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Textile industry of Uzbekistan replaces sale of raw cotton
06.07.2018 News

The world-famous cotton industry in Uzbekistan is gradually going to second place. A new generation of domestic textile brands that are conquering the European and Asian markets are breathing in her back. What is behind the rise of the domestic light industry and the transformation of the cotton industry?

A powerful impetus for the development of the industry was adopted in different years on the initiative of the First President of the Republic of Uzbekistan Islam Karimov and the government of the country program documents. Their effective implementation made it possible to attract investments in modernization and technological renovation of the production base, purchase of new equipment. At the same time, the main emphasis in the implementation of projects was made on the further stable and balanced growth of domestic processing of cotton fiber, with a gradual increase in the share of products with high added value. Thus, the volumes of internal processing were increased from 7% in 1991 to 55% in the first half of 2016.

Along with the production of cotton yarn, cotton and silk fabrics, knitted fabrics, garments, clothes, knitwear, hosiery, silk threads, the enterprises of the branch managed to completely satisfy the needs of the domestic market in medical products, special clothes and much more.

One of the indicators of the dynamic development of the industry is the level of investment development. Thus, since 1995, the industry attracted more than $ 2 billion in foreign investments. Implemented more than 200 projects involving investors from Germany, Switzerland, Italy, South Korea, Japan, Turkey, the United States, India and other countries. Modern enterprises were put into operation providing for a full cycle of textile production.

Wide prospects for the further development of light industry were opened by the Decree of the President of the Republic of Uzbekistan of March 4, 2015 "On the Program of Measures to Ensure Structural Transformation, Modernization and Diversification of Production for 2015-2019". In accordance with the document, only by the results of the previous year 33 new production facilities were set up, oriented to produce 41.4 thousand tons. yarn, 6,6 thousand tons. knit fabric, 38.0 million pairs of hosiery, 16,0 million pieces. finished products, 1.0 sq.m. silk fabrics, 3.3 million square meters. carpet fabrics and 400 units. sewing machines. The total cost of projects amounted to $ 170.8 million, with an export potential of $ 93.4 million.

On the eve of the celebration of the 25th anniversary of the State Independence of the Republic of Uzbekistan, 11 new high-tech industrial enterprises were put into operation for 1.6 thousand jobs, while the volume of capital investments amounted to more than $ 90 million. The planned implementation of investment projects for the creation of modern high-tech industries contributes to further increase in domestic processing of cotton fiber, creation of new jobs and provision of high-efficient production of finished textile products in accordance with high international quality standards.

It should be noted that light industry of Uzbekistan over the past 25 years has become one of the leaders in the field of export of products with high added value. Today, the industry is represented by a wide export range - from yarn to ready-made garments and knitwear. The first export supplies of the light industry enterprise of Uzbekistan were started in 1994.

Then the volume of exports of textile and clothing and knitwear was only about $ 7 million. At the same time, Uzbek enterprises continue to actively increase their presence in foreign markets. This is confirmed by the growth in export indicators, which exceeded $ 1 billion in 2015, and the number of exporting enterprises is growing dynamically. The structure of their exports includes new types of textile products: bamboo, modal and blended yarns, jacquard and crossbars, ready-made garments and knitwear of new types, models, patterns and weaves. According to the results of the first half of this year, the share of goods with high added value in total exports has approached 40%, and continues to grow steadily.

At present, China, Russia, Kazakhstan, Turkey, the countries of the European Union are major importers of light industry products in Uzbekistan. In general, Uzbek textile and garment-knitted products are supplied to more than 50 countries around the world. At the same time, new markets have been developed - Liechtenstein, Mauritania, Pakistan, Georgia, Croatia, Nigeria and others. In order to diversify external sales markets, expand the range of export products of Uzbekistan enterprises take an active part in the

International exhibitions and fairs in Germany, the Republic of Korea, China, Russia, Belarus, Latvia, Turkey and other countries.

Despite the achievement of high production and export performance, the Uzbek easily