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Uzbekistan 12/07/2024 Analysis of issues in Ferghana and determination of new measures for entrepreneurship development
Analysis of issues in Ferghana and determination of new measures for entrepreneurship development

Tashkent, Uzbekistan (UzDaily.com) -- On 12 July, a meeting on priority tasks of socio-economic development in the Ferghana region was held in the Quva district.

President Shavkat Mirziyoyev emphasized the need for consistent economic development to meet the growing needs of the population.

"Ferghana is a large region. Currently, the population exceeds 4 million people and by 2030 will reach 5 million. This is easy to say, but behind this figure lies enormous responsibility. Every year we must build new kindergartens and schools, homes, create hundreds of thousands of jobs. Therefore, ensuring the stable development of our economy in these troubled times should concern all of us," the President noted.

Significant changes have occurred in the region over the past seven years: road, water, land, housing, educational, and medical infrastructure have improved. The volume of investments has tripled. 122 enterprises with turnovers exceeding US$10 million have been established. Export has also increased, reaching US$722 million last year, and Ferghana enterprises have entered 60 new markets.

However, 19 enterprises experienced a reduction in capacity, the launch of three projects is delayed, and 6,700 jobs have been cut across enterprises. 135 enterprises that exported last year have not yet been able to sell their products abroad this year.

Ferghana region ranks last in the republic for industrial growth. Despite sufficient conditions, Ferghana exported fruit and vegetable products worth US$220 million last year, but only 30% of yarn is processed.

It was also revealed that 545 registered entrepreneurs did not open accounts, and over a thousand did not conduct their operations through banks. In this regard, it was instructed to consider including half of the personal income tax into district budgets, which should increase district interest and bring entrepreneurs out of the shadows.

The President highlighted significant efforts to reduce poverty and establish banking and financial assistance mechanisms for the unemployed and needy, but emphasized the need for a new approach in this area.

After analyzing the experience of the Bagdad district, it was noted that the system will be refined: "No matter how many allowances we pay to the low-income, if we do not help them find jobs, they will repeatedly seek social assistance. Therefore, poverty reduction and social protection will now be integrated into a single system through the Social Protection Agency."

The meeting also discussed priority tasks for the economic development of the region.

In accordance with the President of Uzbekistan’s decree of 10 July, the territory of the free economic zone "Qoqand" was expanded by 210 hectares through the mahallas of Pakan, Kokilon, and Sufon in the city of Quvasay. By the end of 2026, investments of at least US$1 billion are planned to be developed here, creating over 11 thousand jobs and producing goods worth US$965 million annually. Responsible persons were assigned tasks in this direction.

In addition, industrial zones similar to the Chinese experience specializing in various industries will be created in each of the 19 districts and cities.

To increase the production of high value-added products and create new jobs, the state is ready to allocate another 1,210 hectares of land. For this purpose, a directorate will be established under the regional hokimiyat, which will have the right to manage these lands. Local entrepreneurs will be able to lease or purchase premises in industrial zones.

To develop industry in districts and mahallas, US$50 million will be allocated for infrastructure expenses. Industrial centers of 4-5 floors will also be organized in 161 large mahallas.

The head of state emphasized the importance of increasing the number of projects capable of significantly supporting Ferghana’s industry. In particular, projects worth 2 billion dollars in the energy, oil and gas, and chemical industries are planned for implementation. With investments totaling 700 million dollars, production of 230 new types of construction materials will be launched.

Projects worth 420 million dollars will be implemented in the electrical industry and 500 million dollars in the automotive industry. Specifically, in Quvasay, the construction of a plant for manufacturing electric vehicle charging stations is planned, as well as the launch of agricultural machinery production. In the textile industry, it is planned to increase yarn processing levels to 60% through a US$300 million project

It has been highlighted the importance of achieving up to three harvests per year on 25 thousand hectares of land allocated over the past three years, benefiting 110 thousand residents. In the Ferghana district, industrial cultivation of high-yielding varieties of raspberries from Italy and Poland is planned on 200 hectares, along with the establishment of almond, peach, cherry, and plum orchards in Kushtepa and Yazavan. Refrigerated warehouses will be organized on the lands of large orchard owners.

Preferences will be provided to entrepreneurial orchardists, including compensation of up to 6% of loans obtained in foreign currency for projects on storage, sorting, and processing of fruit and vegetable products. To facilitate the work of 616 farmers in the city of Quvasay, land taxes will be halved.

Ferghana possesses significant tourism potential. Issues regarding organizing helicopter flights to the villages of Shakhrimardon and Yordon, as well as granting international status to the settlements of Vuadil and Okkiya, were discussed. Responsible individuals were tasked with developing a master plan for these settlements and the Vuadil village to transform the Ferghana district into a tourist recreational zone.

The meeting also addressed issues related to agricultural development, handicrafts, services, construction of multi-story buildings, industrial enterprises, cultural objects, and tourism in Qoqand and Margilan.

To strengthen love and devotion to the Motherland among the younger generation, as well as promote the values of a peaceful and tranquil life, it was proposed to establish Councils of Elders and parent groups in Qoqand and Margilan, comprising representatives of the older generation, imams, and mahalla activists.

The assembled individuals supported this proposal and expressed confidence that creating mentoring experiences for youth with difficult upbringing and assisting those who have strayed from the right path or found themselves in challenging situations in finding their place, as well as in enlightenment and spiritual development, will set an example for the entire republic.

Overall, the head of the region and his deputies, city and district leaders, assured that they will take on increased responsibility and exert all efforts to increase the primary capital by US$2.1 billion, provide employment for 400 thousand people, and lift 80 thousand families out of poverty. Members of the regional council will establish a commission to monitor the achievement of these goals.

Bank executives and their regional branches presented their plans for financing production, service, and employment programs.

The head of state conducted an open dialogue with representatives of the public..

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