The government has adopted a programme on expanding food production and saturating the domestic market that includes active development of meat and dairy products.

It plans, within the framework of the programme, to open 410 new enterprises that use mini-technologies and compact equipment for processing meat and dairy products.

Among them, 200 enterprises will process meat products at a total capacity of 85,000 tonnes per year and 210 enterprises will process dairy products at a total capacity of 200,000 liters per year.

A number of Uzbek companies are holding negotiations with foreign suppliers of high-tech mini-equipment that they are planning to install in regions with surplus labor.

The financial support for the purchase of mini-equipment will be taken from the budget, as well as bank loans.

During this year, banks will spent at least 20% of their loans on the purchase of equipment for food production.

In early February, the President Islam Karimov signed a decree granting some privileges in taxing and custom duties to producers of meat and dairy products until 1 January 2012.

Technological equipment, spare parts, auxiliary materials, ingredients and components used in the manufacture and processing of meat and milk which are not produced within the country, are exempt from custom duties.

Also, the uniform tax payment for microfirms and small businesses specializing in the meat and milk processing, as the main type of activity was lowered on 50%.

According to official statistics, meat production in Uzbekistan increased by 6.6% during the last year and reached 1.29 million tonnes, and milk production increased by 6.5% and reached 5.42 million tonnes.

However, according to the estimates, Uzbekistan still only produces 60% of its meat, and 70% of its milk needs.

Currently, the share of imports in the market of fowl meat is 45% and animal meat is 35%.