Main part of resources – US$247.3 million – will be invested into modernization and reconstruction of existing capacities and US$189.5 million to construction of new capacities and some projects on modernization of cement enterprises.

Currently, Uzbekistan produced almost all types of construction materials. Products of enterprises of Uzstroymateriali (Uzbek Construction Materials) joint stock company cover about 70% of market.

Main products of them are cement, roofing slate, asbestos-cement pipes, gypsum, lime, soft roofing, dry construction mixtures, bitumen mastic, ceramic tiles, waterproofing and non-metallic materials, marbles, and others.

The cement is one of main construction materials. In recent years, Ahangarancement, Bekabadcement, Kyzylkumcement and Quvasoycement reached their 100% production capacities. In last ten years, Uzbekistan increased cement production twice – from 3.2 million tonnes to 6.8 million tonnes a year.

This was achieved due to modernization and re-equipment of cement enterprises. Currently, four cement enterprises, including Bekabadcement, Kyzylkumcement, and Ahangarancement, are continuing to modernize their capacities to decrease production expenses and launch production of new products, as well as to their diversification, UzA reported.

In particular, Bekabadcement is modernizing existing production capacities with the capacity of 850,000 tonnes of cement clinker a year. It is expected that the new capacity will be launched in September 2011. The capacity of the plant will reach 1 million tonnes.

Currently, construction works at the object were executed by 97% and technologic equipment will be assembled soon.

Kyzylkumcement modernizes cement milling department and installs two new cement mills. The project will be completed by 2013. The project will increase cement milling by 1 million tonnes a year and increase production of high-grade cement by 0.5 million tonnes a year. The project cost is US$143.3 million.

Ahangarancement also started to modernize its production capacities, which will extend use of equipment and improve quality of products. The project will be realized till 2013. The company is buying equipment for modernization of separate production lines.

Head of investment department of Uzstroymateriali JSC Akbar Muhiddinov said that Uzbekistan implements 11 projects within the investment programme for 2011.

One of large projects is construction of cement plant in Karakalpak Republic – Uzbek-US joint venture Rahnamo-Nur, construction of which started in 2009. The project will be completed in 2013. The project cost estimated at US$128 million, of which US$79 million is foreign investments.

Uzbekistan also realizes projects on production of ceramic tiles. One of them will be completed at TashKSM. Other project is implemented at production capacities of Moderna Ceramic Industries. Its production capacity will be 1 million square meters of ceramic tiles. The project will be completed in 2012. In May 2011, Qishloq Qurilish Bank issued a loan to purchase equipment.

As of 1 January 2011, there were 728 enterprises, which produce baked bricks. They can produce up to 2.026 billion bricks a year.

During the independence, Uzbekistan launched production of gypsum boards, which is widely used in construction. In May 2011, Knauf completed construction of the plant on production of gypsum boards at Kanuf Gips Bukhara. The capacity of the plant is 20 million square meters a year. Germany’s Knauf invested over 35 million euros to the project.

The plant produced 0.5 million square meters of experimental party of gypsum boards. It is planned that it will produce up to 5 million square meters gypsum boards by the end of 2011. It is expected that the plant will produce gypsum boards for walls and ceilings, moisture resistant and fire resistant gypsum boards. The enterprise will deliver 80% of products to internal market and other 20% will be exported.

Besides, Panel Plast JV in Tashkent completed a project on production of decorative facade elements with the capacity of 150,000 square meters a year. These are window-sills, fingerplates, braces, etc.

Construction materials, produced in Uzbekistan, are also demanded abroad. Uzbekistan exports construction materials to Turkmenistan, Kazakhstan, Kyrgyz Republic, Russia and Iran. Uzbekistan mainly exports cement, bricks, tiles, products from natural stones, gypsum boards and others.