Tashkent, Uzbekistan (UzDaily.com) -- A ceremony of laying the first brick of a large textile enterprise was held in Turakurgan district of Namangan region.

At the new enterprise, yarn will be made from rags, that is, from industrial waste from textile enterprises of the republic. With the launch of this project, over 1,200 new jobs will be created.

The enterprise with a total project cost of US$30 million will produce more than 40,000 tons of yarn per year, a significant part of the production is planned to be exported to the Russian market. The project will open up opportunities for exporting products at US$60 million per year.

The launch of the enterprise is expected in the third quarter of 2020. It can become one of the largest exporters of the region. It should be noted that today in Namangan SEZ, which occupies 680 hectares, 14 investment projects with a total value of US$513.7 million are being implemented.

An investment agreement with HengBang Textile Central Asia on the implementation of the project for US$30 million was reached on 16 November  2019. According to the document, a foreign enterprise located in the territory of the Namangan Free Economic Zone will start production of yarn.