Uzbekistan to fully review import duties on raw materials

Uzbekistan will fully review import duties on raw materials for local enterprises. The instruction was given by President Shavkat Mirziyoyev on February 13 during a meeting on ensuring high economic growth across sectors and regions.

It was noted that electrotechnical enterprises used tax benefits worth 27 billion soums last year, increasing exports by $83 million and budget revenues by 46 billion soums. The companies requested an extension of duty exemptions for imported aluminum wire rod, which is not produced in Uzbekistan.

Similar duties currently apply to precious and semi-precious stones for the jewelry industry, heat-resistant paints for metallurgy, and citrus concentrates used by food producers. Officials were instructed to review import duties on raw materials for local enterprises in full.

The creation of a guaranteed raw material base for carpet manufacturers helped double exports in the sector over three years. Likewise, easing wood imports for furniture producers increased output by 1.4 times in two years.

Furniture producers have also raised the need to import polymers, door and window manufacturers require aluminum raw materials, household chemical producers need pigments and flavoring agents, and manufacturers in general require reliable supplies of paper and cardboard for packaging.

It was noted that preferential financing for stockpiling raw materials during periods of low global prices and partial compensation of transport costs could significantly boost economic growth in these sectors.

The president instructed officials to assess the raw material needs of small enterprises, determine sourcing countries, quantities, and prices, calculate transport costs, and develop strategic raw material reserves.