BISNIS - Uzbekistan Report
19 SEP 95
FM AMEMBASSY TASHKENT

IMI: BUSINESS OPPORTUNITIES IN UZBEKISTAN

1. REPUBLIC OF UZBEKISTAN HAS TWELVE ADMINISTRATIVE REGIONS. ALTHOUGH THESE REGIONS HAVE MANY SIMILARITIES, THERE ARE MAJOR FIELDS OF SPECIALIZATION UNIQUE TO EVERY REGION. FURTHERMORE, THERE ARE MAJOR DIFFERENCES IN POPULATION NUMBERS, GEOGRAPHY, LEVEL OF INDUSTRIAL BASE, ETC.

2. FCS TASHKENT SUBMITS THE FIRST IN A SERIES OF IMIS CONCERNING BUSINESS OPPORTUNITIES IN SMALL AND MEDIUM SIZED ENTERPRISES IN THE ADMINISTRATIVE REGIONS OF UZBEKISTAN. INFORMATION WAS PROVIDED BY THE MINISTRY OF FOREIGN ECONOMIC RELATIONS. MOST OF THESE PROJECTS STILL ONLY EXIST ON PAPER. THE GOVERNMENT OF UZBEKISTAN HOPES TO ATTRACT FOREIGN INVESTORS TO KICK-OFF THESE ENTERPRISES IN THE NEAR FUTURE. REFERENCES TO PRODUCTION CAPACITY AND NUMBER OF EMPLOYEES ARE TAKEN FROM GOVERNMENT FEASIBILITY STUDIES.

KARAKALPAKSTAN

3. KARAKALPAKSTAN IS A SOVEREIGN REPUBLIC IN THE REPUBLIC OF UZBEKISTAN. WITH THE AREA 164.9 THOUSAND SQ.KM, IT HAS POPULATION OVER 1.4 MILLION PEOPLE. THERE ARE 107 INDUSTRIAL MANUFACTURING FACILITIES AND ASSOCIATIONS OPERATING IN KARAKALPAKSTAN. THESE ENTERPRISES ARE INVOLVED IN THE PROCESSING OF FARM PRODUCTS, SUCH AS RAW COTTON, RICE, MEAT, MILK, AND WOOL. HOWEVER, DUE TO LACK OF THE PROPER TECHNOLOGY, PROCESSING IS LIMITED. TO FOLLOW IS A LIST OF PRIORITY FOREIGN INVESTMENT PROJECTS SUBMITTED BY THE MINISTRY OF FOREIGN ECONOMIC RELATIONS OF THE REPUBLIC OF KARAKALPAKSTAN.

  1. THE INVESTMENT PROJECT OF "JAYKHUN" FARM, LOCATED IN KEGELY RAYON (DISTRICT) WAS ESTABLISHED IN 1995 TO MANUFACTURE TARPAULIN AND THICK FABRICS. ESTIMATED ANNUAL PRODUCTION CAPACITY IS ONE MILLLON SQUARE METERS. NUMBER OF EMPLOYEES IS 120.

  2. "MEDTEKHNIKA", SPINNING AND TEXTILE FACTORY IN HODJELI REGION WAS ESTABLISHED IN 1995 TO MANUFACTURE MEDICAL BANDAGES. ESTIMATED ANNUAL PRODUCTION CAPACITY IS SIX MILLION SQUARE METERS, WHICH WOULD HELP TO RESOLVE AN ACUTE SHORTAGE OF BANDAGES IN THE REPUBLIC. NUMBER OF EMPLOYEES IS 100.

  3. "KARAKALPAKVOD" WAS ESTABLISHED IN 1995 TO BUILD A MUSHROOM GROWING COMPLEX. ESTIMATED ANNUAL PRODUCTION CAPACITY OF THE COMPLEX IS 650 TONS OF MUSHROOMS. NUMBER OF EMPLOYEES IS 50.

  4. "BAYTEREK" AND "AMALTEK" COMPANIES WERE ESTABLISHED IN 1995 TO MANUFACTURE SPORTSWEAR. ESTIMATED ANNUAL PRODUCTION CAPACITY IS 50,000 UNITS OF SPORTSWEAR. NUMBER OF EMPLOYEES IS 50.

