President Mirziyoyev Leads Conference on Uzbek Textile Exports

President Mirziyoyev Leads Conference on Uzbek Textile Exports

Tashkent, The Gulf Observer: President Shavkat Mirziyoyev presided over a video conference meeting on April 16, focusing on strategies to enhance exports and attract investments in Uzbekistan’s burgeoning textile industry. The meeting addressed critical issues and highlighted opportunities for growth in the sector.

The textile industry, a cornerstone of Uzbekistan’s economy, boasts widespread representation across all regions and is a significant source of employment, with over 6,000 enterprises employing 570,000 individuals. Recent years have witnessed a remarkable surge in productivity, driven by increased investments and adoption of new technologies. In 2023 alone, textile, clothing, and knitwear products worth US$8.2 billion were manufactured, marking a substantial increase from seven years prior.

Despite these achievements, an analysis of the export structure reveals areas for improvement, particularly in enhancing the share of high-value-added products. The reliance on traditional markets poses challenges, with exports to Europe falling short of expectations. To tap into developed markets, adherence to international standards and certifications is imperative, yet only 175 enterprises currently meet these requirements.

President Mirziyoyev underscored the need to capitalize on the industry’s vast potential, as outlined by the consulting firm Boston Consulting Group, which estimates the capacity to produce products worth at least US$15 billion and generate 500,000 new jobs. Leveraging Uzbekistan’s cost advantage in yarn production presents a significant opportunity to enhance competitiveness and expand production capacity.

Financial support, totaling US$50 million, has been allocated for textile projects, with an additional US$100 million earmarked for future investments. President Mirziyoyev emphasized prudent utilization of these resources to stimulate projects and job creation across regions.

The President advocated for the establishment of branches of large enterprises in local communities, citing the successful example of the Zarafshon Textile factory in Samarkand, which opened 11 regional branches. This decentralized approach facilitates compliance with standards and certifications, streamlining production processes.

Access to raw materials emerged as a key concern, with Uzbekistan possessing the capacity to process 1.3 million tons of cotton fiber annually, yet current production falls short of this potential. Measures to optimize cotton cultivation and increase field productivity were discussed to address this challenge.

The meeting also deliberated on the activities of cotton-textile clusters and proposed measures to ensure their sustainable operation. President Mirziyoyev engaged in a dialogue with over 100 industry entrepreneurs, soliciting their input on various issues ranging from infrastructure development to export facilitation.

In a bid to drive industry development, it was proposed to reorganize the Uztekstilprom Association under the leadership of entrepreneur councils, with regional representation. This restructuring aims to empower local stakeholders in driving sectoral growth and fostering innovation.

The importance of robust advertising campaigns in European markets, engagement with international brands, and the establishment of research and development groups within clusters were emphasized as avenues for advancing the industry’s competitiveness and innovation.

President Shavkat Mirziyoyev’s leadership in steering Uzbekistan’s textile industry towards greater efficiency and competitiveness reflects the government’s commitment to fostering sustainable economic growth and job creation. The comprehensive strategies outlined during the video conference pave the way for continued progress and prosperity in the sector.