “Uzagrotechsanoatholding” joint-stock company and “Uzbekozikovkatholding” company.

As emphasized at the meeting, there are many unused opportunities in the sphere of exports. There is lack of initiative and determination among responsible persons for their involvement.

Attention was paid to the fact that the import of building materials and pharmaceutical products is ten times higher than exports. In this regard, relevant instructions were given to the leadership of the Agency for Development of Pharmaceutical Industry and “Uzkurilishmateriallari” joint-stock company.

Possibilities for expanding exports are also available in the regions. Unused reserves for exports were identified during the trips of President Shavkat Mirziyoyev to Tashkent, Surkhandarya, Kashkadarya and Bukhara regions in January-February this year. In particular, additional sources of export of products for $95 million in Surkhandarya, $62 million in Kashkadarya, and $68 million in Bukhara regions were identified. Other regions also have great export potential.

In this regard, heads of complexes of the Cabinet of Ministers, the Ministry of Foreign Trade, the Council of Ministers of the Republic of Karakalpakstan, khokimiyats of regions and the city of Tashkent were instructed to identify additional reserves for increasing exports by sectors and regions, submit relevant proposals to the Cabinet of Ministers.

Important directions were identified for using available reserves of increasing exports.

In particular, “Uztukimachiliksanoat” association and regional khokims were instructed to develop “road maps” on implementation of the export plan for each enterprise and new production. At the same time, special attention will be paid to the early commissioning and the launch of new production facilities, the envisaged investment projects approved for 2018, development of new markets and conclusion of contracts with foreign buyers.

The need was noted for expanding revenues from tourism, which is one of the industries with huge potential, introducing a payment entry system through turnstiles at all tourist sites.

The need for a significant increase in the export plan of Uzbekistan Railways and Uzbekistan Airways was noted, for which it is necessary to introduce appropriate amendments to the export program for 2018.

This year, it is planned to double the export of fruit and vegetable products in comparison with the previous year. To do this, it is necessary to collect and organize in full and in a timely manner the sale of August onion, garlic, and crops planted by “tuksonbosti” method abroad. It is necessary to fully utilize the potential of regions specializing in fruit and vegetable production, plant high-yield crops on 150 thousand hectares, allocate additional crop areas for large exporting organizations, organize modern greenhouses, refrigerated warehouses and processing enterprises.

In this regard, deputies of the Prime Minister and the khokimiyats were instructed to ensure full implementation of programs that are approved in all regions on comprehensive measures of expanding the harvesting, processing, export of horticultural, melon, leguminous and grape products, domestic needs, food industry projects and industry development in 2018.

It is necessary to approve concrete “road maps” for establishment of modern logistics centers providing complex services on storage, preparation for export and transportation of goods.

The need was noted for introducing modern mechanisms of selling products abroad through electronic trading platforms. Instructions were given on launching, from January 1, 2019, the National Electronic Trading Platform of Uzbekistan jointly with South Korea, which allows the sale of goods of domestic exporting enterprises to foreign buyers.

It was noted that neither foreign companies, nor local enterprises and state bodies have information about the number of exporting enterprises that are operating in Uzbekistan, the products they produce. In this connection, instructions were given on creating an electronic database of exporting enterprises, their electronic passports containing information on their products, the volume of exports and others.

At the meeting, reports of heads of complexes of the Cabinet of Ministers, ministries and departments, economic associations, heads of regions were heard and discussed.

President Shavkat Mirziyoyev gave specific instructions on increasing the country’s export potential, comprehensive support of exporting enterprises and entrepreneurs.

Author: UzA
Views: 2187