  5. KARAKALPAKBIRJETORG STOCK COMPANY, "KARATAU" WAS ESTABLISHED IN 1995 TO MANUFACTURE CERAMIC AND MARBLE SLABS. ESTIMATED ANNUAL PRODUCTION CAPACITY IS 1.2 MILLION SQUARE METERS. NUMBER OF EMPLOYEES IS 45.

4. FOR ADDITIONAL INFORMATION ABOUT THESE PROJECTS CONTACT THE MINISTRY OF FOREIGN ECONOMIC RELATION OF THE REPUBLIC OR KARAKALPAKSTAN AT:

52 GARESEZLIK STREET
NUKUS, 742003
TEL: (011-7-36122) 7-24-53, 2-28-47
FAX: (011-7-36122) 7-47-79

ANDIZHAN REGION

5. ANDIZHAN REGION A REGION IN FERGANA VALLEY, LOCATED IN THE EASTERN PART OF UZBEKISTAN. IT COVERS AN AREA OF 4,200 SQUARE KILOMETERS AND HAS A POPULATION OF OVER 1.9 MILLION PEOPLE. THERE ARE NUMEROUS INDUSTRIAL COMPANIES AND ASSOCIATIONS WHICH OPERATE IN THE REGION, INCLUDING BIG MACHINE PLANTS SUCH AS, "ANDIZHANIRMASH" AND "ELECTRODVIGATEL." IN TERMS OF TOTAL OUTPUT OF THE REPUBLIC OF UZBEKISTAN THE ENTERPRISES OF LIGHT INDUSTRY OF THIS REGION MANUFACTURE 27 PERCENT OF KNITTED GOODS, 26.5 PERCENT OF HOSIERY, 28.8 PERCENT OF COTTON YARN, AND 11.8 PERCENT OF FOOTWEAR. DUE TO LIMITED LAND RESOURCES, MAIN FOREIGN INVESTMENTS ARE EXPECT TO GO TO NEW AGRICULTURAL TECHNOLOGIES TO INCREASE PER ACRE PRODUCTION.

6. TO FOLLOW IS A LIST OF PRIORITY FOREIGN INVESTMENT PROJECTS SUBMITTED BY THE REGIONAL DEPARTMENT OF THE MINISTRY OF FOREIGN ECONOMIC RELATIONS OF UZBEKISTAN.

  1. BULAK-BASHIN SILK-WEAVING FACTORY WAS ESTABLISHED IN 1987 TO PROCESS SILK COCOON WASTE. ESTIMATED ANNUAL PRODUCTION CAPACITY IS 130 TONS. NUMBER OF EMPLOYEES IS 935.

  2. "ANDIHAN" PUBLISHING HOUSE WAS ESTABLISHED IN 1990 TO MANUFACTURE PACKAGING MATERIALS. ESTIMATED ANNUAL PRODUCTION CAPACITY IS 27.9 MILLION UNITS. NUMBER OF EMPLOYEES IS 130.

  3. "ELECTRODVIGATEL" PRODUCTION ASSOCIATION WAS ESTABLISHED IN 1969 TO MANUFACTURE HOME APPLIANCES, SUCH AS REFRIGERATORS AND AIR-CONDITIONERS. ESTIMATED ANNUAL PRODUCTION CAPACITY IS 500,000 UNITS. NUMBER OF EMPLOYEES IS 2,100.

  4. DJURA PALVAN COLLECTIVE FARM WAS ESTABLISHED IN 1990 TO SET UP A MARBLE PROCESSING PLANT. ESTIMATED ANNUAL PRODUCTION CAPACITY IS 25,000 SQUARE METERS. NUMBER OF EMPLOYEES IS 800.

7. FOR ADDITIONAL INFORMATION ABOUT THESE PROJECTS CONTACT THE REGIONAL DEPARTMENT OF THE MINISTRY OF FOREIGN ECONOMIC RELATIONS AT:

126 NAVOI AVE.
ANDIZHAN, 700002
TEL: (011-7-37422) 545-63
FAX: (011-7-37422) 546-21
TELEX: 116126 BERYOZA

8. OVER THE COURSE OF THE NEXT MONTHS FCS TASHKENT PLANS TO CONTACT AND VISIT MANY OF THE ABOVE OPERATIONS. WE WILL PROVIDE MORE DETAILED INFORMATION AS SOON AS IT BECOMES AVAILABLE.