The marketing and sales department of the bank said the production volume is planned at the volume of 100,000 tonnes of soda ash in 2010. In 2009, the enterprise produced 76,700 tonnes of soda ash. The growth rate of production made up 8% year-on-year in 2009. The quality of the product also reached designed one due to high quality of resource – 99.2%.

Kungrad Soda Plant is the only soda ash producer in Central Asian region. The China’s Citic Pacific Ltd. and Uzkimyosanoat state joint stock company commissioned the plant in August 2006.

Total cost of the project is US$100 million. Citic Pacific Ltd. carried out design and construction of the plant on turn-key basis of the technologic plant for the cost of US$32.3 million in line with the agreement of Uzkimyosanoat. Technological part of the project was financed due to loan of China Industrial and Commercial Bank under insurance coverage of Chine Export-Import Insurance Corporation (90% of contract cost) and loan of Uzpromstroybank (10% of contract cost) under the guarantee of the Uzbek government. Uzkimyosanoat financed general construction works, which were conducted by local construction companies.

The designed capacity of Kungrad Soda Plant makes up 100,000 tonnes of soda ash. The main raw material for construction of soda ash is sodium chloride (salt) and limestone. All main raw materials for production are produced in Uzbekistan. The sodium chloride is mined at Barsakelmes deposit, located 53km away from Kungrad Soda Plant and limestone at Jamansay limestone deposit, developed at 250 km away from the plant.

According to official data, the annual demand of the plan to limestone is 153,000 tonnes, kitches salt – 160,000 tonnes and ammonia – 1,000 tonnes. The main raw material for enterprise, limestone has 92% purity, which is the highest level in the world. In line with the data of State Geology Committee, the approved reserves of this raw material are enough to supply plant for over 120 year. At the same time, the reserves can be expanded if required.

Demand of Uzbekistan into soda ash is evaluated at 56,500 tonnes a year, according to the State Statistics Committee. In 2009, over 88,000 tonnes of soda sash were realized, of which 56,000 tonnes in internal market of Uzbekistan. The main consumers of soda ash in Uzbekistan are Kvartz JSC, Farmglass, Uzstroymaterially, Uzbekneftegaz, Uzkimyosanoat and Uzbekenergo. In perspective, it is planned to expand assortment of products due to creation of the capacities of iodine kitchen salt, kitchen salt, synthetic washing means.

The products of Kungrad Soda Plant are highly demanded among foreign consumers. At the moment, the plant has contracts with large number of companies and it is continuing to search for more clients. Kungrad Soda Plant inked agreement with Astrahansteklo, Star-Glas (Russia), Petrolium Supply Solutions (Kazakhstan) and Dva Soyuza (Kyrgyz Republic). In 2009, the foreign consumers received over 32,000 tonnes of ash soda for total sum of US$5.6 million. Kungrad Soda Plant exported products to Kazakhstan, Russia, Tajikistan, Kyrgyz Republic, Iran and Turkmenistan. The plant exported over 5,740 tonnes of ash soda in 2008 for US$1.375 million.

The Uzbek wholesale consumers purchase soda ash from Kungrad Soda Plant through only Uzbekistan Commodity Exchange. In 2006, the plant produced 12,810 tonnes of soda ash and 46,653 tonnes in 2007, and 71,031 tonnes in 2008.

Exchange trades of ash soda at Uzbekistan Commodity Exchange (UzCE) started in 2007. Each year, the volume of proposal is increasing. According to UzCE information-analytic service, the volume of soda ash sales was 1,400 tonnes in 2007, while it reached 43,300 tonnes in 2009. About 75% of all realized soda ash at the UzCE fell to share of glass industry, including Kvartz OJSC. Other 25% fell to share of textile, oil processing, oil and fat industries. At the same time, the consumption of latest industries is increasing. The glass industry consumed 90% of soda ash in 2008, while its share decreased to 15% in 2009.

The price of packed soda ash was stable during 2009. Average price of locally-made soda ash varied between 412,000-413,000 soums per tonne.