Editorial
Uzbekistan industrial park projects still have high investment potential
Seetao 2024-02-01 16:32
  • The park is closely connected to markets around the world, facilitating enterprises to conduct international trade
  • The park provides enterprises with comprehensive facilities and services, including modern factories, warehousing facilities, and logistics networks, thereby reducing their operating costs
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Currently, Uzbekistan is attracting foreign investment through the construction of industrial parks, and the development of these parks has achieved positive results. On May 26, 2022, the President of Uzbekistan presided over a special meeting to discuss and deploy the development of industrial parks. The meeting pointed out that in the past five years, Uzbekistan has created a total of 19 free economic zones and more than 400 small industrial zones nationwide, implemented thousands of projects, created more than 100000 jobs, and the annual output value of various industrial parks reached 45 trillion sum (approximately 4.1 billion US dollars). The annual export value of industrial park enterprises was nearly 750 million US dollars, Taxation exceeds 1 trillion sum (approximately 91 million US dollars).、

In June 2022, the President of Uzbekistan signed the "Several Measures for Creating Local Economic Zones and Small Industrial Zones and Ensuring Their Engineering Communication Infrastructure" decree, proposing to build a number of small industrial parks and improve the existing infrastructure conditions of various parks to attract more investment. According to the law, Uzbekistan will establish 104 new small industrial zones in various prefectures across the country in 2022, and plans to build another 100 in 2023 and beyond. Zhongheng Yuance Fu Xiaohuan believes that the development of Uzbekistan's industrial parks has achieved remarkable results and remains popular. With the continuous improvement of Uzbekistan's domestic economy and the continuous growth of the consumer market, Uzbekistan's industrial park projects still have high investment potential.

The Uzbekistan government introduced the "Uzbekistan 2030" strategy in September 2023, aiming to double GDP to 160 billion US dollars and increase per capita GDP to 4000 US dollars by 2030. To achieve this goal, the Uzbek government hopes to attract $250 billion in new economic investment in the coming years and plans to implement over 500 strategic technology and infrastructure construction projects, focusing on promoting the modernization and transformation of industrial technology, and producing more high value-added and high-tech products. The strategy specifically mentions significantly increasing agricultural production and profitability by attracting a total of $15 billion in investment for the agricultural sector; Effectively utilizing local raw material bases, developing industries based on advanced technology, increasing copper processing capacity by 300000 tons in the electrical industry, attracting $1.5 billion in investment, and producing all household appliances locally. Zhongheng Yuance Fu Xiaohuan believes that the high value-added manufacturing industry based on local minerals, raw materials, and advantageous agricultural products in Uzbekistan has great development potential. It is recommended that investors interested in investing in industrial park projects in Uzbekistan conduct in-depth research on the country's resource endowment, production factors, and other advantages, and examine the investment layout in key areas of Uzbekistan, including metallurgy, metal processing, petrochemicals, and deep processing of agricultural products The feasibility of characteristic industrial park projects with prominent leading industries such as textiles and high professional barriers.

It is worth adding that there are still certain shortcomings and deficiencies in the construction of various industrial parks in Uzbekistan, with 37% of industrial parks having inadequate supporting infrastructure such as electricity, natural gas, water supply, and sewage treatment. Zhonghengyuan Cefu Xiaohuan suggests that enterprises interested in investing in industrial park projects in Uzbekistan can actively pay attention to the linkage investment opportunities between the Tese Industrial Park project and infrastructure fields such as electricity, water supply, gas supply, and external transportation. By creating a linkage path and mechanism between industrial park projects and infrastructure projects, and constructing a reasonable business model, the demand for supporting facilities in industrial park projects can be maximized, Not only can it enhance the carrying capacity and competitiveness of the park, but it can also explore diversified sources of profit for investors in industrial park projects.Editor/XingWentao

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